Economic losses exceed $9.3 billion as UAW strike continues
(CBS DETROIT) - The UAW's historic strike against Detroit's Big Three automakers is in its sixth week, and economic losses have surpassed $9.3 million, according to Anderson Economic Group, LLC.
The consulting group estimates the following losses through week 5 of the strike, which ended on Oct. 19:
- Wages of OEM Workers - $488 million
- OEM Losses - $4.18 billion
- Supplier Wages and Earnings - $2.78 billion
- Dealers, Customers, Other Industry Losses - $1.86 billion
To determine the economic impact of the strike, the group used the following:
- Lost wages to workers and other workers who were temporarily laid off or forced to decrease their hours.
- Lost earnings for the Big Three
- Supplier losses
- Dealer, customer and other auto industry losses
The estimates don't include unemployment benefits, unemployment taxes, income taxes on wages, settlement bonuses or reputation damage to the union or employer.
These figures do not include plant closures, additional strike targets or layoffs that happened after Oct. 19.
Last week, the Anderson Economic Group LLC. said that economic losses from the strike had reached $7.7 billion.
Latest UAW News
Last week, on Friday, Oct. 20, UAW President Shawn Fain held another Facebook Live announcement, where he talked about how the union received two new offers from Stellantis and General Motors but hadn't reached any agreements.
Then, on Monday, Oct. 23, 6,800 UAW members were called to strike at the Stellantis Sterling Heights Assembly Plant. This plant produces RAM 1500 trucks.
In addition, effective Oct. 23, Ford's Sterling Axle Plant laid off 67 more employees, bringing the total number of employees laid off at that plant to 485.
To stay updated on the latest UAW news, visit here.