United Auto Employees strike: Price to US economic system tops $9 billion
Comodo Motors basic supervisor Jordan Baker joins The Massive Cash Present to debate the affect on auto sellers and automotive consumers from the continuing UAW strike.
The United Auto Employees’ simultaneous, however restricted, strike in opposition to Ford, Common Motors and Stellantis has now price the U.S. economic system over $9 billion, which is greater than twice the earlier report for an auto trade strike this century.
The newest information launched Monday from Michigan consulting agency Anderson Financial Group present the union’s strike in opposition to Detroit’s Massive Three price the auto trade alone some $9.3 billion as of Oct. 19, which marked the strike’s fifth full week.
UAW members protest in help of the strike on the Ford Meeting Plant on the South Aspect of Chicago on Oct. 7, 2023. (Jim Vondruska / Getty Photographs)
A breakdown of the numbers reveals the UAW’s strike has to this point price staff $488 million in misplaced wages, whereas the automakers have collectively misplaced $4.18 billion. Sellers and clients are out a mixed $1.86 billion, and suppliers have now taken greater than a $2.78 billion hit.
“The price of this strike is now double that of the 2019 UAW strike in opposition to Common Motors, with important layoffs amongst provider companies,” AEG principal and CEO Patrick Anderson mentioned in an announcement. “Misplaced wages of placing staff and people laid off due to the strike are nearing a half billion {dollars}.”
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Anderson pointed to AEG’s warning two weeks in the past that if the strike was extended, it will drive producers to delay or cancel investments. “We have now seen GM, Ford, and Stellantis announce such actions,” he mentioned. “Many extra are probably if the strike continues.”
Members of the UAW maintain a observe picket in entrance of Stellantis headquarters in Auburn Hills, Michigan, on Sept. 20, 2023. (Matthew Hatcher/AFP through / Getty Photographs)
| Ticker | Safety | Final | Change | Change % |
|---|---|---|---|---|
| F | FORD MOTOR CO. | 11.64 | +0.11 | +0.95% |
| GM | GENERAL MOTORS CO. | 29.66 | +0.33 | +1.13% |
| STLA | STELLANTIS NV | 18.88 | -0.07 | -0.37% |
The UAW launched its strike in opposition to the Massive Three on Sept. 15, beginning with one main meeting plant at every producer. The union has steadily added extra strike targets as contract negotiations proceed with none agreements in place.
The union focused one other Stellantis plant on Monday morning, bringing the full variety of UAW members placing throughout the Massive Three to 40,000. In complete, the automakers make use of practically 150,000 staff who’re represented by the union.
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The shutdown of the manufacturing strains from the strike have led to layoffs at different crops the place work has dried up. Strike-related layoffs have now reached 6,000 at GM, 2,730 at Ford, and 1,520 at Stellantis.
UAW president Shawn Fain joined union members at a rally in Chicago on Oct. 7, 2023. (Jim Vondruska / Getty Photographs)
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UAW President Shawn Fain mentioned Friday in his weekly tackle to members that though the union has acquired report affords from the Massive Three, union management believes there’s “extra to be gained” from the automakers.
FOX Enterprise’ Sarah Rumpf-Whitten contributed to this report.
