In a first-of-its-kind step, plants belonging to the three major US car manufacturers General Motors, ford and Stellantis went on strike at the same time from the influential United Auto Workers (UAW) union. Around 13,000 workers are taking part in the strike, which began on Friday night after the collective bargaining deadline expired. A prolonged nationwide strike in the auto industry could have a significant impact on the US economy.
In the negotiations, the UAW, which has around 150,000 members, is demanding a 36 percent increase in income over four years. The car manufacturers were prepared for increases of up to 20 percent over a period of four and a half years. However, the new UAW chairman Shawn Fain (54) described the offers as inadequate given the high inflation and the companies’ good profit situation.
Strike in three factories at the same time
Workers went on strike at the GM plant in Wentzville, Missouri, at a Stellantis plant in Toledo, Ohio, and at a Ford factory in Wayne, Michigan, near Detroit. The initial work stoppages affected several popular models such as the Jeep Wrangler and Ford Bronco.
The industrial dispute also brings President Joe Biden (80) is in a quandary: He traditionally presents himself as very pro-union, but a setback for the US economy could reduce his hopes of being re-elected in just over a year.