UNITED STATES: On Monday, U.S. President Joe Biden stated that he didn’t think workers at the country’s three major automakers would go on strike, despite an approaching contract deadline later this month.
“I’m not worried about a strike,” said the Democratic president on Monday upon his arrival in Philadelphia before delivering a speech for the U.S. Labor Day holiday. “I don’t think it’s going to happen.”
Late last month, the United Auto Workers union announced that its members had voted strongly in support of the idea of initiating a strike against the Detroit Three automakers in case an agreement isn’t reached before the current four-year contract expires on September 14th.
A strike led by the UAW remains uncertain, yet the significant wage and benefit increases requested by UAW President Shawn Fain, coupled with the union’s vigorous campaign efforts, have left certain Detroit industry executives and analysts preparing for potential walkouts in September.
In a broader context, the National Labour Relations Board announced on Friday that it intended to launch an investigation into claims made by the UAW that General Motors (GM.N.) and Stellantis, the parent company of Chrysler (STLAM.MI), were not engaging in sincere negotiations—claims that automakers deny.
Separately, Ford Motor Company (F.N.) announced on Thursday that it had offered a 9% wage rise through 2027, far less than the 46% wage increase that the union was requesting.
In 2019, the UAW organised a 42-day strike against GM before ultimately reaching a new contract agreement.
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