In a significant deviation from tradition, United Auto Workers (UAW) President Shawn Fain announced plans for a potential expansion of strikes at the facilities of the Big Three automakers during a scheduled address to membership on Friday. The strategic shift, a direct response to Ford (NYSE:F), General Motors Co (NYSE:GM)., and Stellantis NV (NYSE:STLA) reserving Fridays for progress in negotiations, comes a month into the labor movement.
The UAW has broadened the scope of its strike at Ford's Kentucky plant, a key profit source for the automaker that produces high-margin pickup trucks such as F-Series Super Duty vehicles, Ford Expedition, and Lincoln Navigator. Ford maintains it has reached its limit concerning contract offers.
The ongoing strike, which began on September 14, involves workers from one plant each of Ford, General Motors Co., and Stellantis NV. Additional strikes have been announced on Fridays at other plants, including GM’s Arlington assembly line in Texas and a Stellantis complex in Detroit, both essential for producing high-margin pickup trucks.
Wall Street analysts predict these strikes could inflict "maximum pain" on automakers by affecting their picket-line firepower and depleting their strike fund. This strategic shift by the UAW is designed to use strike threats to spur progress in negotiations.
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