Oct 24, 2023 - Economy

GM Texas SUV plant added to UAW strike

Workers holding picket signs

United Auto Workers (UAW) members and supporters on a picket line outside the Ford Motor Co. Chicago Assembly Plant on Sept. 30. Photo: Taylor Glascock/Bloomberg via Getty Images

The UAW on Tuesday added another General Motors factory to its strike against the Detroit Three automakers as the labor dispute escalates.

Why it matters: It's the eighth assembly plant the UAW has shut down during the strike, which also includes 38 parts distribution facilities.

Driving the news: Some 5,000 workers at GM's plant in Arlington, Texas, joined the strike Tuesday.

  • That halts production on several large SUVs: the Chevrolet Tahoe, Chevrolet Suburban, GMC Yukon and Cadillac Escalade.
  • It's the second straight day the union has expanded the strike. On Monday it added Stellantis' Ram 1500 pickup plant in Sterling Heights, Michigan, to the work stoppage.

Context: It also comes the same day as GM released its third-quarter earnings report.

  • The company reported a third-quarter profit of $3.1 billion but said the strike has already cost the company $800 million, including $600 million since the earnings period ended.

What they're saying: "Another record quarter, another record year. As we've said for months: record profits equal record contracts," UAW president Shawn Fain said in a statement. "It's time GM workers, and the whole working class, get their fair share."

The other side: GM defended its latest offer, which included a raise of 23% for permanent employees.

  • "We are disappointed by the escalation of this unnecessary and irresponsible strike," the automaker said in a statement. "It is harming our team members who are sacrificing their livelihoods and having negative ripple effects on our dealers, suppliers, and the communities that rely on us."
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