DETROIT – UAW leader Shawn Fain cited “serious movement” toward a deal with Stellantis and General Motors, but cautioned that “there is more to be won.”
During his weekly Friday afternoon live stream, Fain provided a brief update on negotiations, criticized Bill Ford for his comments earlier this week, and explained why UAW isn’t simply accepting a “record deal” in contract talks.
‘Serious movement’ with 2 of Big 3 automakers
“I’m happy to report that in the past 24 hours, we’ve seen serious movement from both Stellantis and GM,” Fain said. “Meanwhile, Ford continues to stew about (Kentucky Truck Plant) and pretend they can’t afford what we’re asking for.”
Fain said both Stellantis and General Motors “put a lot more money on the table” this week while there weren’t any additional plant walk-outs.
“That’s because they know if they don’t move, there will be serious consequences,” Fain said.
He said since the UAW strike hit Ford’s biggest plant, “they haven’t come back with anything new.”
Not settling for ‘record contracts’
Fain conceded that the UAW has received record contract offers as the strike continues into its fifth week, but he doesn’t believe that’s enough.
“There is more to be won,” Fain said. “One thing we’ve been hearing over and over from these companies is how they’ve offered us record contracts. They stole that line from us, by the way, and you know what? We agree. These are already record contracts, but they come at the end of decades of record decline, so it’s not enough to be the best ever when autoworkers have gone backwards over the last two decades. That’s a very low bar.
“I also find it a pathetic irony that every time they make an offer, it’s the best they can do, it’s a record offer, and then two days later, there’s a new record. What that should tell you is there’s room to move.”
Where negotiations stand
As of this week, here’s where negotiations stand, according to Fain’s update:
These are the demands of the UAW:
- Significant double-digit pay raises to match average pay increases of Big 3 CEOs, catch up with inflation, and make up for decades of falling.
- Elimination of all wage tiers.
- Wage progression: A 90-day progression to top rate.
- Cost of living: COLA so wages keep up with inflation and our quality of life improves.
- Profit sharing: Enhanced profit sharing formula and inclusion of temporary employees.
- Temps: End abuse of temporary workers by converting to full time after 90 days, providing full benefits and profit sharing.
- Job security: Job security with right to strike over plant closures and Working Family Protection Program.
- Work-life balance: Increased work, life, and family balance with more paid time off and holidays.
- Retirement: Retirement security for all members.
Here’s what the three companies are offering, according to Fain:
Ford:
- Pay offer of 23% increase over four and a half years (Fain says this is up from 20% “days ago,” while Ford says the offer “has been over 20% since Oct 2″).
- Wage tiers eliminated: Rawsonville and Sterling workers will make production wages.
- Wage progression: A three-year progression.
- Cost of living: COLA restored to 2009 level.
- Profit sharing: Improved profit sharing by moving to total company profits, including Ford credit. Temporary employees with 90 days are eligible.
- Temps: Conversion of current temps with 90 days to full time. Wage increases to $21 per hour for remaining and future temps. Automatic conversion of future temps is still being negotiated.
- Job security: Right to strike over plant closures.
- Work-life balance: Juneteenth and two weeks of paid parental leave.
- Retirement
- 401(k): Increased company contribution to 9.5% plus $1 per hour.
- A $3 increase to pension benefit.
- Current retirees: Annual lump sum payments of $250. Surviving spouses are eligible for those payments. -- “Deeply inadequate,” according to UAW.
General Motors:
- Pay offer of 23% increase over four and a half years (up from 20% days ago).
- Wage tiers eliminated: GMCH and CCA workers will make production wages.
- Wage progression: A three-year progression for current workers and a four-year progression for future hires.
- Cost of living: COLA approaching restoration, but not fully there. -- “We’re really close, with some tweaks left to make,” Fain said.
- Profit sharing: Maintain current profit sharing formula. Temporary employees with 1,000 hours are eligible.
- Temps: Conversion of current and future temps with one year to full time. Wage increases to $21 per hour for remaining and future temps.
- Job security: Rejected right to strike over plant closures.
- Work-life balance: Juneteenth and two weeks of paid parental leave.
- Retirement
- 401(k): Increased company contribution to 8% plus $1.25 per hour.
- A $4 increase to pension benefit.
- Current retirees: One-time lump sum payments of $1,000. Surviving spouses are not eligible. -- “Deeply inadequate,” according to UAW.
Stellantis:
- Pay offer of 23% increase over four and a half years (up from 20% days ago).
- Wage tiers eliminated: MOPAR workers will make production wages.
- Wage progression: A four-year progression.
- Cost of living: Deficient COLA that is delayed a year.
- Profit sharing: Maintain current profit sharing formula. Temporary employees are not eligible.
- Temps: Conversion of thousands of current temps to full-time to address abuses of temps by the company. Wage increases to $20 per hour for remaining and future temps. Automatic conversion of future temps is still being negotiated.
- Job security: Right to strike over plant closures.
- Work-life balance: Juneteenth and two weeks of paid parental leave.
- Retirement
- 401(k): Increased company contribution to 9.5% plus $1 per hour.
- A $3 increase to pension benefit.
- Current retirees: Rejected all increases to retiree pay.
“This week, GM and Stellantis got the message loud and clear,” Fain said. “They hurried to catch up with Ford, but GM, in particular, is worrying. They tell us they need a two-tiered wage progression because they expect to do a lot of hiring. At the same time, they threaten product and won’t give us the right to strike over plant closures.
“Stellantis has its issues, as well. They’re still at a four-year progression. They’re still at just $20 for temp workers. They’ve rejected all increases to retiree pay.
“Ford is just waiting around, handing out money to Wall Street.
“The bottom line is we’ve got cards left to play, and they’ve got money left to spend. That’s the hardest part of a strike. Right before a deal is when there’s the most aggressive push for that last mile. They just want to wait us out. They want division. They want fear. They want uncertainty, and what we have is our solidarity.”
Ford statement
Here is a statement from Ford in response to Fain’s live stream:
“It’s good that Mr. Fain acknowledged Ford’s contract offer “already” is a record and remains the best one on the table. We know that our UAW employees are hurting in this prolonged strike because of lost wages and lost profit sharing. We’re eager to conclude these negotiations with a contract that meaningfully improves their lives and provides a strong future for everyone. We look forward to coming together to build a great company that supports good jobs for generations to come.”
Ford
Stellantis statement
Here is a statement from Stellantis in response to Fain’s live stream:
Negotiations between Stellantis and the UAW continue to be productive, building on the momentum from the past several weeks. We have made progress on narrowing the gaps on significant issues that will bring immediate financial gains and job security for our employees. Our focus remains on resolving those issues as soon as possible and finding solutions that protect the Company and our employees.
Stellantis
Full UAW video update
You can watch Fain’s full update below:
