Automotive News executive editor Jamie Butters discusses the expansion of the UAW strikes and its impact on car buyers.
The United Auto Workers delivered another surprise attack Monday in the union’s ongoing strike against Detroit’s Big Three automakers, this time targeting Stellantis’ largest plant.
The UAW announced it is shutting down Stellantis’ Sterling Heights Assembly Plant in Michigan, meaning the 6,800 union members who work at the facility are now off the job and joining the picket lines.
Members of the United Auto Workers hold a practice picket in front of Stellantis headquarters in Auburn Hills, Michigan, on Sept. 20, 2023. (Matthew Hatcher/AFP via / Getty Images)
“Despite having the highest revenue, the highest profits (North American and global), the highest profit margins, and the most cash in reserve, Stellantis lags behind both Ford and General Motors in addressing the demands of their UAW workforce,” the union said in a press release. “Currently, Stellantis has the worst proposal on the table regarding wage progression, temporary worker pay and conversion to full-time, cost-of-living adjustments (COLA), and more.”
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The Sterling Heights facility produces RAM 1500 trucks, and its shutdown is a major blow to Stellantis, which owns more than a dozen auto brands, including Dodge, Chrysler and Jeep.
“We are outraged that the UAW has chosen to expand its strike action against Stellantis,” the company said in a statement following the union’s move. “Last Thursday morning, Stellantis presented a new, improved offer to the UAW, including 23% wage increases over the life of the contract, nearly a 50% increase in our contributions to the retirement savings plan, and additional job security protections for our employees. Following multiple conversations that appeared to be productive, we left the bargaining table expecting a counter-proposal, but have been waiting for one ever since.”
Stellantis CEO Carlos Tavaras delivers a keynote address during CES 2023 on Jan. 5, 2023, in Las Vegas. Stellantis has canceled its appearance at the conference for 2024, citing the UAW’s strike. (Ethan Miller / Getty Images)
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| STLA | STELLANTIS NV | 18.94 | +0.06 | +0.32% |
Stellantis added, “The UAW’s continued disturbing strategy of ‘wounding’ all the Detroit 3 will have long-lasting consequences.”
FORD MOTOR CO., STELLANTIS LAYS OFF WORKERS, SAYS DISMISSALS ARE ‘DIRECT RESULT’ OF UAW STRIKES
The UAW launched its simultaneous strike against Ford, General Motors and Stellantis on Sept. 15, starting with one assembly plant at each of the Big Three. The union has steadily added further strike targets against all the automakers as contract negotiations have dragged on.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| F | FORD MOTOR CO. | 11.48 | -0.16 | -1.37% |
| GM | GENERAL MOTORS CO. | 29.22 | -0.44 | -1.48% |
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The addition of the Sterling Heights plant brings the total number of UAW members on strike at the Big Three to more than 40,000 of the nearly 150,000 total across the automakers.
