The union of three major American automakers launched an unprecedented simultaneous strike at three plants. USA to demand wage increases, a measure that threatens the economy and that received the support of the president Joe Biden.
In front of the plant ford in Wayne, in the Detroit region (Michigan), horns and applause greeted the arrival of the president of the powerful union United Auto Workers (UAW)Shawn Fain, who shortly before had announced the three sites chosen to start the strike, one in each group involved: General Motors, Stellantis and Ford.
In addition to Wayne, the other two centers on strike are assembly plants in Wentzville (Missouri), owned by GM, and in Toledo (Ohio), owned by Stellantis.
”Today we are gathering our members. Tomorrow we will be at the negotiating table,” Fain declared on Friday afternoon, stating that the three groups had received an “exhaustive counteroffer.”
But the movement could spread, stressed Fain, who urged the approximately 146,000 union members who work for these manufacturers to be willing to strike depending on the evolution of the negotiations.
A prolonged social conflict could have political consequences for Bidenwhose management of the economy receives criticism, in particular due to persistent inflation.
However, the president supported the workers’ claim this Friday, ensuring that the “record profits” of the automobile manufacturers must be distributed “fairly.”
Biden He said workers had not been able to benefit from huge corporate profits, which exceeded $20 billion for the three giants in the first half of 2023 alone.
”Companies have made significant offers, but I think they should go further to ensure that record corporate profits translate into record agreements for the UAW,” he said. Biden in the White House and advocated for an agreement “fair and beneficial for both parties.”
– 40% increase –
Campaigning for re-election in 2024, Biden It is moving through thorny terrain and must balance expressed support for unions and fear of the consequences of this strike for the American economy.
According to the consulting firm Anderson Economic Group (AEG), a ten-day strike could represent more than $5 billion in lost revenue for the US economy.
Negotiations between unions and builders to draw up new four-year collective agreements began two months ago.
Employees in the sector are demanding wage increases and more benefits, while manufacturers, which have posted profits in recent years, tightened the screws after the 2008 financial crisis.
The last strike in the sector, which dates back to 2019, only affected GM. The strike lasted six weeks.
He UAW demands a salary increase of around 40% in four years, while the three manufacturers have not exceeded 20% (Ford), according to the union
.The Three historic Detroit giants also refused to grant additional vacation days and increase pensions, provided by company-specific funds.
– “Competitive” offer –
It’s a statement, ford He said he was “absolutely committed to reaching an agreement that rewards employees and protects Ford’s ability to invest in the future.”
The group called the offer it made to the union more than two days ago “historically generous.”
Questioned Friday on CNN, GM CEO Mary Barra defended the manufacturers’ proposals, which include “not only a 20% increase in gross wages, but also profit sharing, world-class healthcare and several more features.”
“I think we have a very competitive offer on the table,” he said.
The Stellantis company, meanwhile, said in a statement that it was “extremely disappointed by the refusal of UAW leaders to responsibly compromise to reach a fair agreement.”
Trying to calm the waters, Biden He spoke by phone Thursday night with Fain and builder leaders.
In mid-August, he advocated for a “fair” and win-win deal, strengthening workers’ rights during the transition to electric vehicles.
According to CFRA analyst Garrett Nelson, companies “are flush with cash and … can probably withstand a strike longer than employees.”
(With information from EFE)
Source: Gestion

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