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    Drivers and Dealers Could Soon Feel Impact of U.A.W. Strikes

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    Lengthy and expanding walkouts by the United Automobile Workers union against Ford, General Motors and Stellantis could strain a fragile supply chain.More than a week into its targeted strike at the three established U.S. car companies, the United Automobile Workers union has poked holes in a supply chain that has still not fully recovered from the pandemic.The companies and the union remain far apart in negotiations, and the U.A.W. could expand its strikes to more locations as soon as Friday. Depending on how long the strikes last, it could exact a heavy toll on autoworkers and the three companies — General Motors, Ford Motor and Stellantis, the parent of Chrysler and Jeep. But the work stoppages could also be painful to drivers, car dealers and auto-parts suppliers.A long and expanding strike will reduce the number of new cars on dealer lots, make it harder for people to repair their vehicles and reduce demand for parts needed to make new vehicles.So far, the economic damage has been limited because the U.A.W. has struck only a small number of plants and warehouses, but the pain could worsen if work stoppages grow to include many more locations and last weeks or months.“The economic spillovers from the U.A.W. strike remain contained as we near the two-week mark,” said Gabriel Ehrlich, an economic forecaster at the University of Michigan. “We are seeing some layoffs among automotive suppliers, ranging from seat makers to steelworkers. We would expect these impacts to accumulate as the strike persists and additional targets are announced.”When the union started walkouts at assembly plants, it appeared to target plants that make popular models, like the Ford Bronco, the Jeep Wrangler and the Chevrolet Colorado. It widened the strike on Sept. 22 to include parts distribution centers at G.M. and Stellantis.As those popular models become more scarce, dealers are likely to push up prices.“They took out the ones that are going to hurt the most,” said Jeff Rightmer, a professor at Wayne State University who specializes in supply chain management. “At this point, they’re not going to be able to get that production back.”New-car sales are expected to rise this month, despite the strike and high interest rates, according to Cox Automotive. And for now, overall inventories for the three companies remain stable, except for the most popular models, according to data from CoPilot, a firm that tracks dealer inventories.As of Sept. 24, G.M. had enough vehicles on dealer lots to meet demand for 40 to 70 days across its four brands. Ford had enough cars and trucks for 74 days. And Stellantis had more than 100 days across three of its four divisions; Jeep had less than 100 days.Jeep Wranglers at the Stellantis Toledo Assembly Complex in Toledo, Ohio, at the beginning of the strike.Evan Cobb for The New York TimesAmong the 10 models affected by the first set of U.A.W. strikes, supply for four models has dwindled to less than one month’s sales.“Once that dries up, they’re not building anything, so it’s important that the strike is as short as possible,” said Wes Lutz, a car dealer in Jackson, Mich., who sells Chrysler, Dodge, Jeep and Ram models.He has been getting cars from other plants, including large pickup trucks imported from Mexico. But he is worried that an expanding strike could reduce the supply of more models.An even bigger concern, Mr. Lutz said, is that the strikes at G.M. and Stellantis parts warehouses could soon make it hard to repair vehicles, leaving some drivers stranded. He said that he was working with other dealers to trade spare parts among themselves to keep their service departments going.Servicing and repairing vehicles is generally the most profitable part of car dealerships. Service departments bring in so much money that they can cover most or all of the costs of running dealerships, said Pat Ryan, chief executive of CoPilot.That’s why a parts shortage could deal a bigger blow to dealers than not having enough vehicles to sell. If parts are hard to come by for weeks or months, some dealers may suspend repairs and lay off mechanics.Another group of businesses exposed to the strikes are the companies that make parts and components like batteries and mufflers for new vehicles. Nearly 700 auto suppliers could be hurt by the strike, according to Resilinc, a supply chain monitoring company.CIE Newcor, an auto components maker, notified workers on Sept. 21 that it expected to lay off 300 employees at four Michigan plants starting Oct. 2. The extent of the layoffs will be “determined by the length of the potential U.A.W. — Detroit 3 strike,” the company said in a regulatory filing.Much of the auto industry practices “just in time” production, meaning materials are delivered and parts are built and sent to car factories as they are needed.If smaller suppliers go more than a few weeks without selling products to customers, some may have to seek bankruptcy protection, said Ann Marie Uetz, a Detroit-based partner at the law firm Foley & Lardner who represents auto suppliers. “There is definite strain in the supply chain, and you’re going to see some of them suffer as a result of the strike if it lingers for a month or more.” More

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    U.A.W. Says It Could Expand Auto Strikes on Friday

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    The United Automobile Workers union said the strikes against General Motors, Ford and Stellantis could grow on Friday if negotiators don’t make enough progress.The United Automobile Workers union said on Wednesday that it planned to expand its strike against the big three Michigan automakers on Friday if negotiators failed to make substantial progress on new contracts.The union ordered workers to walk off the job nearly two weeks ago at three vehicle assembly plants — each owned by one of the companies, General Motors, Ford Motor and Stellantis, the parent of Chrysler and Jeep. Last Friday the union broadened the strike to include spare parts-distribution centers owned by G.M. and Stellantis, saying it had made progress in its talks with Ford.The U.A.W. president, Shawn Fain, is scheduled to update members in a video streamed live on Facebook on Friday morning.The union is seeking a substantial wage increase to make up for much smaller raises over the last decade. Each of the companies has offered to lift wages by roughly 20 percent over four years, about half of what the U.A.W. is seeking. The union has demanded other measures including cost-of-living adjustments, the right to strike to protest plant closures, pensions for more workers and company-paid health care for retirees.The three plants that have been shut down by the strike include a G.M. factory in Wentzville, Mo., a Ford plant in Wayne, Mich., and a Stellantis complex in Toledo, Ohio. They make some of the manufacturers’ most profitable models, including the GMC Canyon pickup truck, the Ford Bronco sport-utility vehicle, and the Jeep Wrangler.The second wave of the strike idled 20 Stellantis parts-distribution centers and 18 owned by G.M. More than 18,000 U.A.W. workers are now on strike. The union represents about 150,000 workers employed by G.M., Ford and Stellantis.The union and the companies started negotiating new collective bargaining agreements in July, but made little progress until this month. Their contracts expired on Sept. 14 and Mr. Fain called on the first round of work stoppages the following day. More

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    U.S. Government Shutdown Is Unlikely to Cause an Immediate Recession

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    White House and Wall Street estimates suggested the economy could withstand a brief shutdown, with risks mounting the longer it lasts.Federal government shutdowns have become so common in recent years that forecasters have a good read on how another one would affect the American economy. The answer is fairly simple: The longer a shutdown lasts, the more damage it is likely to inflict.A brief shutdown would be unlikely to slow the economy significantly or push it into recession, economists on Wall Street and inside the Biden administration have concluded. That assessment is based in part on the evidence from prior episodes where Congress stopped funding many government operations.But a prolonged shutdown could hurt growth and potentially President Biden’s re-election prospects. It would join a series of other factors that are expected to weigh on the economy in the final months of this year, including high interest rates, the restart of federal student loan payments next month and a potentially lengthy United Automobile Workers strike.A halt to federal government business would not just dent growth. It would further dampen the mood of consumers, whose confidence slumped in September for the second straight month amid rising gas prices. In the month that previous shutdowns began, the Conference Board’s measure of consumer confidence slid by an average of seven points, Goldman Sachs economists noted recently, although much of that decline reversed in the month after a reopening.Gregory Daco, the chief economist at EY-Parthenon, said a government shutdown would not be a “game changer in terms of the trajectory of the economy.” But, he added, “the fear is that, if it combines with other headwinds, it could become a significant drag on economic activity.”Jared Bernstein, the chairman of the White House Council of Economic Advisers, said in a statement on Wednesday that the council’s internal estimates suggest potential losses of 0.1 to 0.2 percentage points of quarterly economic growth for every week a shutdown persists.“Programmatic impacts from a shutdown would also cause unnecessary economic stress and losses that don’t always show up in G.D.P. — from delaying Small Business Administration loans to eliminating Head Start slots for thousands of children with working parents to jeopardizing nutrition assistance for nearly 7 million mothers and children,” Mr. Bernstein added. “It is irresponsible and reckless for a group of House Republicans to threaten a shutdown.”Goldman Sachs economists have estimated that a shutdown would reduce growth by about 0.2 percentage points for each week it lasts. That’s largely because most federal workers go unpaid during shutdowns, immediately pulling spending power out of the economy. But the Goldman researchers expect growth to increase by the same amount in the quarter after the shutdown as federal work rebounded and furloughed employees received back pay.That estimate tracks with previous work from economists at the Fed, on Wall Street and prior presidential administrations. Trump administration economists calculated that a monthlong shutdown in 2019 reduced growth by 0.13 percentage points per week.After that shutdown ended, the Congressional Budget Office estimated that real gross domestic product was reduced by 0.1 percent in the fourth quarter of 2018 and 0.2 percent in the first quarter of 2019. Although the office said most of the lost growth would be recovered, it estimated that annual G.D.P. in 2019 would be 0.02 percent lower than it would have been otherwise, amounting to a loss of roughly $3 billion. Because growth and confidence tend to snap back, previous shutdowns have left few permanent scars on the economy. Some economists worry that might not be the case today.Mr. Daco said federal workers might not spend as much as they would have absent a shutdown, and government contractors might not recoup all of their lost business.A long shutdown would also delay the release of important government data on the economy, like monthly reports on jobs and inflation, by forcing the closure of federal statistical agencies. That could prove to be a bigger risk for growth than in the past, by effectively blinding policymakers at the Federal Reserve to information they need to determine whether to raise interest rates again in their fight against inflation.The economy appears healthy enough to absorb a modest temporary hit. The consensus forecast from top economists is for growth to approach 3 percent, on an annualized basis, this quarter. But economists expect growth to slow in the final months of the year, raising the risks of recession if a shutdown lasts several weeks.Diane Swonk, the chief economist at KPMG, said she expected G.D.P. to rise about 4 percent in the third quarter, and then slow to roughly 1 percent in the fourth quarter. She said a two-week shutdown would have a limited impact, but one that lasted for a full quarter would be more problematic, potentially resulting in G.D.P. entering negative territory.“When you start nicking away even a tenth here or there, that’s pretty weak,” Ms. Swonk said.A shutdown could also further convey political dysfunction in Washington, which could rattle investors and push up yields on Treasury bonds, leading to higher borrowing costs, Ms. Swonk said.Biden administration officials had hoped to avoid such dysfunction when they reached a deal with Republicans in June to raise the nation’s borrowing limit. That agreement included caps on federal spending that were meant to be a blueprint for congressional appropriations. A faction of Republicans in the House has pushed for even deeper cuts, driving Congress toward a shutdown.Michael Linden, a former economic aide to Mr. Biden who is now a senior policy fellow at a think tank, the Washington Center for Equitable Growth, said immediate economic effects from the shutdown could force Republican leaders in the House to quickly pass a funding bill to reopen the government.“There’s a reason shutdowns tend to be pretty short,” Mr. Linden said. “They end up causing disruptions that people don’t like.” More

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    Las Vegas Hospitality Workers Authorize Strike at Major Resorts

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    Unions representing 60,000 workers across Nevada have been in talks with the resorts since April. The vote is a crucial step toward a walkout.Hospitality workers in Las Vegas have voted overwhelmingly to authorize a strike against major resorts along the Strip, a critical step toward a walkout as the economically challenged city prepares for major sporting events in the months ahead.The authorization vote on Tuesday by members of Culinary Workers Union Local 226 and Bartenders Union Local 165, which collectively represent 60,000 workers across Nevada, was approved by 95 percent of those taking part, according to union officials.Although a vote is a forceful step, it does not guarantee that workers will strike before hashing out a new contract deal with the major resorts. Contracts for roughly 40,000 housekeepers, bartenders, cooks and food servers at MGM Resorts International, Caesars Entertainment and Wynn Resorts expired on Sept. 15, after being extended from a June deadline. Other workers remain on extended contracts that can be terminated at any time.The locals, which are affiliated with the union Unite Here, have been in negotiations with the resorts since April over demands that include higher wages, more safety protections and stronger recall rights so that workers have more ability to return to their jobs during a pandemic or an economic crisis. (Union officials have said there are about 20 percent fewer hospitality workers in the city than before the Covid pandemic.)The authorization vote was approved by 95 percent of those taking part, union officials said.Bridget Bennett for The New York Times“No one ever wants to go on strike,” said Ted Pappageorge, the head of Local 226. “But working-class folks and families have been left behind, especially since the pandemic.”In a statement, MGM Resorts said it was optimistic the two sides could come to an agreement.“We continue to have productive meetings with the union and believe both parties are committed to negotiating a contract that is good for everyone,” said the company.Wynn Resorts and Caesars Entertainment declined to comment on the vote. Negotiations continue next week between the union and the companies.The contract battle comes as the tourism-dependent state, where the rebound from the pandemic’s economic toll has been slower than in other regions, has hedged its bets on a big sports bump.In November, Formula 1 will arrive with the Las Vegas Grand Prix, an international event that is expected to draw hundreds of thousands of tourists. A few months later, the region will be the site of the Super Bowl.“No one ever wants to go on strike,” said Ted Pappageorge, the head of Culinary Workers Union Local 226. “But working-class folks and families have been left behind, especially since the pandemic.”Bridget Bennett for The New York TimesThe authorization vote also comes amid major labor battles nationwide.Thousands of members of the United Automobile Workers union have been on strike against the three major Detroit automakers for nearly two weeks. And while the Writers Guild of America recently reached a tentative agreement with major Hollywood studios after a monthslong walkout, contract talks with tens of thousands of striking actors are at an impasse.In Southern California, thousands of hotel workers with Unite Here Local 11 have staged several months of temporary strikes.The Culinary Union, which is a major base for Democrats in Nevada, a swing state, held a similar strike authorization vote in 2018 among 25,000 workers. A contract agreement with major hotels was reached before any strike occurred.For Chelsea MacDougall, who works as a gourmet food server at the Wynn Las Vegas, watching months of negotiations with few results has been frustrating. Inside an arena crowded with fellow union workers — some waving signs that read “One Job Should Be ENOUGH,” alluding to low pay — she voted to authorize a walkout.“This is our next show of force to companies,” said Ms. MacDougall, 36, who makes $11.57 an hour before tips. “The workers deserve a living wage.” More

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    U.A.W. Widens Strikes at G.M. and Stellantis, but Cites Progress in Ford Talks

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    The union designated 38 spare-parts distribution centers as additional strike targets at General Motors and Stellantis.The United Automobile Workers union on Friday significantly raised the pressure on General Motors and Stellantis, the parent of Jeep and Ram, by expanding its strike against the companies to include all the spare-parts distribution centers of the two companies.By widening the strike to the distribution centers, which supply parts to dealerships for repairs, the union is effectively taking its case to consumers, some of whom might find it difficult or impossible to have their cars and trucks fixed. The strategy could pressure the automakers to make more concessions to the union, but it could backfire on the union by frustrating car owners and turning them against the U.A.W.Shawn Fain, the union’s president, said Friday that workers at 38 distribution centers at the two companies would walk off the job. He said talks with two companies had not progressed significantly, contrasting them with Ford Motor, which he said had done more to meet the union’s demands.“We will shut down parts distribution centers until those two companies come to their senses and come to the bargaining table,” Mr. Fain said.Where Autoworkers Are Walking Out More

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    For Tesla and Musk, Auto Strike Carries Benefits and Risks

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    Elon Musk, the Tesla chief executive, may be able to exploit his rivals’ weaknesses, but the United Automobile Workers union also has the electric carmaker in its sights.The United Automobile Workers strike against the Michigan automakers would seem to be nothing but good news for Tesla, the electric vehicle maker that has upended the industry and stolen customers from Ford Motor, General Motors and Stellantis, which owns Jeep and Ram.Unencumbered by an activist union, Tesla can take advantage of the work stoppages to add to its substantial lead in battery technology and software. As the three established automakers face increases in labor costs and struggle to master electric vehicles, Tesla can twist the knife by lowering car prices because it is much more profitable than most automakers.But the U.A.W.’s determination to secure a big victory for its members, amid a nationwide resurgence in union activism, harbors risks for Tesla and Elon Musk, its chief executive, who has attacked and ridiculed unions on his social media network, X, formerly Twitter.The U.A.W., which has failed to organize Tesla’s factory workers in the past, is gearing up for another attempt, a top union official said.“There is a group of Tesla workers who are actively talking about forming a union and creating the best representation they can for themselves and their co-workers through collective bargaining,” said Mike Miller, the director of the U.A.W.’s Region 6, which includes California and Nevada, where Tesla makes cars and batteries. Tesla also has a large factory in Austin, Texas, not too far from a unionized G.M. factory in the Dallas-Fort Worth area.In an interview, Mr. Miller declined to provide more details or identify the Tesla workers, saying they needed time to prepare before going public. This union organizing effort is separate from a campaign at a Buffalo plant where Tesla makes electric vehicle chargers and employs data entry workers.But as representatives of the national union demand 40 percent wage increases from the Detroit automakers, along with significant gains in benefits, they are certainly thinking about the signal that any deal would send to nonunion workers at Tesla.Tesla has upended the industry and stolen customers from Ford Motor, General Motors and Stellantis and dominates the market for electric vehicles.Jim Wilson/The New York Times“Clearly the narrative out there is that this can’t be good for the Big Three, and if it’s not good for the Big Three, it’s good for Tesla,” said Rahul Kapoor, a professor of management at the Wharton School of the University of Pennsylvania.But he added, “If I’m an autoworker with wages lower than what Ford and G.M. are paying, and I hear there is a substantial increase, it’s very likely I would want to take that into account.”The president of the U.A.W., Shawn Fain, fired a warning shot at Mr. Musk Sunday on CBS News’s “Face the Nation.”“Most of these workers in those companies are scraping to get by so that greedy C.E.O.s and greedy people like Elon Musk can build more rocket ships and shoot theirself in outer space,” he said.A lot has changed since 2016, when a group of workers at Tesla’s auto assembly plant in Fremont, Calif., began an organizing drive that never acquired enough momentum to come to a vote.Back then, Tesla was a struggling upstart flirting with bankruptcy. Now, Tesla dominates the market for electric vehicles, with a 60 percent share in the United States. It is worth vastly more on the stock market than the three established U.S. automakers combined. It is arguably in a better position to reward workers than its rivals.Yet labor organizing is arduous. Activists must get at least 30 percent of workers to sign union cards and force a vote overseen by the National Labor Relations Board. Companies often do all they can to dissuade workers from joining, hiring lawyers and consultants who specialize in defeating union campaigns.Even if a majority of workers cast ballots in favor of a union, winning pay increases and better benefits comes only after negotiations that can drag for years. Amazon workers at a Staten Island warehouse voted in April 2022 to unionize, but Amazon has challenged the result and has yet to begin bargaining on a contract.Still, Tesla would be a tempting target for unions. The company reported profit of $2.7 billion on sales of $25 billion in the second quarter, giving it a profit margin of about 11 percent. That profit margin is more than that of Ford or G.M., even after an exceptionally profitable period for those companies. Stellantis, which was created by the 2021 merger of Fiat Chrysler and Peugeot, reported an 11 percent profit margin in the first six months of the year, but lost market share in the United States.Tesla’s stronger financial performance has allowed it to significantly cut car prices, making it harder for the established carmakers to gain ground in electric vehicles. The least expensive Model 3 sedan costs about $33,000 after federal tax credits, less than comparable gasoline vehicles.The climate for organized labor is better than it has been for years. President Biden is a big supporter of unions. Hollywood writers and actors are on strike, a high-profile manifestation of labor activism. In August, United Parcel Service employees won their biggest raises ever in a contract negotiated by the International Brotherhood of Teamsters.Tesla did not respond to a request for comment, but Mr. Musk seemed to acknowledge the union threat last week, saying on X that his workers were better off than employees of G.M., Ford and Stellantis. “We pay more than the U.A.W.,” he said, although he added that “performance expectations are also higher.”A Hummer electric vehicle on display at the Detroit Auto Show. G.M. and the other two established U.S. automakers have struggled to master electric vehicles.Brittany Greeson for The New York TimesThe traditional automakers quarreled with Mr. Musk’s math, saying that they pay their workers substantially more and that a big raise would only widen the gap and undermine their ability to invest in electric vehicle and battery factories. Ford says its hourly employees make an average of $112,000 per year including benefits, compared with about $90,000 at Tesla.The Ford figures do not include stock options that Tesla grants employees, and that can be worth a lot. Mr. Musk has said that some production workers have become millionaires from their shares in the company.Stock options can be lucrative but also risky. Tesla has not detailed how often or in what amount it distributes options to rank-and-file workers. In regulatory filings, the company has said the options that those workers receive have a vesting period, meaning that employees must remain at the company for a certain period to cash them in.Tesla workers may lose their options if they are fired or forced to quit because of injury or poor health, said Bryan Schwartz, a lawyer in Oakland, Calif., who has represented the company’s employees in lawsuits against the company.“There are lots of issues with options to the degree workers can really count on them,” Mr. Schwartz said.Stock awards fluctuate in value along with Tesla’s share price. The stock peaked at more than $400 in late 2021, plummeted to a little more than $100 last year and rebounded this year to $270. The uncertainty may be unsettling for workers trying to make mortgage payments and pay for child care.“If I was a Tesla worker, with all these other companies making E.V.s, I would prefer a wage,” said Rick Eckstein, a professor of sociology at Villanova University who follows labor issues.Tesla has a reputation as a tough place to work, with long hours and punishing deadlines. Mr. Schwartz has sued Tesla on behalf of Black employees who say they faced discrimination in promotions and work assignments and were subject to racist abuse. Tesla has denied the accusations.Any union drive would face forceful opposition from Mr. Musk. The National Labor Relations Board has found that Mr. Musk illegally threatened employees in 2018 by implying they would lose their stock options if they voted to unionize. The labor board also found that Tesla illegally fired one of the lead organizers.An appeals court upheld the board’s decision. Tesla, which argues that Mr. Musk and the company did nothing wrong, is appealing the court ruling.Without doubt, the strike poses huge risks for the Detroit automakers, which were slow to take Tesla seriously and stand to lose precious time they need to catch up.“The real winner in the U.A.W. strike will likely be the auto company that has been winning all along,” Gary Black, managing partner of the Future Fund, an investment firm that owns Tesla stock, said on X.But any schadenfreude among Tesla investors could be brief.“The strike could be a bellwether,” said Mr. Eckstein of Villanova. “It’s a hot time in the labor movement.” More

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    Ford Averts Auto Strike in Canada as UAW Talks in U.S. Inch Along

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    The United Auto Workers union is threatening to expand strikes on Friday if it does not make significant progress in talks with General Motors, Ford and Stellantis.Negotiations between each of the three large U.S. automakers and the United Auto Workers union remain far from being resolved, but one of the companies — Ford Motor — has averted a second strike in Canada.Late on Tuesday, the company reached a tentative labor agreement with Unifor, Canada’s main auto union. The deal was announced minutes before an 11:59 p.m. deadline set by the union for a strike by its 5,600 members at Ford.Neither side disclosed the terms of the agreement, but Unifor said the company had made a “substantive offer.”“We believe that this agreement will solidify the foundations on which we will continue to bargain gains for generations of autoworkers in Canada,” Unifor’s national president, Lana Payne, said in a statement.Unifor’s talks with Ford, General Motors and Stellantis, which owns Chrysler, Jeep and Ram, started on Aug. 10 but have been overshadowed by the U.A.W. contract talks in the United States.Ford has an assembly plant and two engine plants in Canada. Unifor selected Ford as the “target” of its talks, meaning it focused on securing the best deal it could from the company before turning to the other two automakers. Now, it will seek to strike similar agreements with G.M. and Stellantis.Ford’s deal in Canada appears to have little bearing on the U.A.W. strikes in the United States.Last Thursday, the U.A.W. told nearly 13,000 workers to leave their jobs at three U.S. plants: a G.M. pickup truck factory in Wentzville, Mo.; a Ford truck and sport utility vehicle plant in Wayne, Mich.; and a Stellantis S.U.V. plant in Toledo, Ohio.The talks appear to have progressed only a little since the strikes began on Friday. On Wednesday, the U.A.W. said it was reviewing a new offer from Stellantis but declined to provide details.Josh Boyd, with his daughter, is an auto mechanic at the headquarters’ technical center. He said he was ready to walk out if asked by the union.Nick Hagen for The New York TimesThe union is seeking a 40 percent increase in wages over four years, saying the pay of the automakers’ chief executives rose by roughly that much over the previous four years. The companies have offered raises of just over 20 percent.The U.S. union also wants more workers to qualify for pension plans, company-paid health care for retirees, shorter working hours and other improvements. And the U.A.W. is seeking an end to a practice under which new hires are paid about $17 an hour — a bit more than half the top union wage of $32 an hour.At $32 an hour, a U.A.W. member working 40 hours a week is paid about $67,000 a year. In recent years, the companies have paid workers profit-sharing bonuses of $9,000 to $15,000.Outside Stellantis’s North American headquarters in Auburn Hills, Mich., on Wednesday, workers who are not on strike picketed in support of the work stoppage, chanting, “No justice, no Jeeps.”Josh Boyd, 36, an auto mechanic who works at the headquarters’ technical center, said he was ready to walk out if asked by the union. “There’s always uncertainty, but there’s also excitement,” he said. “I think we’re going to get a good contract.”Mr. Boyd, who carried his young daughter on his shoulder, said that he earned $32 an hour, but that his family of three was stretched. “Day care is $250 a week,” he said. “I’ve got a mortgage. My wife is in school, so we are on one income.”LaShawn English, a regional U.A.W. director, said the wage increases offered by the automakers would apply to most but not all workers.Nick Hagen for The New York TimesLaShawn English, who was elected this year as the director of the U.A.W.’s Region 1, which includes parts of Michigan and Canada, said the wage increases offered by the automakers would apply to most but not all workers. Among those who would not get the same raises are temporary workers who make up about 12 percent of Stellantis’s unionized work force of 43,000.“It’s not just about the higher-wage workers,” she said. “We have to move everybody forward. We can’t leave people behind.”Earlier on Wednesday, Stellantis presented a new offer to the union but did not disclose details other than to say it primarily addressed issues other than wages. The company also said it had to lay off 68 workers at a machining plant in Ohio, and might have to lay off 300 more in Indiana because of the U.A.W.’s strike at its Toledo plant, which makes Jeeps.On Tuesday, the U.A.W. president, Shawn Fain, said the union might expand the strike to additional plants this week if it did not make significant progress toward an agreement. Mr. Fain is expected to announce additional strike locations Friday morning with workers leaving their jobs at noon.In the past, the U.A.W. typically struck at all locations of one automaker at a time. Mr. Fain was elected president of the union this year on promises to take a more combative approach. His unusual strike strategy, frequent media appearances and strident criticisms of management appear to have caught the automakers off guard.On Friday, Mr. Fain appeared at a rally of several hundred workers in Detroit along with Senator Bernie Sanders, the Vermont independent.On Wednesday, G.M.’s second-highest-ranking executive, its president, Mark Reuss, sought to rebut Mr. Fain’s criticisms in an opinion essay in The Detroit Free Press.He said G.M. had offered to increase wages 20 percent over the next four years, which would lift the top wage to more than $39 an hour, or about $82,000 a year, based on a 40-hour workweek. Entry-level workers now earning $17 an hour would reach $39 an hour after four years.“U.A.W. leadership claims G.M. pays its team members ‘poverty’ wages,’” Mr. Reuss wrote. “This is simply not true.”While G.M. is making near-record profits — it made almost $10 billion in 2022 — Mr. Reuss said the company was investing heavily to make the transition to electric vehicles, including $11 billion this year. He added that the company could not afford to pay what the U.A.W. was seeking if it wanted to remain competitive and healthy.“The fundamental reality is that the U.A.W.’s demands can be described in one word — untenable,” he wrote, adding, “As the past has clearly shown, nobody wins in a strike.”Separately, the U.A.W. said on Wednesday that 190 union members went on strike at a Tuscaloosa, Ala., plant owned by ZF, a company that supplies axles to Mercedes-Benz. More

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    U.A.W. Threatens Strikes at More Plants

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    The United Auto Workers union said workers would walk out of more plants on Friday if it didn’t make progress in talks with General Motors, Ford and Stellantis.The United Auto Workers said on Tuesday that the union would expand its strike against three U.S. automakers on Friday if it was unable to make substantial progress in contract talks with them.Nearly 13,000 U.A.W. members walked off the assembly lines at three plants last Friday, one each at the three companies — General Motors, Ford Motor and Stellantis, the parent of Chrysler. The union has demanded a 40 percent wage increase over four years, better benefits and other changes. The automakers, which are based in or have a big presence in Michigan, have offered raises of about half as much.In a video posted on Facebook on Tuesday, the union’s new president, Shawn Fain, said workers could walk out of more plants at the end of this week.“If we don’t see serious progress to noon Friday, Sept. 22, more locals will be called on to stand up and go on strike,” he said. “We’re going to keep hitting the companies where we need to.”Separately on Tuesday, Mr. Fain responded to criticism by former President Donald J. Trump, who is expected to visit the Detroit area next week.“Every fiber of our union is being poured into fighting the billionaire class and an economy that enriched people like Donald Trump at the expense of workers,” Mr. Fain said. “We can’t keep electing billionaires and millionaires that don’t have any understanding of what it is like to live paycheck to paycheck and struggle to get by and expecting them to solve the problems of the working class.”In an interview on NBC’s “Meet the Press” last weekend, Mr. Trump said Mr. Fain and the union were “failing” workers in the shift to electric vehicles that has been championed by President Biden.“The autoworkers are being sold down the river by their leadership,” he said, adding: “All of these cars are going to be made in China. The electric cars, automatically, are going to be made in China.”Mr. Biden has expressed support for the striking workers, although the U.A.W. has not endorsed his re-election thus far. The union has long backed Democratic presidential candidates, but some of its members supported Mr. Trump in the last two elections.Here Are the Plants Where U.A.W. Strikes Are HappeningSee the plants owned by Ford, General Motors and Stellantis where U.A.W. members are on strike.The union and the companies, which are engaged in three separate negotiations, remain far apart. The companies have offered raises of about 20 percent, but Mr. Fain has said that doesn’t go far enough to make up for the impact of inflation and concessions the union made over the last 15 years.The union also wants pensions to cover more workers, company-paid health care for retirees, shorter working hours and measures that make it harder for the companies to close plants in the United States. The automakers have rejected most of those other demands.In statements and interviews, auto executives have said meeting all of the union’s demands would put them at a severe competitive disadvantage to nonunion plants operated by Tesla and foreign automakers such as Toyota and Volkswagen. G.M., Ford and Stellantis already have higher labor costs than most nonunion car companies.The three automakers have said they cannot afford substantial raises and new benefits because they are investing tens of billions of dollars to develop electric vehicles and build battery plants. More