GM Supplier Strike Threatens Enclave/Acadia/Outlook Production
The Detroit Free Press reports that workers have launched a strike at the Alliance Interiors plant in Delta Township. The strike comes after months of negotiations on the plant's first labor contract. The strike means that interior components will not be delivered to GM's Lansing Delta Township factory. Enclave/Acadia/Outlook CUV production will likely be idled there… soon. "I'm assuming right now that they (GM Lansing Delta Township) are being shut down," says UAW Local 652 President Chris (Tiny) Sherwood, noting that workers from other Lansing factories, including Cadillac's Grand River plant, have joined the picket line in solidarity. The Lansing Delta Township plant could face a strike of its own by as early as 10am Thursday, as safety and working condition issues there remain a sticking point in labor negotiations. If Lansing Delta Township goes off-line, other Lansing-area suppliers could see demand dry-up for their components. Ryder Logistics, Android Industries and Plastech are all facing work stoppages if Lansing Delta Township ceases production. With the American Axle strike already wreaking havoc on the General's supply chain, this strike couldn't have come at a worse time for GM.
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Is it just me, or do I see a pattern here? It seems that there have been quite a few various strikes either at GM, or relating to GM. Considering the economic conditions, this definitely could not have come at a worse time.
I agree with the fear of a improperly assembled vehicle. When/if they get stuff resolved the first few batches of new components as well as the new cars through final assembly are definitely at risk. Same goes with vehicles that had their assembly interrupted by the "UAW Mini Strikes" that hit GM and Chrysler during the recent negotiations. But, the biggest concern is that I'd be most scared about buying a car made by a shift of final assembly workers after their shift reduction is announced.
GM's production pipeline has so many critical points of failure that it is a wonder any factories are up and running.
Yes, it seems to me that things are going from bad to worse for GM. The UAW will make things messier by having all of these supplier strike problems. With all of their critical suppliers, GM is in big trouble. These problems could go on forever. GM should have seen it coming. With all of the UAW unions shops, their suppliers and GM will be held hostage by the UAW. GM will have to cover the wage differences to keep labor peace. Even GM doesn't have that kind of money any more.