UAW strike at GM: UAW goes on strike against GM



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The union's 46,000 hourly workers traveled to 31 GM plants and 21 other facilities in nine states, mainly in the center of the country. This is the biggest strike of any union against any business since the last strike at GM in 2007.

The strike began at 23:59 Sunday night. The two parties did not officially meet on Sunday after the union announced its intention to strike at a press conference in the morning, although union spokesman Brian Rothenberg said the dialogue continued. A new meeting of both parties is scheduled for Monday at 10 am.

The union said GM was putting profits ahead of employees who helped turn the company around when it went bankrupt and rescued the federal government a decade ago.

The company announced that it had made a substantial offer including improved compensation and profit-sharing for union members, as well as investments to create new jobs. He also promised a "solution" for two of the four plants currently on the verge of closing: one in Detroit and another in Lordstown, Ohio.

The company did not say what would be the solution. But a person familiar with GM's bid said the offer included the promise to build a new electric truck in Detroit Hamtramck and to build new batteries for electric vehicles in Lordstown. This work would not start immediately, so the plants would stay dark for a while. Work would begin over the next four years if the offer was accepted.

A source close to the UAW with direct knowledge of the negotiations said most of the publicly disclosed proposals on Sunday were put forward very late Saturday.

In November 2018, GM announced plans to close the Detroit and Lordstown assembly plants, as well as the transmission plants in Baltimore and Warren, Michigan. The UAW has promised that maintaining the factories would be a key bargaining demand. Saturday at the end of the week, negotiations had progressed, but there were still "significant differences between the parties with respect to wages, health care benefits, temporary employees, job security" and benefit sharing ".

GM says its average hourly employee earns about $ 90,000 a year, not counting the benefits. But the number of GM hourly workers has fallen sharply in recent decades, driven by automation, loss of market share, and outsourcing. But GM still builds the vast majority of cars sold on the American market in North America. And there are many more factories in the United States than in Mexico or Canada.

If the union goes on strike, it will be the largest union ever against a US company since the last time UAW members hit GM in 2007.

The union had previously extended contracts with two other US manufacturers with UAW contracts, Ford (F) and Fiat Chrysler (FCAU)because it was aimed at GM in order to reach an agreement defining a model for the sector. The union announced late Saturday that its members would work after the expiry of the initial 12:01 (ET) contract early Sunday, but there would be no long-term extension of the contract at GM if both parties do not did not reach an agreement on Sunday.
The three automakers are facing a slowdown in sales and the need for huge multi-billion dollar investments in the development of autonomous electric vehicles with longer-term potential than current market demand.
It is the need to save money through these efforts that GM has shut down its operations at three US plants – including the Lordstown assembly line, and announced its intention to close the Hamtramck plant, its last plant in Detroit, early next year.
But negotiations come as the union is struck by a scandal involving embezzlement of the union and, in some cases, by union leaders accepting bribes from Fiat Chrysler officials. Nine people associated with the union or Fiat Chrysler have already pleaded guilty to federal charges.
Last week, the Detroit News announced that union president, Gary Jones, was the unidentified union leader identified in the most recent indictment as being "the UAW leader". The union did not respond to a request for comment on this report.
The government is looking for the home of the president of the UAW and is seizing documents

Experts say the scandal will make it more difficult for union leaders to ratify union members of automakers. Four years ago, all agreements were only concluded with narrow margins, even though there was no scandal at the time.

The last strike of 12 years ago lasted only three days, but some strikes against GM have been going on for months. For many employees hired since 2007, it is their first work stoppage.

Scott McLean of CNN contributed to this report.

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