UAW strike looms as talks with Detroit Three automakers break down
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According to vote results, 97% of workers approved the strike.
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This is the logo owned by United Auto Workers for United Auto Workers. (Wikimedia Commons)
The United Auto Workers, a labor union representing workers in the US and southern Ontario, Canada, said on Friday it authorized its members to launch a strike if the union and bargainers of the Detroit Three automakers fail to reach a deal on new contracts.
About 150,000 members are employed at one of the Detroit Three automakers, which includes General Motors, Ford, and Stellantis.
The union's newest president, Shawn Fain, issued the announcement for the authorization of a strike on Friday morning.
According to vote results, 97% of workers approved the initiative.
The contracts are set to expire on September 14, at 11:59 PM.
The votes are in, and the results are astounding: 97% of Big Three members voted YES to authorize a strike if the automakers don't give us a fair deal.
— UAW (@UAW) August 25, 2023
Get strike ready: https://t.co/gbtJCcQMwN pic.twitter.com/ZZ6IwbHUqs
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"Our union's membership is clearly fed up with living paycheck-to-paycheck while the corporate elite and billionaire class continue to make out like bandits," Fain said in a statement. "The Big Three have been breaking the bank while we have been breaking our backs."
Analyst Dan Levy said in a research note that at this stage in the culmination of events, a strike is "highly likely."
Normally, the union focuses on one automaker instead of three and attempts to reach a deal through bargain.
However, according to observers, Stellantis is the most likely target after Fain announced the rejection of the company's proposal via Facebook Live.
However, the UAW president also pointed out that the union could strike against all three companies at once.
If the latter happens, GM and Ford could lose 10% in their earnings in the event of a prolonged strike, experts say.
Stellantis is less likely to suffer heavy losses as most of its business is concentrated in Europe.
BREAKING: 150,000 members of United Auto Workers have voted overwhelmingly to authorize a strike.
— More Perfect Union (@MorePerfectUS) August 25, 2023
With 97% voting yes, the @UAW now has the power to strike at Ford, General Motors, and Stellantis.
The autoworkers could launch this massive strike as soon as September 15th. pic.twitter.com/dvtvSjoIxf
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