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DETROIT (AP) – The United Auto Workers union has announced that its 49,000 members working in General Motors factories in the United States will go on strike Sunday night because the contract negotiations with the automaker failed.
The decision was made after almost 200 union leaders at the plant voted unanimously in favor of stopping debate at a meeting Sunday morning in Detroit.
"We defended General Motors when they needed us most, and we are now building the unity and solidarity of our members," union vice-president Terry Dittes said in a statement.
It is still possible that the negotiators come back to the table and reach an agreement, but union spokesman Brian Rothenberg said at a press conference that it would be unlikely. He said that it would be hard to believe that negotiators could solve as many problems before 11:59 pm.
The announcement came hours after the union left GM's contract expiring on Saturday night.
In a statement, GM said it offered better pay, benefits and additional jobs in the United States.
"It is disappointing that UAW leaders have chosen to strike at midnight tonight, we have negotiated in good faith and with a sense of urgency.Our goal remains to build a strong future for our employees. and our company, "said the company.
GM has offered to start manufacturing new products in factories it is considering shutting down in Detroit and Lordstown, Ohio, according to one informed of the negotiations. The person spoke to the Associated Press about the condition of anonymity because she was not allowed to disclose the details of the proposal, which were not rendered public.
GM has proposed to build a new 100% electric pickup truck at Detroit's Detroit plant, which is expected to close next year. The factory in Lordstown, which has already stopped making cars, would become a battery manufacturing plant and could produce electric vehicles for a company called Workhorse, said the person.
On Saturday, the Vice President of the UAW, Terry Dittes, said in a letter to GM members that after months of negotiations, the union and GM were far apart on issues such as wages, health care, temporary employees, job security and profit sharing. The letter to members and another to GM aimed to put pressure on GM's negotiators.
"As we struggle to get better wages, affordable and quality health care, and job security, GM is refusing to let hard-working Americans before their record profits," Dittes said. , the main union negotiator with GM, in a statement Saturday night.
A strike by 49,200 unionized workers would halt GM's US production and likely prevent the company from manufacturing vehicles in Canada and Mexico. This would mean fewer vehicles for consumers among the concessions, and it would be impossible to build specially commissioned cars and trucks.
The strike would be the union's first since a two-day work stoppage at GM in 2007.
On Friday, union leaders extended their contracts with Ford and Fiat Chrysler for an indefinite period, but the deal with General Motors was expected to expire Saturday night.
The union has chosen GM as its target company, which is more profitable than Ford and Fiat Chrysler, meaning it is being negotiated and would be the first company to face a walkout. The picket lines' schedules have already been posted near the entrance of a local UAW office in Detroit.
Discussions between the union and GM were tense from the start, largely due to plans to close four US plants, including Detroit and Lordstown, Ohio. The union promised to fight against closures.
Here are the main areas of disagreement:
– GM is making a lot of money, $ 8 billion last year alone, and workers want a bigger share. The union wants annual wage increases to protect itself from the economic downturn, but the company wants to pay lump sums related to revenues. Automakers do not want higher fixed costs.
– The union also wants new products for the four plants GM wants to close. Factory projects have upset some workers, although most laid-off people are getting jobs at other GM factories. GM currently has too much factory capacity in the United States.
– Companies want to fill the cost gap of the workforce with factory workers managed by foreign builders. GM's gap is the largest ($ 13 an hour), followed by Ford ($ 11) and Fiat Chrysler ($ 5), according to figures from the Center for Automotive Research. GM pays $ 63 an hour in wages and benefits, compared with $ 50 in foreign-owned plants.
– Union members benefit from excellent health insurance plans, but workers pay about 4% of the cost. Employees of major companies in the country pay about 34 percent, according to the Kaiser Family Foundation. Companies would like to reduce costs.
Copyright 2019 Associated Press. All rights reserved.
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