UAW strike strategy sets companies against each other
UAW strike strategy sets companies against each other
Some United Auto Workers members are now on day 10 of their strike against GM, Ford and Stellantis as the union negotiates new contracts.
Those strikes got bigger on Friday, as workers walked out at 38 GM and Stellantis facilities that distribute auto parts to dealerships. As Marketplace reported last week, a lot of parts are still hard to come by for drivers in need of repairs.
The union is making a bet that those inconvenienced drivers will side with them — and that would put pressure on the automakers to make a deal.
In its first round of walkouts, the UAW targeted three vehicle assembly plants. But car companies have decent inventories right now, so consumers might not feel that yet. With car parts, it’s a different story, said Kate Bronfenbrenner, director of labor education research at Cornell.
And if people don’t have their cars, they can’t go to work, they can’t take their kids to daycare.
So a disruption to car repairs could put the strike in front of the public. A Reuters/Ipsos poll found so far that 58% of Americans support the union.
“This is going to put pressure on the company to settle a decent agreement,” Bronfenbrenner said.
It could also ramp up pressure from dealerships, which make a lot of money doing repairs, said Sam Fiorani, vice president at AutoForecast Solutions.
“Bringing the dealers into this fight is getting a louder voice against the vehicle manufacturers,” he said.
The union has only so much money to pay striking workers. But distribution centers have fewer employees, said Rebecca Givan, a labor studies professor at Rutgers.
“They can have a big impact on parts distribution, with a relatively small number of workers on strike, who will need strike pay,” she said.
The union also only expanded its strikes to GM and Stellantis, because it made some progress with Ford. In a statement, Ford said there are still “significant gaps to close.”
But choosing the other two is the union’s tactic, Givan said.
“They’re saying that, yes, you are competing against each other. And whichever one of you reaches an agreement first, will be back to full production first,” she said.
And the UAW still has cards left to play. It hasn’t yet stopped work on some of the most popular cars and trucks made by Ford, GM and Stellantis.
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