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Who and why wants to hit Ford, General Motors and Stellantis in the States

Who and why wants to hit Ford, General Motors and Stellantis in the States

At a time when the auto industry is investing billions in the ecological transition and is certainly not inclined to increase wages, a charismatic new union leader is dragging the UAW into direct conflict with Ford, General Motors and Stellantis. For the first time in history will the Big Three be blocked by a simultaneous strike?

It looks like autumn in Detroit will be very warm. And not because of the climate's madness, but because the Big Three of the US automotive capital, namely Ford, General Motors and Stellantis, could soon be affected by a wave of strikes the likes of which have not been seen for a long time.

THE RACE AGAINST TIME OF FORD, GENERAL MOTORS AND STELLANTIS

Why? Due to the union requests received during the renewal of the contracts, on which an agreement has not yet been reached with the builders. It was clear that it would not be easy to reach a compromise that would satisfy both parties since last July 12, when the representatives began negotiations.

It is no coincidence that on August 31 a complaint was filed for unfair labor practices against GM and Stellantis, accused by the UAW of wanting to slow down the negotiations by failing to present counter-proposals after having rejected those of the workers, in the knowledge – the union accuses – that the contract would expire shortly.

And there was further confirmation of this yesterday, with the head of the US auto industry union saying that an agreement with the leaders of Ford, General Motors and Stellantis is "very far away". At the same time, the strike seems increasingly closer. Deutsche Bank has calculated that each week of production downtime could have an impact of between 400 and 500 million dollars.

“We are preparing to strike these companies in a way we have never seen before,” said Shawn Fain , president of the United Auto Workers ( UAW ), in a conference broadcast online, now taking it for granted that production will be stopped at the plants Americans. After all, time is running out and to prevent the blue suits from folding their arms, an agreement should be found before the collective agreements expire at midnight on Thursday.

FAIN, THE NIGHTMARE OF THE BIG 3

Everything revolves around the charismatic and belligerent Shawn Fain, who since his election had promised his colleagues on the assembly line that he would revolutionize the way the union approaches negotiations with companies. No sooner said than done.

In his speeches he usually repeats that the three companies are greedy, having recorded, thanks to the work of their workers, profits of 21 billion dollars in the first half of 2023 and, in the United States alone, 250 billion in the last 10 years. A wealth that, in his opinion, should be shared at all levels, given that it would allow workers' salary conditions to be improved.

The trade unionist does not seem willing to back down despite having presented requests to the builders' representatives that were deemed "bold" by many of his other long-time colleagues. This is also why the American media often play on his surname by recalling the assonant noun "pain": at the end of the negotiation someone will feel a lot of it but, at the moment, it is not possible to understand whether it will be the workers or the employers who come out battered. Work.

WHAT IS THE UAW DRAGGED BY FAIN ASKING

What is certain is that the UAW's requests this time are difficult to accept by the Big Three, providing, for example, a 46% increase in wages in four years with a 20% increase since the signing of the renewal with the restoration of increases linked to the cost of living (and on this point it does not appear that Fain intends to retreat, considering the inflation that is hitting the USA); the transformation of all fixed-term contracts into permanent ones; a new pension scheme with default benefits for all workers; the reintroduction of medical benefits for pensioners; guarantees on the right to strike for plant closures and the establishment of a 32-hour working week.

Moreover, Ford, General Motors and Stellantis are engaged in the ecological transition and have the aim of increasing profit margins given that sales in the next period seem destined to decrease further with the arrival on the market of new players (mostly more Chinese), so it is easy for the requests to be rejected and lead to a strike, the first in the history of American cars capable of involving all three Detroit companies, effectively paralyzing the capital of cars made in the USA.


This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/smartcity/chi-e-perche-vuole-tamponare-ford-general-motors-e-stellantis-negli-states/ on Thu, 14 Sep 2023 08:49:27 +0000.