Stand Up, Not Out: UAW's Strike Imminent — Union President Shawn Fain Just Rattled The Big 3's Cage

The United Auto Workers (UAW) President Shawn Fain sent a resounding warning to Big 3 automakers Ford Motor Co F, General Motors Co GM and Stellantis NV STLA, signaling an imminent strike is on the horizon if the union's demands aren't met.

Addressing UAW union members via livestream on Wednesday, Fain spoke about the contrast between the rising profits of automakers and the stagnant wages of workers, condemning what he perceives as corporate greed at the expense of hardworking Americans.

"In just four years, Big Three profits have soared 65% — and auto workers wages are up a mere six percent," Fain noted, underlining the widening gap.

He argued that doubling worker wages wouldn't dent the automakers' enormous profits, pointing out the billions spent on stock buybacks and lavish payouts to Wall Street.

“If they have money for Wall Street, they sure as hell have money for the workers who make the product,” Fain said.

Of the negotiations, he shared the union's ambitious demands: a total 46% wage hike over four years, restoration of pensions, post-retirement health care and a decrease in the workweek to 32 hours.

He also stressed the principle of equal pay for equal work, criticizing the continued tier system.

While there's been some progress, the Big 3 remain resistant to many of the union's core demands. For example, the UAW's proposal for significant wage hikes was met with counteroffers ranging from 17.5% to 20% over varying periods.

Of the issue of job security and plant closures, all three companies rebuffed the union's propositions — the union declined.

This historic bargaining session sees the UAW negotiating simultaneously with all three automakers, an unprecedented move. Adding to the tension, the UAW recently filed a complaint accusing GM and Stellantis of not bargaining in good faith.

If no agreements are reached by Sept. 14 at 11:59 p.m., the strike could commence, affecting up to 146,000 workers.

Read Also: Tesla Already Dominates US EV Sector: What Could UAW Strike Mean For Competition, Market Share?

The UAW president said the union is going to strike in a way the Big 3 has never seen before, introducing a strategy called the "stand up strike."

The approach draws inspiration from the influential sit-down strikes of 1937, which played a pivotal role in shaping the union. The essence of the stand-up strike lies in its unpredictability and reliance on discipline, organization and innovation.

Unlike traditional strikes that target all facilities, the new approach is more strategic. It will start with a select few locations from the three major companies and, based on negotiation outcomes, may expand over time, encompassing more locals.

The president clarified the union's intention wasn't to strike but to secure a just agreement. But if met with uncooperative attitudes or derogatory offers, the union is prepared to escalate its efforts, focusing on pivotal areas and times that promise the most impact.

The new and methodical approach could be set in motion this Thursday, Sept. 14 at 10 p.m. Eastern time.

The automakers contend they're genuinely negotiating but have expressed concerns that substantial pay hikes might impact investments in electric vehicles.

Read Next: UAW Strike: Who Gets The Most Blame From US Adults — Ford, GM, Stellantis, The Union Or Joe Biden?

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