Nearly 50,000 union workers are on strike at General Motors for the first time in more than a decade. The strike has caused a nationwide halt on GM’s production.
Union workers’ demands include higher wages, better benefits, and reopening an Ohio plant that was shut down in 2019. The strike officially began late on Sunday, September 15 after leaders in the United Automobile Workers (UAW) union authorized it.
The UAW reportedly represents employees at 55 facilities across the United States, including Flint, Michigan, where General Motors was founded. The strike was prompted when UAW’s bargaining agreement expired and negotiations to renew it failed. Union Workers are also asking GM to reduce the pay gap between new hires and longtime employees and to increase productivity and flexibility in factories. Negotiations between UAW and GM reportedly resumed Monday morning.
The stroke carries a big cost for both sides. GM is expected to lose between $50 million and $400 million a day, and union workers earn just $250 a week in strike wages.