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United States Power Transportation

US Autoworkers End Strike with Pay Raises and a Chance to Unionize EV Battery Plants (apnews.com) 145

There's been predictions that a transition to electric vehicles would hurt autoworkers. But this week U.S. autoworkers ended their strike after winning "significant gains in pay and benefits," reports the Associated Press: The United Auto Workers union overwhelmingly ratified new contracts with Ford and Stellantis, that along with a similar deal with General Motors will raise pay across the industry, force automakers to absorb higher costs and help reshape the auto business as it shifts away from gasoline-fueled vehicles...

The companies agreed to dramatically raise pay for top-scale assembly plant workers, with increases and cost-of-living adjustments that would translate into 33% wage gains. Top assembly plant workers are to receive immediate 11% raises and will earn roughly $42 an hour when the contracts expire in April of 2028. Under the agreements, the automakers also ended many of the multiple tiers of wages they had used to pay different workers.

They also agreed in principle to bring new electric-vehicle battery plants into the national union contract. This provision will give the UAW an opportunity to unionize the EV battery plants plants, which will represent a rising share of industry jobs in the years ahead.

In October the union's president criticized what had been the original trajectory of the auto industry. "The plan was to draw down engine and transmission plants, and permanently replace them with low-wage battery jobs. We had a different plan. And our plan is winning."

And this week the union's president said they had not only "raised wages dramatically for over a hundred thousand workers" — and improved their retirement security. "We took a major step towards ensuring a just transition to electric vehicles."

In Belvidere, Illinois, the union "won a commitment from Stellantis to reopen a shuttered factory and even add an EV battery plant," the Associated Press notes.

"The new contract agreements were widely seen as a victory for the UAW," their article adds — and perhaps even for other autoworkers. After the UAW's president announced plans to try unionizing other plants, three foreign automakers in the U.S. — Honda, Toyota and Hyundai — "quickly responded to the UAW contract by raising wages for their factory workers."
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US Autoworkers End Strike with Pay Raises and a Chance to Unionize EV Battery Plants

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  • We've been here before - in the early 80s the US car industry was shown up by higher quality lower cost imports because Detroit had grown fat and lazy. No doubt we will see something similar again as the quality of Chinese cars rises - Japanese ones started off with a poor quality record. Watch out for demands for protection - and probably in the longer term bail outs - from US automakers...

    • China keeps making noises about selling cars here but they would have to comply with our safety requirements and parts supply requirements and both of those things run counter to the way business works in China. So all we get from China is Volvos, and that only because they bought a whole corporation already prepared to sell cars here.

      It's not impossible to see it happen, it just seems like if it were going to it would have done already. I can see that consumers would buy them, after all they are buying Hyu

      • They are coming!

        https://cleantechnica.com/2021... [cleantechnica.com]

        The reference to Mexico made cars may also be significant; that would be a place where the Chinese could get enough local content etc to benefit from the free trade agreement

        • It's 2023 now bro. 2022 came and went without the prophecies being fulfilled. China says they are going to start selling their brands into our market every year or two just to see if anyone is interested, and so far, statistically no one is.

          • 'But China's car industry has quadrupled exports in just three years, surpassing Japan this year as the world leader. This year, exports of cars surged 86 percent through July.

            https://www.nytimes.com/2023/0... [nytimes.com]

            https://english.elpais.com/eco... [elpais.com]

            I hope you're right, but I suspect that it won't be long before China does have a lot of cars arriving in the USA; the latest wages deal is an invitation for them to try harder, and the economic logic is overwhelming

      • Chinese cars are already on our soil. The Buick Envision, and some Cadillac models are made on the mainland.

  • Name one industry or,company in the US with a unionized workforce which is successful. UPS and USPS cannot invest to compete against Amazon. GM and Ford stock valuation is incredibly low. UAW could buy GM at its bargain price, cut the pay of management and distribute profits to hourly employees. Yet none of the strikers ask for that.
    • UAW could buy GM at its bargain price, cut the pay of management and distribute profits to hourly employees. Yet none of the strikers ask for that.

      The strikers aren't in a position to demand that the corporation do business in a certain way. They can demand better treatment, and the logical way to give it to them might be to cut CEO pay (Well of course it is) but it's up to the automaker where they find the money to increase the wages. Naturally they are going to increase prices.

    • UPS and USPS cannot invest to compete against Amazon.

      Pretty much nothing beats the USPS for efficiency. Quite a lot of politicians hate this because it disproves their anti-government rhetoric so they keep doing crazy stuff to the USPS to make it look like it's bad. Fortunately, the US government is not yet as insane (or effective?) as the UK one since they haven't managed to privatize it over there yet. It's also the delivery service of last resort. The USPS is also the delivery service of last resort and

    • Name one industry or,company in the US with a unionized workforce which is successful. UPS and USPS cannot invest to compete against Amazon. GM and Ford stock valuation is incredibly low. UAW could buy GM at its bargain price, cut the pay of management and distribute profits to hourly employees. Yet none of the strikers ask for that.

      UPS and USPS are used as shipping services by Amazon. They don't sell what they deliver.

    • by Ksevio ( 865461 )

      Name one industry or,company in the US with a unionized workforce which is successful

      Is this a trick question? Pretty much all of them are successful and their workers are paid better. Industries such as construction, medicine, manufacturing, entertainment, public safety, education... the list goes on.

  • Er ... hooray? (Score:3, Insightful)

    by cascadingstylesheet ( 140919 ) on Monday November 20, 2023 @07:10AM (#64017917) Journal

    In October the union's president criticized what had been the original trajectory of the auto industry. "The plan was to draw down engine and transmission plants, and permanently replace them with low-wage battery jobs. We had a different plan. And our plan is winning."

    Thanks to intimidation, it's going to take more people and factories to do the same things? Er, hooray?

    • by sinij ( 911942 )
      Whatever the costs of upholding the Social Contract [wikipedia.org] it is money well spent. The alternative is increased social unrest [epi.org] that not only has monetary costs, but also leads to increase of authoritarianism of governments.

      TL;DR Optimizing only for manufacturing efficiency leads to a fucked-up society that does not manufacture anything.
    • Intimidation? (Score:2, Insightful)

      by rsilvergun ( 571051 )
      How is it that you is a worker was so completely beaten down that you mistake bargaining for higher wages for intimidation?

      And no it's not going to take more people to do the same thing. Unions neither encourage or discourage automation and automation is what reduces the number of people. The only time a human being wins out over a robot it is when that person is a slave. And I would like to think that the majority of us have decided slavery is wrong. Although I'm not going to pretend it's all of us...
  • by rossdee ( 243626 ) on Monday November 20, 2023 @08:51AM (#64018145)

    I don't think the batteries will work if they are un-ionized

  • I'm more concerned with how the autoworkers are going to hurt the transition to electric vehicles. Thank FSM Musk is creating robot workers!

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