On Friday, September 15, 2023, about 13,000 U.S. auto workers went on strike after their leaders couldn’t bridge a giant gap between union demands and what Detroit’s three automakers are willing to pay.
The United Auto Workers (UAW) union is representing the workers in the strike, which is the first major UAW strike since 2019. The strike is affecting workers at Ford Motor Co., General Motors Co., and Stellantis NV.
The UAW is demanding a 40% pay raise, better healthcare coverage, and more job security. The automakers are offering a smaller pay raise, fewer benefits, and more flexibility in scheduling.
The strike is costing the automakers billions of dollars a day in lost production. It is also causing delays for customers who are waiting for new vehicles.
The strike is also having a ripple effect on the auto supply chain. Many suppliers are shutting down their factories because they cannot get the parts they need from the automakers.
The strike is likely to continue for several weeks, or even months, unless the UAW and the automakers can reach a deal.
Impact of the strike
The strike is having a significant impact on the U.S. auto industry and the economy as a whole. The automakers are losing billions of dollars in revenue, and many workers are losing their wages. The strike is also causing delays for customers who are waiting for new vehicles.
The strike is also having a ripple effect on the auto supply chain. Many suppliers are shutting down their factories because they cannot get the parts they need from the automakers.
What are the chances of a resolution?
The chances of a resolution to the strike are uncertain. The UAW and the automakers are far apart on their demands, and both sides are prepared to dig in for the long haul.
A resolution to the strike is important for the U.S. auto industry and the economy as a whole. The auto industry is a major contributor to the U.S. economy, and the strike is costing the industry billions of dollars a day in lost production.
The strike is also causing delays for customers who are waiting for new vehicles. This is especially problematic given the current shortage of new vehicles.