Expansion of United Auto Workers Strike Encompasses Chicago and Lansing as an Additional 7,000 Workers Join the Protest

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The United Auto Workers (UAW) union has announced the expansion of its ongoing two-week strike against Detroit-based car manufacturers to include 7,000 more employees. These additional workers are from a Ford facility located in Chicago, Illinois, and a General Motors assembly plant situated near Lansing, Michigan.

In a video message delivered on Friday, Union President Shawn Fain communicated that while negotiations with Ford and General Motors (GM) are ongoing, both companies have been unyielding in making significant advances during the discussions. Stellantis, the company behind Jeep, has been exempt from the third wave of strikes.

The General Motors assembly facility in Delta Township, in proximity to Lansing, is primarily focused on the production of large crossover SUVs, including models like the Chevrolet Traverse and Buick Enclave. Fain stated that a nearby metal parts stamping plant would continue its operations.

The Ford plant in Chicago is responsible for manufacturing models such as the Ford Explorer, Explorer Police Interceptors, and the Lincoln Aviator SUV. The Ford Explorer Interceptor holds the distinction of being the top-selling police vehicle in the United States.

Further Developments on the Strike

Fain expressed disappointment that, despite a willingness from the union to negotiate, Ford and GM have not made meaningful strides at the negotiation table. However, he noted that discussions are still active with all three automotive companies and expressed hope for a positive outcome reflecting the sacrifices made by union members over the past decade.

In contrast to Ford and GM, Stellantis demonstrated substantial progress by agreeing to cost-of-living pay adjustments, the right for workers not to cross picket lines, and the right to initiate strikes over plant closures, moments before the live broadcast. Fain indicated satisfaction with the progress at Stellantis, stating that the union’s strategy appears to be effective.

General Motors expressed a less optimistic view, with Gerald Johnson, head of manufacturing, accusing the UAW of initiating more strikes for media attention rather than genuine progress. Johnson disclosed that GM has yet to receive a counter-proposal to the economic proposal presented on September 21.

Financial and Strategic Implications

Industry analysts, such as Wedbush’s Dan Ives, have commented that both parties appear to be digging in for an extended conflict. The current proposals would add between $3,000 to $5,000 to the price of an average electric vehicle, costs which would be transferred to consumers, posing a potential risk to the automakers’ future business models.

The UAW has stated that if significant contract improvements are not made, the union will intensify its labor campaign against all three Detroit-based automakers. As of now, approximately 17% of the union’s 146,000 workers at these companies are participating in the strike, which allows the union to maintain a strike fund initially valued at $825 million prior to September 14. If all union members were to join the strike, the fund would be exhausted in less than three months, not accounting for healthcare costs.

Contracts had expired on the night of September 14, and the union initiated the strike on September 15 when an agreement could not be reached. The strike has been structured in such a way that it allows the companies to continue producing their most profitable vehicles—pickup trucks and large SUVs. However, the latest round of strikes targets key moneymaking SUVs for both GM and Ford.

This year, Fain implemented a new strategy, targeting a limited number of facilities at all three automakers and threatening to escalate the strikes if more favorable offers are not presented.

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Reported by Koenig from Dallas.

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More about United Auto Workers strike expansion

• United Auto Workers Official Website
• Detroit Automakers and UAW Negotiations
• Labor Strikes in the U.S. Automotive Industry: A Historical Overview
• Shawn Fain’s Video Message to Union Members
• General Motors’ Response to UAW Strike
• Wedbush Analyst Dan Ives on UAW Strike Financial Impact
• Cost Analysis of Electric Vehicles Amidst UAW Strike
• UAW Financial Status and Strike Fund
• Stellantis and UAW Negotiations Update
• Timeline of UAW Strikes and Contract Expirations