The historical United Auto Workers strike continues to expand as more manufacturing employees are called on to join the picket line. With no sign of a resolution between automaker executives and union leadership in sight, dealers are bracing for a prolonged battle with worrisome implications for the retail sector.
On this episode of Inside Automotive, host Jim Fitzpatrick is joined by John McElroy, automotive analyst and show host at Autoline. McElroy has dedicated his career to examining and explaining the inner workings of the automotive industry, giving dealers, OEMs, and employees valuable insights into the trends that influence their businesses. He has shared his expertise on some of the most-watched news platforms, including ABC, CBS, and NBC programs. Now, he discusses his views on the United Auto Workers strike, shared in his recent article “I Support the UAW, Up to a Point,” published in WardsAuto.
1. Several of the union’s demands make sense, such as cost of living adjustments and additional retirement benefits.
2. Other demands, such as a 32-hour work week and the restoration of full pensions, could have disastrous effects on the industry if they were accepted.
3. Fain has situated himself as a leader not only of the United Auto Workers strike but of the general labor movement against corporate greed.
4. Should labor costs rise for the Detroit-Three, it will be difficult for legacy manufacturers to remain cost-competitive, especially with non-unionized brands such as Tesla.
5. Worsening weather and lack of pay may lead some union members to push for an end to the United Auto Workers strike in the coming weeks, even if it means abandoning several demands.
"There's certain things the union is asking for that would absolutely put the Detroit-Three in a bad position financially." — John McElroy