Posts tagged Detroit
As Democrats back auto workers, GOP spots a divide over EVs
September 18, 2023 // The administration has been doling out funding provided by the 2021 infrastructure law for electric vehicle charging infrastructure and giving tax credits for electric vehicle buyers enacted in a 2022 reconciliation bill. Autoworkers see the push to electric vehicles as resulting in jobs in non-union factories in the U.S. and abroad, a contradiction of Biden’s promises to boost domestic manufacturing. The workers are also disgruntled about the EPA’s proposed rule on tailpipe emissions. The walkout began after the carmakers’ offers failed to meet the UAW’s demands for a double-digit wage increase over four years, reinstatement of cost-of-living pay increases, and more paid time off.

The UAW Might Drive the Big Three off a Cliff
September 14, 2023 // Automakers face this reality every day. General Motors is losing money on every electric vehicle, a situation that it hopes to change by 2025, though the path is far from certain. Ford’s EV line is expected to lose $4.5 billion this year, up nearly 50 percent over last year. Stellantis’s CEO has said the costs of the EV transition are “beyond the limits,” meaning the industry can’t continue down this road without making EVs prohibitively expensive.
Biden’s Union Problems Are a Gift to Trump
September 8, 2023 // Former President Donald Trump, who won Michigan by just under 11,000 votes in one of the biggest political upsets of the 2016 election, weighed in on the possibility of a strike over the Labor Day weekend, referring to Fain as a "respected" union head and vowing to stop the "madness" of electric vehicles. A labor action from UAW is likely to open up an opportunity for Trump to seize one of Michigan's most critical counties. Recent polls show that Biden is in a statistical dead heat against Trump. The Democrat is leading by just one percentage point, according to RealClearPolitics' polling averages. "Fain is in no hurry to endorse President Biden when a significant number of UAW members supported former President Trump in previous elections," Arthur Wheaton, the director of Labor Studies at Cornell University, told Newsweek. "Why risk fractures in union solidarity during a crucial bargaining period. No upside to endorsing now and plenty of potential downside in an extremely difficult bargaining time at the Detroit Three." Political consultant Jay Towsend said that while a UAW strike would be unlikely to damage Biden's image as a union supporter, the economic impact and turmoil that a labor action could cause would give his re-election campaign "a headache it does not need, especially in rust-belt states he must win."
From Strikes to New Union Contracts, Labor Day’s Organizing Roots Are Especially Strong Across the Country This Year
September 5, 2023 // The first U.S. Labor Day celebration took place in New York City on Sept. 5, 1882. Some 10,000 workers marched in a parade organized by the Central Labor Union and the Knights of Labor. A handful of cities and states began to adopt laws recognizing Labor Day in the years that followed, yet it took more than a decade before President Grover Cleveland signed a congressional act in 1894 establishing the first Monday of September as a legal holiday.
Labor leader Shuler touts union support as possible auto strikes loom
September 1, 2023 // Unions would support President Joe Biden in his reelection campaign next year, Shuler said, praising the president’s work to deliver federal infrastructure spending. Biden campaigned on infrastructure improvements and supported the $1.2 trillion bipartisan infrastructure law Congress passed in 2021. The law supports millions of jobs, she said, not only in construction and transportation but in the service industry as well. Every job created by the federal spending should be a union position, Shuler said.
‘I have a pension; they don’t’: Why United Auto Workers are fighting to end a two-tier system for wages and benefits
August 30, 2023 // U.S. automakers over the years have justified tiering as a way to stay competitive because of globalization, Lichtenstein said. “Whether the automakers are doing well [financially] or not, they’ll say the competition, like Toyota, will eat our cake.” But “across the board, the rank-and-file hated [tiering],” said Marick Masters, a business professor at Wayne State University in Detroit. “It was a sore point from Day 1. They viewed it as discriminatory that people were doing same job and getting paid substantially less, and that [some workers were] treated as second-class citizens.”
Chances of costly autoworker strike extra high amid Biden’s EV push
August 24, 2023 // This time around, labor negotiations are taking place under much different circumstances, with Detroit automakers in a precarious spot in an unsettled industry. Yes, they've been raking in huge profits from high-priced pickup trucks and SUVs. But they're also investing billions of dollars to develop future EVs that consumers are still hesitant to buy. Of note: In a rare move, Biden entered the fray last week, urging both sides to come to an agreement. "I support a fair transition to a clean energy future," the president said in a statement.

Are salaried workers required to cross a picket line during a labor strike? What happens.
August 23, 2023 // "If (nonunion workers) refuse to follow the direction they’ve been given by management, they could potentially lose their job if the company wanted to take such drastic measures," Kaminski said. "They could be fired for refusing to accept an assignment." ◾ Sympathy strikers can be permanently replaced, Kaminski said. Depending on their rank in an organization, some will retain the right to be put on a preferred recall list for a limited period of time. Many people consider being fired and being permanently replaced as the same, though technically different, Kaminski said.
Biden Names Veteran Union Official as Labor Policy Adviser
August 22, 2023 // Danaher until last Friday served as labor policy adviser at the Transportation Department, consulting with Secretary Pete Buttigieg on recent labor negotiations critical to supply chains involving freight railroads, West Coast ports and talks between United Parcel Service Inc. and the International Brotherhood of Teamsters. He also served on the administration’s supply-chain task force. “Brendan has been a trusted adviser to me and our entire Department during our ongoing work to help transportation workers secure the wages, benefits, and safe conditions they deserve,” Buttigieg said in a statement. Before joining the Biden administration, Danaher worked for two decades at a number of labor organizations including the AFL-CIO, Transport Workers Union and the American Federation of Government Employees.
From Detroit to Hollywood, New Union Leaders Take a Harder Line
August 18, 2023 // The full-throated demands can also backfire in economic terms. Yellow, a trucking company with 30,000 employees, declared bankruptcy several months after talks with the Teamsters broke down. The company’s chief executive said in a statement that the Teamsters’ intransigence drove Yellow out of business, though analysts note that the company showed signs of mismanagement for years. The risks may be even higher in industries under pressure to embrace a new business model. The major U.S. automakers have said that they need the ability to team up with nonunion battery manufacturers to secure additional capital and expertise. But Mr. Fain, the new U.A.W. president, has said that the failure to organize more battery workers was a major failure of his predecessors, and that battery workers must receive the same pay and working conditions that union workers enjoy at the Big Three. Many U.A.W. members say the tension between the automakers’ goals and the union’s indicates that a strike will be hard to avoid when their contract expires in mid-September. But they do not appear to be shrinking from that possibility.