Arlington GM workers nearly called to strike before UAW negotiation breakthrough
ARLINGTON, Texas - There are about 150,000 United Auto Workers, and 17% of them are on strike. Friday, a significant chunk from North Texas were nearly called upon.
"We were about to shut down GM’s largest moneymaker in Arlington, Texas," UAW National President Shawn Fain said.
The 5,000 auto workers at GM’s Arlington assembly were ready to strike Friday until a breakthrough in negotiations.
GM agreed to bring workers at electric vehicle battery plants into the United Auto Workers national contract, according to the union president.
"The company knew those members were ready to walk immediately, and just that threat has provided a transformative win," Fain explained.
Electric vehicles are a hot-button topic for auto workers according to SMU economist Mike Davis.
"There will be many fewer people employed making electric cars than there are currently employed in the auto industry," Davis said.
And for auto makers, especially ones targeted by the strike: Ford, GM, and Stellantis.
"It’s not clear how they’re going to make money producing electric vehicles. Right now, they’re losing money on EV’s, even really generous subsidies that are coming," Davis explained.
Even with progress, there’s no agreement in sight. Issues include pay, pension increases, and more, but Friday’s announcement is the first Friday since the strike began in which the UAW has not expanded its strike.
"I guess everybody who lives in the Dallas area should be happy that Arlington didn’t go on strike, yet," Davis said.
UAW strike leading to car parts shortage
Car dealers across Dallas-Fort Worth are feeling the impact of the United Auto Workers strike as they deal with a parts shortage.
The Arlington assembly, where GM builds full-size SUVs, appears to be a prized bargaining chip.
Nearly $2 billion is invested in the Arlington Assembly, according to GM.
"Arlington is really an attractive strike target from the UAW’s point of view," Davis said.
Down the line, if negotiations stall and Arlington Assembly’s 5,000 workers strike, it’ll be a significant hit to the UAW’s strike fund.
"And eventually that money’s going to run out," Davis added.
North Texas strikes are underway at a GM Parts Distribution Center in Roanoke and a Stellantis parts facility in Carrollton.
Each have only about 100 auto workers.
"There’s going to have to be a settlement and it’s going to have to be one where the union workers get paid quite a bit more, not as much as they were asking for, but quite a bit more," Davis said.
The UAW is asking for pay increases in the mid-30% range.
For now, Ford is offering 23%, while GM and Stellantis are offering 20%, according to the union president.
The Arlington Assembly declined to comment Friday.