48,000 workers at General Motors will go on a strike on Sunday midnight as negotiations with the automaker failed, the United Auto Workers said. UAW had been in talks with GM regarding the labour contract over a variety of things including wages, healthcare benefits and temporary workers.
During a press conference, UAW vice president Terry Dittes said that a strike was the union’s “last resort”. He added that the situation is not taken lightly by the union. On Sunday, 850 workers of the union at GM left their work on strike.
UAW had been in negotiation with the automaker regarding the pay of its workers as the company had been reporting good profits in recent years in North America. Besides that, the union had also been in conflict with GM as it demanded that the assembly plants in Michigan and Ohio should not be shutdown.
In response to the demands of the workers, GM said that the shutdown of plants at the two places was a move to adjust to the changing market conditions. As for the pay of workers, it said that the wages of UAW were high in relation to other auto plant workers in the US who were not part of any union.
The union’s contract with GM had been exhausted on Sunday. Prior to that, Dittes said that the automaker and the union had many “differences” in terms of their opinions on health care benefits, wages, temporary workers and much more.
Such a strike by workers would be the first of its kind in 12 years. Moreover, it would prove to be challenging for the no. 1 US automaker as it faces dampening sales and high costs because of the development of electric vehicles and adhering to new emission laws.