The two sides had been focusing on the core economic issues of their labor talks. One of those was wage increases. Both sides had exchanged proposals.
There was “little improvement to report” in the best way of product allocation ensures from GM, Dittes wrote.
G.M. has 33 manufacturing sites within the U.S. and four manufacturing sites in Mexico. G.M. has 16,000 hourly workers in Mexico compared to 46,000 in the U.S.
When the UAW stated on Sept. 15 that its members at G.M. would go on strike, G.M. revealed details of the offer that proposed to the union 2hours before the contract deadline. It covered the making of 5,400 jobs opening and an investment of $7 billion into 8facilities, including a new battery-cell and a new electric truck manufacturing facility.
The truck will go to the Detroit-Hamtramck Assembly Plant, which is ready to be without a product in January; the battery-cell plant can be built in northeast Ohio’s Mahoning Valley, site of the recently idled Lordstown Assembly Plant. G.M. has a deal to sell the Ohio plant to Lordstown Motors Corp., an affiliate of electric-truck startup Workhorse Group Inc.
In the meantime, greater than 100 automotive supplier companies have enacted a type of temporary layoffs, affecting around 12,000 salaried and hourly workers in the U.S.
The contract talks are taking place under a cloud of an ongoing federal investigation into the highest ranks of the UAW. The Detroit reported on Wednesday extra piece of the current, complete federal investigation in UAW corruption.
Federal agents are investigating about Detroit automakers indirectly paid by jointly conducted national training centers to build a lakefront home for Dennis Williams, retired UAW President at the union’s northern Michigan resort. The Detroit News reported in this week that all three Detroit automakers and the UAW were seeking to negotiate to at least restructure the way these training centers had been funded and operated.
Because the strike stretches on, it is anticipated to extra significantly influence the economy in southeast Michigan and the Midwest region. G.M. employees will have missed out on a month of wages as their pay was reduced to $250 per week while on strike. East Lansing-based Anderson Economic Group estimated Wednesday that the strike had impacted some 150,000 workers in the auto industry.
After three weeks of the strike, the economic group anticipates the 25,000 salaried G.M. workers may see wages affected. By Oct. 6, the group estimates G.M. has lost $660 million in profits; employees have lost $412 million in payments; there’s been $155 million lost in federal tax revenue, and the state of Michigan lost $9.1 million in tax revenue.