In a scathing critique of the recent tentative agreement between the United Auto Workers (UAW) and Ford, a former industry heavyweight has accused the labor union of disregarding the concerns of automakers and employing coercive tactics in labor negotiations.
Bob Lutz, a seasoned industry veteran with experience at all three of the “Big Three” automakers, voiced his strong opinions on “The Cats Roundtable” on WABC 770 AM, where he criticized the UAW for its role in the recent labor negotiations. “First of all, this is not like other labor negotiations,” Lutz remarked, “This was a gun to the head from a government-sanctioned monopoly called the labor union.”
Lutz went on to express his dismay at what he perceived as a shift in the UAW’s approach. He stated, “In the past, the UAW always had a realistic respect for the needs of an automobile company to stay competitive. This time they did not, and I think a lot of what had to be given back was exactly the same things that caused the American automobile industry to be in big trouble in ’08.”
Labour Agreement & the Strike
The tentative labor agreement between the UAW and Ford was reached after over six weeks of strikes that had disrupted operations across the country. The four-year deal includes a substantial wage increase of 25 percent over the course of the contract, with 11 percent slated for the first year. Additional pay raises may come into effect through cost-of-living adjustments.
UAW President Shawn Fain announced the agreement in a video message, emphasizing the significance of their strikes in securing the deal. Fain stated, “For months, we said record profits mean record contracts. And UAW family, our Stand Up Strike has delivered.”
Ford and UAW reach tentative deal to end labor strikes
Stellantis, another major player among the “Big Three,” promptly offered to match the terms of the Ford-UAW deal. As the industry watches with bated breath, the focus has now shifted to General Motors to see if they will come to a similar agreement with the union.
According to the Associated Press, had GM and Stellantis failed to reach a deal, UAW President Shawn Fain had plans to extend the strikes to additional factories. The UAW initiated strikes at three Ford facilities in mid-September after workers’ contracts expired, leading to more than 16,000 Ford employees participating in picket lines.
