The United Auto Workers (UAW) have announced their intention to resume negotiations on Saturday following the initiation of simultaneous strikes at General Motors, Ford Motor, and Stellantis (Chrysler's parent company). These strikes, considered one of the most ambitious labor actions in the U.S. in decades, have disrupted production at plants responsible for vehicles like the Ford Bronco, Jeep Wrangler, and Chevrolet Colorado.

The strikes have also triggered a ripple effect within the interconnected production system. Ford instructed 600 non-striking workers not to come to work on Friday, and GM informed around 2,000 workers at a Kansas car plant that their facility might shut down next week due to a lack of parts caused by a nearby strike.

Union members voiced their concerns about a two-tiered wage system, which they view as unfair and favoring investors over workers. They demand a larger share of profits, shorter workweeks, the restoration of defined benefit pensions, and enhanced job security, especially as automakers transition to electric vehicles.

UAW Vice President Chuck Browning, leading negotiations with Ford, reported "good progress" but acknowledged there's still much work to be done.
U.S. President Joe Biden called for fair compensation for workers, aligning it with the rise in executive salaries. Striking workers highlighted that "tier two" employees earn only half the hourly wages of senior UAW workers and receive inferior benefits.

Despite the demands for eliminating tiered wage systems, automakers haven't proposed this change. However, they have offered to reduce the time required to reach top pay from eight to four years.

Executives argue that the union's demands would make automakers uncompetitive against nonunion competitors. The strike was smaller than expected, and the UAW has an $825 million strike fund, while automakers have substantial profits from trucks and SUVs. Although the Biden administration expressed support for talks, they wouldn't mediate. The automakers have offered up to 20% wage hikes but without certain union-demanded benefits.

This labor action occurs amidst the shift towards electric vehicles, potentially impacting combustion powertrain jobs. While President Biden supports electric vehicles, the UAW hasn't endorsed his re-election, and former President Donald Trump criticized EVs as job-killers for the UAW.