At the onset of the United Auto Workers (UAW) strike against the Detroit Big Three automakers nearly one month ago, the union walked out of the Michigan Assembly plant – which builds the Ford Bronco and Ford Ranger – and two weeks later, the Chicago Assembly plant, which produces the Ford Explorer and Lincoln Aviator. Then, without warning, the UAW expanded its strike last night to include the Ford Kentucky Truck plant, which produces the Ford Super Duty, Ford Expedition, and Lincoln Navigator. It was somewhat unclear why the UAW decided to do this abruptly rather than wait until its Friday update to do so, but it seems as if this particular action was a matter of timing, according to Automotive News.
Wednesday, the union reportedly informed Ford that it wanted a counteroffer for economics ready by 5pm, then requested a meeting at the automaker’s headquarters at 5:30pm. Ford then told the union that it did not have a full economics counteroffer ready, at which point UAW President Shawn Fain reportedly stood up and said “You just lost Kentucky Truck Plant,” according to a source, noting that the meeting lasted a total of 10 minutes.
The same source also said that Ford informed the UAW last week that it had essentially reached the limit of what it could offer in terms of economics, though the union was still expecting enhancements in that regard. During the meeting, when it became clear that this wasn’t the case, Fain said “If this is all you have for us, our members’ lives and my handshake are worth more than this. This just cost you the Kentucky Truck Plant.” A few minutes later, at 5:44pm, the UAW posted that it was striking at the Ford Kentucky Truck plant on social media, though that post was later deleted.
As Ford Authority reported yesterday, FoMoCo and the UAW remain at an impasse on two topics, in particular – the union’s desire to restore the same retirement security that was previously provided by pre-2007 defined benefit pension plans, as well as include joint-venture EV battery plants in the union’s master contracts with automakers, which is something that GM reportedly agreed to do last week to avoid a strike at its Arlington, Texas plant – though thus far, Ford has been reluctant to follow suit.
We’ll have more on the UAW strike soon, so be sure and subscribe to Ford Authority for the latest Ford-UAW news, UAW news, and 24/7 Ford news coverage.
Comments
The strategy is interesting, they’ve been slowly escalating but suddenly went straight to the top. Where do they go from here? Of course there’s other plants left to strike but you just played your biggest card.
I really have no issue with the union trying to get paid, I just really don’t like the tactics this time around. The mud slinging, the bad faith negotiation, the seeming goal just to stick it to the big 3…You can play hardball and also be professional at the same time. This really doesn’t help the public perception of the UAW
The biggest card in their hand is f150 plants. Super duty is a close second, but f150 is the real meat of it.
While super duty is in massive demand, those buyers are already expecting delays, and it’s a much smaller number than f150.
It’s definitely an escalation, probably meant to show Ford they’re not playing around anymore. Ultimately I think that the Ford board is going to have to settle this, by agreeing to lower profits YoY. I don’t know that I see them doing that though. But at the end of the day, consumers have clearly already reached their breaking point in cost, labor costs aren’t going to go down, and so the only place this money for labor can come from is shareholder profits. Ford can’t agree to that on their own, because it would be suicide for their top leadership. But if the majority shareholders are ok with taking a massive hit to the financials they expect, maybe they’ll reach a deal.
The F150 is a big deal, but the Super Duty is the real money maker for Ford. So, taking out KTP is the Ace of Spades.
This is just greed wars with the consumers paying the bill for both.
I say the big three get together and break the union. Tell works if you don’t return to work your fired and see if they are willing to loose retirement and everything else. With a kicker that x dollars per hour will be the starting wage to hire back on.
In the end unions only care about getting themselves paid and screwing the consumers.
You can bet the Big 3 are accelerating their quest to build with an all robot workforce.
At some point, the UAW will have bargained themselves to the unemployment line for good.
You are 100% correct. If I was Ford I would shut down for a year. Send everyone home and lock it up.
The busses are leaving Mexico as we speak workers on the way to hell with the uaw &all unions they will be the downfall of America let the bastards starve Macdonalds are in need of restroom helpers where the uaw needs to be ford will not back down this time have your way mr Farley
Those coming from Mexico want anything but to work. They will live on your tax dollars. Besides, they have no clue about any trade and are also unwilling to learn English. Así que despierta amigo!
Ford do not give in this would be the devastation of the blue oval if you give in lay them all off do not call them back , Bankrupt the Union , there are plenty of people that will accept your offer give it to them
Get rid of the electric cars and trucks.Go slowly with this rndeavour. Rome easn’t built in one day!!
UNIONS ARE A THING OF THE PAST! GREED IS OUT OF CONTROL, THE AMOUNT PEOPLE THINK THEY’RE WORTH THESE DAYS LEAVES MOST SPEECHLESS! JUST ONE EXAMPLE IS SPORTS.