Car union expands strike, targets GM’s top money-making plant.
Thousands of UAW Union Members Stage Surprise Walkout at GM’s Largest Plant
In a bold and unexpected move, thousands of United Auto Workers (UAW) union members have walked off the job at General Motors’ biggest facility and top revenue generator following the release of the company’s third-quarter earnings report.
Joining the Stand Up Strike for the second consecutive day, approximately 5,000 workers at the GM Arlington Assembly plant in Texas have participated in the work stoppage, which will have a significant impact on popular GM brands like the Cadillac Escalade, GMC Yukon, and Chevrolet Tahoe.
This surprise walkout occurred just hours after GM announced $3.5 billion in third-quarter earnings on October 24. However, the automaker acknowledged that the UAW strike has already cost the company $800 million in lost production, including $200 million in the July-to-September period.Global revenues have risen by 5.4 percent in the three months ending on September 30, reaching $44.1 billion, although net profit margins have slightly decreased to 6.9 percent year-over-year.
“Another record quarter, another record year,” exclaimed UAW President Shawn Fain in a statement. “As we’ve been saying for months: record profits should lead to record contracts. It’s time for GM workers and the entire working class to receive their fair share.”Mr. Fain also emphasized that the UAW is sending a powerful message to corporations.‘Time to Amp Up’
“We’re done. We’ve tried to do things the right way. We’ve been patient with these companies. But now, it’s time to amp up the pressure,” he declared.
Currently, approximately 45,000 autoworkers from the Big Three—Ford, GM, and Stellantis—are on strike, which has now entered its sixth week. Additionally, around 7,000 workers have been temporarily laid off due to the spillover effects of these work stoppages.
On October 23, Ford confirmed to The Epoch Times that it would be furloughing 67 employees at the Sterling Axle Plant in Kentucky due to the “knock-on effects” caused by the UAW’s targeted strike strategy.
Overall, 485 individuals have been temporarily laid off at this particular plant.
During the earnings conference call, GM CEO Mary Barra explained to analysts that there is a significant amount of “near-term uncertainty” surrounding the labor dispute.“It should be clear that we are acting with purpose, remaining agile, and ensuring that our system can adapt to the market’s demands,” stated Ms. Barra.
“Our commitment is to deliver a strong and profitable ICE business, as well as a strong and profitable EV business, for our future,” she added.
Following the UAW’s announcement, General Motors executives expressed their disappointment with the latest action.‘Unnecessary and Irresponsible’
“We are disappointed by the escalation of this unnecessary and irresponsible strike. It is harming our team members who are sacrificing their livelihoods and having negative ripple effects on our dealers, suppliers, and the communities that rely on us,” the company stated.
“It is time for us to conclude this process, bring our team members back to work, and focus on making GM a winning company that provides great jobs in the U.S. for decades to come.”
The automaker also highlighted that it had presented a comprehensive proposal to the union, building upon its “substantial and historic offers” that amount to approximately 25 percent in total value.
The UAW expanded the strike at the beginning of the week, with 6,800 union workers at one of Stellantis’ major plants in Michigan joining the strike on October 23.
Estimates suggest that the Big Three automakers are losing between $250 million and $1 billion per week due to the ongoing strike.
For the most part, the stocks of the Big Three have experienced significant declines in 2023.
During the October 24 trading session, Ford Motor Co. saw a 0.5 percent slump to $11.42, worsening its year-to-date performance to a negative 2.35 percent. GM shares plummeted over 2 percent to below $29, adding to its year-to-date drop of 15 percent. Stellantis declined nearly 1 percent to under $19, although it remains up approximately 28 percent year-to-date.Tentative Pact with General Dynamics
Just before midnight on October 22, around 1,100 UAW-represented members who manufacture armored vehicles and tanks for General Dynamics reached a tentative agreement with the company.
After weeks of negotiations, the UAW secured a four-year deal that includes a 14 percent wage increase, a cost-of-living allowance (COLA), a reduction in the time required to reach top pay, and the rejection of the company’s proposed healthcare concessions.
Earlier this month, UAW members in Michigan, Ohio, and Pennsylvania voted 97 percent in favor of authorizing the strike at General Dynamics, one of the largest defense contractors in the United States. The U.S. government is the company’s largest customer.
A ratification vote on the new agreement will be held soon.
How do the ongoing labor disruptions at GM’s largest plant and the increasing demands for better working conditions reflect the determination of the UAW to fight for the rights and well-being of its members
In a surprising turn of events, thousands of United Auto Workers (UAW) union members have gone on strike at General Motors’ (GM) largest plant. This unexpected move comes soon after the release of GM’s third-quarter earnings report and is part of the ongoing Stand Up Strike movement.
Approximately 5,000 workers at the GM Arlington Assembly plant in Texas have joined the strike, which is expected to create a considerable impact on the production of popular GM brands such as the Cadillac Escalade, GMC Yukon, and Chevrolet Tahoe.
The sudden walkout occurred shortly after GM announced its third-quarter earnings of $3.5 billion on October 24. However, the company also admitted that the strike has already cost them $800 million in lost production, including $200 million during the July-to-September period.
Related Stories
JD Vance’s Support for UAW Shouldn’t Surprise Anyone, Given His Life Experiences(Published on 10/17/2023)
UAW Autoworkers Strike Again at Michigan Stellantis Plant(Published on 10/24/2023)
In addition to the Arlington plant workers, other UAW members have also been involved in strikes. On October 17th, JD Vance extended his support to the UAW based on his personal experiences. Another strike by UAW autoworkers took place at a Michigan Stellantis Plant on October 24th.
These recent instances of worker strikes highlight the growing dissatisfaction within the UAW. The union members are demanding better working conditions, fair wages, and improved benefits. They argue that despite the company’s significant earnings, their working conditions have not seen the same level of improvement.
GM’s response to the strike has been limited, with the company expressing its commitment to working with the UAW to address their concerns. However, the impact of this surprise walkout on the company’s production and revenue cannot be understated.
As the UAW strike continues at GM’s largest plant, it remains to be seen how long the standoff will last and what concessions will be made. The outcome of this strike will have implications not only for GM and its workers but also for the broader labor movement in the auto industry.
With the ongoing labor disruptions and the increasing demands for better working conditions, it is evident that the UAW is determined to fight for the rights and well-being of its members. The outcome of this strike could set a precedent for other unions and workers across different sectors in their pursuit of fair treatment and improved working conditions.
In the face of such challenges, both the UAW and GM must find a way to reach a mutually beneficial agreement that addresses the concerns of the workers while also ensuring the long-term success and profitability of the company.
As negotiations continue, it is important for both parties to engage in open and constructive dialogue to find common ground and resolve the issues at hand. The outcome of these negotiations will not only impact the future of GM but also shape the future of the UAW and the rights of workers in the auto industry as a whole.
Only time will tell how this standoff will be resolved and what implications it will have for the labor movement in the United States.
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
*As an Amazon Associate I earn from qualifying purchases
Now loading...