Autoworkers Await Labor Deal, Prep to Strike - Modern Distribution Management

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Autoworkers Await Labor Deal, Prep to Strike

Workers at General Motors, Ford Motors and Stellantis factories will strike Friday if a labor agreement is not reached.
UAW Strike

Workers at three of the largest automakers in the country say they will strike if a labor agreement calling for increased wages is not reached by Thursday night, a move that could stop or slow production at General Motors, Ford Motors and Stellantis factories.

The United Auto Workers union, which represents about 150,000 workers at car manufacturing plants, is negotiating a four-year contract with each automaker. The union is calling for a 40% wage increase over four years.

According to the New York Times: “As of last Friday, the two parties remained far apart, with the companies offering to raise pay by 14 to 16 percent over four years.”

In response to a report by Bloomberg Government reporting a strike could hit suppliers and soften prices of key commodities, Jay Timmons, the Preisdent and CEO of the National Association of Manufacturers said they “urge a swift resolution to avoid a strik that would undermine the strength of our industry and harm our broader economy.”

The strike is unplanned disruption of which the implications have ripple effects through the supply chain all the way back to raw material commitments, according to a blog from LeanDNA.

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