The strike between the United Auto Workers and GM sees no sign of stopping as both signs dig in for the long haul.

We’re entering the second week of the UAW/GM strike and it looks like neither side is willing to back down. UAW employees walked off the job and formed picket lines on September 16th, closing production lines at 30 GM facilities across 9 states. This led to the closure of two Canadian facilities that needed US-made parts to continue production, and will likely cause more parts manufacturers to seize up as demand for their products grinds to a halt.

Sources speaking to the Associated Press said that negotiations continued over the weekend and into Monday morning as both sides bargain over wages, profit sharing, temp workers, new products to keep closing GM factories open, and a faster route to top UAW wage levels.

Wages are pretty easy to understand: workers want to make sure they have pay that takes into account the higher cost of living. Profit-sharing is something that GM already does, but only to an extent. GM made $30 billion in profits over the last 5 years, with workers getting $1,000 for every $1 billion GM makes. This meant last year, GM workers made $11,500, while this year they stand to make $10,750.

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Temporary workers are another sticking point. The UAW wants those workers to be given a path to full employment, while GM is concerned with rising costs of labor and wants to keep using temp workers to maintain lower labor costs.

Strike
via Forbes

As for new products, GM has offered to build electric pickup trucks at the Detroit-Hamtramck facility, while the Lordstown plant would be kept open to build batteries. However, Lordstown would be a joint venture with another company and GM is proposing a lower wage to Lordstown workers than what the UAW promises employees.

Both sides are starting to feel the pressure of a prolonged strike. UAW workers received their last GM paycheck last week and now must make ends meet on a $250 strike stipend from the union. GM dealer levels are also starting to shrink, with some popular designs expected to disappear from dealer lots.

(Source: Automotive News, Associated Press)

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