After kicking off negotiations by saying that it was seeking a 40+ percent wage gain over the life of its next contract, the United Auto Workers (UAW) wound up lowering that figure into the mid-30 percent range shortly thereafter. Now, after much back and forth and multiple plant walkouts, Ford recently admitted that it had reached the limit of what it can offer financially. Just yesterday, the UAW revealed what The Blue Oval – along with General Motors and Stellantis – are currently offering the union, with all three agreeing to a 23 percent pay raise. However, it seems as if the UAW wants a bit more than that, according to Automotive News.
The union is reportedly seeking at least a 25 percent pay raise over the life of the new four-year contract with the Detroit Big Three automakers, which is a significant reduction compared to its initial ask, yet one that still fits within President Shawn Fain’s desire to achieve “substantial” double-digit wage increases for workers.
A 25 percent raise for workers would mean that hourly wages would top out at around $41.20 in 2027, while the 23 percent proposal that’s on the table would result in a slightly lower figure of $40.39. Over the life of the four-year contract, that difference equates to around $3,100 per worker, to boot.
In the meantime, talks between the UAW and automakers remain ongoing, with Stellantis and GM reportedly receiving new counterproposals from the union this week. As for Ford, sources indicate that the union is awaiting an updated offer from The Blue Oval, but it’s unclear if it plans to budge on its current offer, which Fain has called the “best” of the three. Ford executive chairman Bill Ford recently said that FoMoCo “could live with the deal we have proposed, but just barely.”
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Comments
I hope Ford stands strong at their last proposal (7th) of a 23% wage increase. Let the UAW Management put Ford’s last proposal to a ratification vote to the members; Shawn Fein and UAW Management will not stop at a wage increase of 25%; They will keep on going with their unrealistic demands and bleed Ford into Bankruptcy.
I understand what the UAW members are going thru; As a single Father with two boys, I had to work double shifts at least twice a week to make my Mortgage payments.
Ford is not the enemy; Shawn Fein and UAW Management have not been working in a collaborative effort with Ford. Take Ford’s latest (7th) proposal which is more than reasonable and go back to work; The alternative is to continue the strike for the rest of the year which would be a lose lose scenario for both the UAW and Ford.
From a union member with the City of San Diego Water Treatment Plants.
100% incorrect. UAW gains affect non union workers as well in a very positive way. We must all support them!
For a person who says he’s a member of a union you don’t have any idea what the role of Fain is. Going by what you’re saying, the first proposal by Ford should have been presented to the members. The UAW should get back at least what they gave up years ago at Fords request. Don’t want members asking for big raises? Then don’t give your management people 40% raises. Stay strong UAW.
Sounds reasonable to repay the workers for their years and years of formal education and training required for the job!! D’oh.
Is 24% the answer ?? Is it worth lost work time on strike for the additional 1%.
If the issue was wages Ford would accept the 25% increase. There are other negotiations on probably more than one sticking point. It does show, however that the UAW is conceding certain conditions to reap benefits else where. Those that say the UAW is not negotiating fairly are WRONG. Stay strong UAW.
I say let um starve they are the downfall of this country to hell with all unions cars &trucks are way to much now ford is gonna move to a right to work state and be ford proud they put the uaw out of business wait and see what I say I’m a insider that is leaking info so hold on for the ride
Uh oh looks like the orderlies let Johnny boy on the computer again. 🥴
No doubt about that Mr. UAW. If Johnny boy wants to blame somebody for high vehicle prices, blame Ford and Joe Biden. When is the last time you saw a UAW worker slap a MSRP sticker on a car? Johnny boy is an idiot.
What did I tell you, fellas. Just announced, Ford accepts 25% raise and the UAW has a tentative deal.
At what point would Ford shift more production to Mexico? See Maverick…
I hope everyone is ready to pay 100k for an F150 that has steel wheels and a vinyl interior.
Relax, that aint happening. My Goodness.