The UAW (United Auto Workers) union strike endures following five weeks of striking and doesn’t seem to be stopping anytime soon. Companies and businesses are already feeling the pressure from the strike, while the financial impact of the strike will increase further the longer the strike continues.
The UAW strike consists of members who work in numerous different industries with a variety of different jobs, but still mainly comprise American automobile manufacturing employees, as well as unionized casino and higher education workers. The UAW’s targeted strikes have been against leaders in the American automobile industry, including automakers such as General Motors, Stellanis, and Ford.
The main demands from the union have been a 36% increase in pay over the next four years, a return of cost-of-living pay raises, an end to inconsistent wage tiers for factory jobs, etc.
Following ongoing contract negotiations, the UAW was offered a proposal from the companies to end the strikes, but the automakers were then shut down. Among the proposals was the offer of a 23% increase in pay over four and a half years, the elimination of wage tiers, greater pension funds for retirement, and more time for parental leave and holiday time.
UAW President Shawn Fain commented on the contract offers by saying “there is more to be won,” during an online broadcast. “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 auto workers have gone backward over the last two decades. That’s a very low bar.”
While the UAW strikes have only gone on for roughly over 5 weeks, its economic impact has already felt in the economy. The economic cost from the strikes has already resulted in 7 billion dollars lost and will result in further damage as the strike continues, even if it ends.
Erik Gordon, University of Michigan professor, commented on the strikes stating “The damage from the strikes will last long after UAW members return to work.” Workers will also need to be careful with spending he said, as their pay from strikes will be less than their usual pay.
Written by Kevin HanShare this: