UAW workers at Alabama’s ZF plant approve labor deal, halt strike.
By David Shepardson
12:22 AM UTC – October 20, 2023
(Reuters) – United Auto Workers union members who went on strike at Mercedes-supplier ZF’s plant in Alabama last month demanding higher pay and better healthcare benefits ended a nearly month-long walkout on Thursday.
The union said the strike by 190 workers was over after a tentative agreement had been ratified. Workers last month had rejected an earlier contract offer.
ZF, which makes front axles used by Mercedes-Benz (MBGn.DE) at its nearby Alabama plant, said last month the Tuscaloosa factory would operate while talks with the union continued.
A ZF spokesperson said the company was “glad to be able to move forward and continue to provide world class technology to our customers from ZF Tuscaloosa.”
About 34,000 UAW members remain on strike at the Detroit Three automakers – Ford Motor (F.N), General Motors (GM.N) and Chrysler parent Stellantis (STLAM.MI). UAW President Shawn Fain met at the bargaining table on Thursday with both GM and Stellantis, officials said.
Stellantis said on Friday it was temporarily laying off another 100 workers in Ohio at a machining plant and bringing the total to 1,520 employees on furlough.
The UAW last expanded its strike on Oct. 11 when it walked out at Ford’s Kentucky Truck Plant, the company’s largest plant worldwide. The strike at targeted facilities began on Sept. 15.
Ford said late on Wednesday that it was temporarily laying off another 150 workers because of the strike, bringing the total to 2,730 workers furloughed since the start of the strike. GM has more than 2,300 workers furloughed.
Fain said on last week that UAW members would now walk out of additional facilities without warning rather than waiting until Fridays to announce new plans, as the union had done initially.
Reporting by David Shepardson; Editing by Jonathan Oatis and Jamie Freed
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How did ZF respond to the strike at their Alabama plant and what is their future outlook?
Title: United Auto Workers’ Strike at Mercedes-Supplier ZF in Alabama Comes to an End
Introduction:
On Thursday, the United Auto Workers (UAW) union announced the end of their month-long strike at Mercedes-supplier ZF’s plant in Alabama. The strike, which consisted of 190 workers demanding higher pay and improved healthcare benefits, came to an end after a tentative agreement was ratified. This article will provide an overview of the strike, its impact, and the ongoing labor disputes within the auto industry.
Strike Overview:
The UAW strike at ZF’s plant in Alabama began last month, with workers demanding better compensation and healthcare benefits. The strike was a result of the rejection of an initial contract offer by the workers. After negotiations, a tentative agreement was reached, leading to the end of the strike. The union expressed satisfaction with the ratified agreement, noting that it addressed their concerns regarding pay and healthcare.
ZF’s Response:
ZF, a prominent supplier for Mercedes-Benz, acknowledged the strike at its Alabama plant. During the strike, ZF continued operations while engaging in talks with the union. The company stated its commitment to providing world-class technology to its customers from its Tuscaloosa facility. Now that the strike has ended, ZF expressed its enthusiasm for moving forward and continuing to serve its customers.
Ongoing Labor Disputes:
While the UAW strike in Alabama has come to an end, approximately 34,000 UAW members remain on strike at the Detroit-based automakers, including Ford, General Motors, and Stellantis. UAW President Shawn Fain held bargaining discussions with both GM and Stellantis on Thursday. Stellantis announced that it would temporarily lay off an additional 100 workers in Ohio, bringing the total number of furloughed employees to 1,520.
Impact on the Auto Industry:
The UAW strike, which started on September 15, has caused disruptions across the auto industry. The strike has resulted in the temporary layoff of thousands of workers and has affected production at various facilities. The strike expanded to Ford’s Kentucky Truck Plant, the company’s largest worldwide, on October 11, leading to further furloughs. GM has also experienced significant workforce reduction due to the strike.
The UAW’s Response:
UAW President Shawn Fain previously announced that union members would engage in additional walkouts without prior notice, deviating from the practice of announcing new strike plans on Fridays. This change in strategy demonstrates the union’s commitment to assertive action in order to push for their demands.
Conclusion:
The UAW strike at Mercedes-supplier ZF’s plant in Alabama has ended after a month-long walkout. With a ratified agreement in place, the union members are satisfied with the outcome, which addresses their concerns regarding pay and healthcare. However, labor disputes persist within the auto industry as UAW members continue to strike at Detroit’s major automakers. The ongoing strikes have sparked temporary layoffs and disruptions in production, impacting both the companies and workers involved.
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