Fain: UAW received 2 new offers from Stellantis, GM; Better incentives still needed
(CBS DETROIT) - United Auto Workers President Shawn Fain said the union has received offers from two of Detroit's three major automakers in the last 24 hours, but there's still more work needing to be done with all three companies.
Fain did not announce any new strike expansions on Friday, Oct. 20, and said Stellantis, Ford, and General Motors have offered a 23% wage increase, which was up from the previously proposed 20% wage proposal. However, General Motors rejected the union's demand to strike over plant closures, something that Ford and Stellantis have offered.
"GM and Stellantis got the message loud and clear. They hurried to catch up with Ford. But GM, in particular, is worrying," Fain said. "They tell us they need a two-tier wage progression because they expect to do a lot of hiring. At the same time, they threatened product and won't give us the right to strike over plant closures."
You can watch the full remarks from Fain in the video above.
Stellantis issued the following statement after Fain's latest announcement:
"Negotiations between Stellantis and the UAW continue to be productive, building on the momentum from the past several weeks. We have made progress on narrowing the gaps on significant issues that will bring immediate financial gains and job security for our employees. Our focus remains on resolving those issues as soon as possible and finding solutions that protect the Company and our employees."
Ford also issued a issued a statement on Friday:
"It's good that Mr. Fain acknowledged Ford's contract offer "already" is a record and remains the best one on the table. We know that our UAW employees are hurting in this prolonged strike because of lost wages and lost profit sharing. We're eager to conclude these negotiations with a contract that meaningfully improves their lives and provides a strong future for everyone. We look forward to coming together to build a great company that supports good jobs for generations to come."
The union has been on strike since midnight on Sept. 15 after not reaching agreements with the automakers by 11:59 p.m. on Sept. 14. Since then, the UAW has called on thousands of workers to walk out at more than 40 plants across the country. In response, the automakers have announced hundreds of temporary layoffs.
Last week, Fain said he would no longer wait until Fridays to announce strike expansions. Instead, he said the union would announce new strikes at any point.
"We will be calling out plants when we need to, where we need to, with little notice," he said last week. "We're not sticking to one pattern or one system of giving these companies an extra hour or an extra day. They know what needs to happen, and they know how to get it done."
What have the automakers offered so far?
As of Friday, Oct. 20, all three automakers offered a 23% increase over four and half years. Fain said the new proposed wage increase is up 20% from a few days ago and up 9% from the start of the strike.
"One thing we've been hearing over and over from these companies is how they've offered us record contracts ... And you know what? We agree," Fain said. "These are already record contracts, but they come at the end of decades of record decline, so it's not enough to be the best ever when autoworkers have gone backwards over the last two decades. That's a very low bar."
"The companies keep saying they hit their limit, and then their limit went up. And we think there's more ground to gain on the wage," he later added.
The companies also proposed eliminating wage tiers, which Fain calls a "major win."
When it comes to cost of living adjustments (COLA), Ford proposed restoring it to the 2009 level, whereas GM is working to restore it. For Stellantis, Fain said the company is offering deficient COLA that is delayed for a year.
Additionally, GM and Stellantis both proposed to maintain their current profit-sharing formula. However, GM offered to make temporary with 1,000 hours eligible, while Stellantis has not made temporary workers eligible for profit sharing. At Ford, the automaker offered improved profit sharing and to include temporary workers.
Fain said the fight to protect temporary workers is continuing as UAW demanded converting them to full-time positions after 90 days. In response, Ford offered to convert the current temporary workers after 90 days. GM offered to convert the current workers after one year, and Stellantis proposed converting thousands of temporary workers.
Ford and GM also offered $21 an hour for temporary workers, but Stellantis offered $20 an hour.
Fain criticizes Ford: "It's never going to be enough for these people"
Fain said while the union has seen "serious movement" with Stellantis and GM, he criticizes Ford and Executive Chair Bill Ford.
On Monday, the top executive visited the Ford Rouge Complex and called on autoworkers to end the monthlong strike, saying, "If we lose it, we will lose to the competition. America loses. Many jobs will be lost."
In response, Fain said on Friday: "For all their talk about wanting to invest in American jobs, they have the audacity to come to the Rouge and imply that they might close it down while they make billions in profits off of the products our members build there. It's never going to be enough for these people."
Fain commends all striking workers
Fain acknowledged the recent strike involving Detroit's three casinos. More than 3,000 workers walked out on Tuesday, after the contracts with MGM Grand Detroit, MotorCity Casino, and Hollywood at Greektown expired.
The Detroit Casino Council, which is comprised of UNITE HERE Local 24, UAW, Teamster Local 1038, Operating Engineers Local 32, and the Michigan Regional Council of Carpenters, authorized the strike at noon Tuesday.
Fain said that the strike included nearly 1,000 UAW members.
He also commended the workers from the three auto plants that were initially called to walk out at the beginning of the strike. One of those facilities was the Ford Michigan Assembly Plant in Wayne.
"Our members on the line, especially those at our first stand-up targets at [UAW] Local 12, Local 900, and Local 2250, have been out in the rain, in the cold, living off strike pay, wondering about the future. I want to acknowledge the incredible courage and fortitude of those members and all of those holding the line," he said.