The United Auto Workers (UAW) union is officially on strike at Ford (F), General Motors (GM), and Stellantis (STLA) after contract negotiations failed to produce a new collective agreement.
While there are nearly 150,000 UAW members in the U.S., only about 12,700 autoworkers are currently striking at three production plants as part of the union’s targeted approach to job actions.
The facilities targeted for strike action by the UAW include General Motor’s mid-size truck and full-size van plant in Wentzville, Missouri; Ford’s Ranger mid-sized pick-up truck and Bronco SUV plant in Wayne, Michigan; and Stellantis’ Jeep plant in Toledo, Ohio.
The plants produce highly profitable vehicles for each of the automakers.
The UAW has taken an unconventional approach of negotiating with all three automakers at once during this round of collective bargaining and has been reluctant to compromise on its demands, which have included across the board pay raises of 40%.
“For the first time in our history, we will strike the ‘Big Three’ at once,” said UAW President Shawn Fain.
Other union demands during this round of bargaining include a reduced 32-hour work week and a return to traditional pension plans for workers.
The three automakers have offered wage increases of 20%, profit-sharing bonuses, and enhanced vacation and family leave benefits, all of which have been dismissed by the UAW.
The stock of Ford and General Motors have each declined more than 15% over the last 12 months. Stellantis, which owns Chrysler, has seen its share price rise 39% in the past year.