UAW strike aftermath: U.S. auto industry on the verge of collapse

[New Sancai Compilation and First Release] This may be the first time in history that General Motors, Ford and Stellantis have held a nationwide joint strike by auto workers at the same time. The union represents about 146,000 auto workers. At its heart, the strike is about fighting for higher wages, job security and improved working conditions. UAW members demand a fair share of profits. But the strike's impact extended beyond the picket lines.

UAW President Shawn Fain wants to provide workers with better wages, benefits and work-life balance, but at what cost to automakers and the economy?

Workers at the auto industry's Big Three - Ford, General Motors and Stellantis (formerly Chrysler) - are demanding a 46% pay increase over four years and the return of traditional pension benefits.

One thing is certain: The impact of the UAW strike extends beyond just one company or group of workers. At stake is the future of the automotive industry and the livelihoods of thousands of workers and their families.

One of the most immediate and obvious consequences of a strike will be a halt in production. Factories across the country may be idle, shelves empty, and dealers without new cars to sell. As a result, the industry will be hit hard, with billions of dollars in lost revenue.

Ford said the UAW's counterproposal contains few changes from the union's initial demands submitted on Aug. 3. If implemented, the proposal would more than double Ford's current UAW-related labor costs, which are already far higher than those at Tesla, Toyota and Tesla. "Other foreign-owned automakers in the U.S. using non-union represented workforces."

What does this mean for ordinary people?

Well, that means car prices are likely to rise as companies struggle to make up for lost revenue. This is not good for the economy, dealers and/or local sales for consumers as it limits their choices

As negotiations between the UAW and automakers continue, the future of the industry remains up in the air. Will a solution be reached, or will the automotive industry plunge further into chaos?

One thing is for sure: everything will become more expensive.

(Compiled by: Wang Jimin)

(Editor: Jiang Qiming)

(Source of the article: First published by Xinsancai)