By on September 26, 2019

As the strike by General Motors workers in the U.S. enters its 11th day, bargaining teams from the automaker and UAW could be close to reaching a tentative labor agreement. Recent reports claim negotiations have ramped up in the past day or two.

UAW Vice President Terry Dittes acknowledged the progress in a letter to members Wednesday night, which should bring some comfort both to workers and dealers facing a dwindling supply of replacement parts.

“All unsettled proposals are now at the Main Table and have been presented to General Motors, and we are awaiting their response,” Dittes said in the letter. “This back and forth will continue until Negotiations are complete.”

There could still be a ways to go before both sides reach an agreement, but all signs point to negotiations entering the home stretch. CNBC cites sources who claim talks hit the accelerator during the past 24 to 48 hours.

UAW members will still have to ratify the deal once negotiations wrap up, adding additional length to the first GM strike since 2007.

While the strike has had ripple effects in Canada, with an assembly plant and engine facility both experiencing temporary layoffs, the local economy near U.S. GM plants is also taking a hit. Seven percent of Michigan’s wages stem from the auto industry, and numerous businesses draw their income from the building and selling of cars and parts. Even more exist, in part, to serve workers — workers who aren’t walking through their doors for a meal, for example.

And, while inventory seems sufficient to avoid vehicle shortages at dealers in the short term, service departments aren’t quite as content. Some dealers report a backlog of customers as replacement part availability dries up.

Speaking to the Detroit free Press, one Bakersfield, California GM dealer claimed the list of vehicles waiting for parts numbered 50, a drastic increase from the normal 15.

“Most customers are being understanding,” said John Pitre, chief operating officer at Motor City Buick GMC. “We’re digging through other dealers’ parts to get what we can and looking in the aftermarket. But there are things you can’t get, especially for a newer vehicle.”

Paul Zimmerman of George Matick Chevrolet in Redford, Michigan says special-order parts are the hardest to procure. All dealers contacted faced challenges finding certain parts, though run-of-the-mill stuff like brakes can still be found in abundance. Which isn’t to say they aren’t hoping for a swift end to the strike.

[Image: General Motors]

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6 Comments on “UAW and GM Reportedly Closer to Deal As Strike Fallout Fears Grow...”


  • avatar
    Mnemic

    I’d just threaten to close the plant, as GM has already been doing to flee the north american unions. These people are no skill manual labor slaves that can be replaced by literally anyone, anywhere. In NA they’ll NEVER make the same money doing no-skill labor at any other job. They should be kissing the ground GM walks on.

    • 0 avatar
      Art Vandelay

      Judging from that picture, the “Skilled” designers are the ones that need to go. May as well outsource design to China too if that is the best they can come up with.

    • 0 avatar
      redapple

      Mnenic

      Yes. But they wont. They are not plugged into reality.
      $32 / hour PLUS gold plated benefits AND $11,000 a year profit sharing.

      I worked at GMAD Doraville GA. 7th level Engineer.
      A sign on the Mens Restroom said.

      “No Eating on the Toilets”

      True story.

  • avatar
    redapple

    Big deal over all
    Cry somewhere else.

    Less than a 2 week strike every 12 years. Big deal.

    Now that the pattern has been set – no strike at FCA and Ford.

    • 0 avatar
      Lorenzo

      That’s the deal with the UAW pattern contracts. GM and the UAW have to look at what’s possible with the other two automakers to make it work. Otherwise there would be rotating strikes at each automaker, if the others can’t afford what the first one agreed to.

      You’re right, the other contract negotiations will go more smoothly. Ford isn’t shutting down plants, and FCA is investing in modernization, so the main problem with GM shutting down existing domestic plants doesn’t exist with the others.

      There’s still the money component, and what GM agrees to might crimp Ford and FCA. But there are other dollar tradeoffs that can smooth over negotiations, as long as the main pattern is retained. They ARE separate contracts with companies that have different operations, with minor different provisions to account for different circumstances.

  • avatar
    dantes_inferno

    GM and UAW:

    Sorry. Not buying.

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