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UAW’s Fain says strike will cripple Stellantis
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UAW’s Fain says strike will cripple Stellantis

(This story has been updated to add new information.)

UAW members took their fight against Stellantis’ investment commitments to east Detroit on Wednesday.

This time it was a rally organized by Local 51, which represents workers at the Detroit Assembly Complex – Mack.

Local president Casey Fiddler told the crowd, many of whom wore red shirts and held “Keep the Promise” signs, that the company wants to move the work elsewhere, which he said is frustrating , and he highlighted how workers have been affected within the local. factory that builds various versions of the Jeep Grand Cherokee.

“They are attacking our members. Every week they do temporary layoffs and every week they announce 50 to 60 more indefinite layoffs as we move into the new week,” he said. “They don’t report the total numbers.”

Fain: Stellantis is “on the road to a dead end”

Job cuts are just one of the problems at the automaker, which owns the Jeep, Ram, Chrysler, Dodge and Fiat brands. The company has struggled to manage inventory, has seen sales plummet in the United States, and is battling with the UAW, its suppliers, dealers, and even its shareholders. CEO Carlos Tavares also announced his intention to retire in 2026.

UAW President Shawn Fain, a consistent critic of Tavares, told the crowd, “It’s up to the members to save the company from itself.” »

UAW President Shawn Fain speaks during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis' refusal to follow through on $19 billion in Product and investment commitments made during the 2023 Stand Up Strike.UAW President Shawn Fain speaks during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis' refusal to follow through on $19 billion in Product and investment commitments made during the 2023 Stand Up Strike.

UAW President Shawn Fain speaks during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis’ refusal to follow through on $19 billion in Product and investment commitments made during the 2023 Stand Up Strike.

He accused Stellantis of trying to intimidate union members as they weigh potential strike authorization votes amid a threatened national strike with robocalls and emails. He criticized Tavares for the company’s stated plans to move work to low-cost countries and said the company’s cost-cutting was a “path to a dead end.”

Despite the problems Stellantis faces, he claimed that “a strike would cripple this company” and that the company is afraid, which is why it is fighting hard to prevent it.

The union has held similar rallies in recent months TrentonWarren and Sterling Heights, as well as several locals passed strike authorization votes as the union threatened a strike. Three voted for, but this week, Local 1166 in Kokomo, Indiana, failed to obtain the necessary two-thirds majority of votes in favor of authorizing a strike.

Kevin Gotinsky, who heads the UAW’s Stellantis department, described Local 1166’s vote as a low-turnout election, with about 61 percent voting in favor. He said the union was confident it could move forward “everyone together”, with a more aligned approach over the next three months.

More than a dozen locals have withdrawn grievances filed through the process, according to the company, but the union can refile them.

UAW Stellantis Department Director Kevin Gotinsky speaks during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis' refusal to follow through on the $19 billion of product and investment commitments made during Stand Up 2023. Strike.UAW Stellantis Department Director Kevin Gotinsky speaks during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis' refusal to follow through on the $19 billion of product and investment commitments made during Stand Up 2023. Strike.

UAW Stellantis Department Director Kevin Gotinsky speaks during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis’ refusal to follow through on the $19 billion of product and investment commitments made during Stand Up 2023. Strike.

Authorizing a strike does not guarantee that a strike will take place, but gives the union leverage in its negotiations with the company, which says a strike in such circumstances would not be legal.

The union accused the company of failing to meet its investment commitments by not reopening the Belvidere assembly plant in Illinois, a decision the company describes as a delay, among other problems. The fate of production of the Dodge Durango is also an issue, with the union accusing the company of planning to move it from Detroit to Windsor, Ont., and the company saying no decision has been made .

Stellantis response – and Detroit production “adjustments”

Stellantis, in response to a request for comment on the rally, said the contract with the union “clearly states that all planned investments are subject to commercial contingencies, including market conditions and consumer demand, as well as for company approval. Investments and deadlines do not constitute absolute guarantees.

The statement said: “There is undeniable volatility in the market, particularly as the industry transitions to an electrified future. Over the past year, many companies in the industry have announced investment and product delays, as well as outright product cancellations. This is information that the company has repeatedly shared with the UAW and which they have acknowledged. »

The company has changed its production schedules in recent weeks. Stellantis had announced no scheduled production at the Detroit Assembly Complex – Jefferson and implemented indefinite layoffs at the Mack plant this week.

Stellantis spokesperson Ann Marie Fortunate provided a statement noting that “Stellantis continues to take the necessary steps to align production with sales. This includes production adjustments at both plants at the Detroit Assembly Complex. The company will continue to monitor the situation to assess whether additional measures are necessary. »

The company did not respond to a question about production at other North American factories.

UAW members listen to a speaker during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis' refusal to follow through on $19 billion in commitments in products and investments taken during the Stand Up strike of 2023. .UAW members listen to a speaker during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis' refusal to follow through on $19 billion in commitments in products and investments taken during the Stand Up strike of 2023. .

UAW members listen to a speaker during a rally outside the UAW Local 51 office in Detroit on Wednesday, Oct. 30, 2024, highlighting Stellantis’ refusal to follow through on $19 billion in commitments in products and investments taken during the Stand Up strike of 2023. .

Regina Brown, a member of Local 51 who lives in Detroit, said she came to Wednesday’s rally because she was laid off earlier this month from the Mack plant, where she had worked since November 2020 .

“I think ultimately Carlos (Tavares) will keep his promise, one way or another…voluntarily or by force,” she said, suggesting that one way the company could changing its situation would be to reduce the prices of its vehicles.

“We can’t even buy cars for our children,” she said.

Contact Eric D. Lawrence: [email protected]. Become a subscriber. Submit a letter to the editor at freep.com/letters.

This article was originally published on Detroit Free Press: As UAW mobilizes in Detroit, Fain says strike will cripple Stellantis