Facing Ford, General Motors and Stellantis, Unifor autoworkers have entered negotiations with unprecedented bargaining leverage
to retool many of their Southern Ontario plants. As the auto sector undergoes an electric vehicle revolution, individual auto makers are looking for stability and labour peace to protect and increase their share of the lucrative and expanding EV market. A 40-day UAW strike in 2019 cost General Motors US$3.6-billion. That is an outcome auto makers will want to avoid in 2023.
Second, for the first time since 2008, Unifor’s U.S. counterpart, the United Auto Workers , is bargaining at the same time with the Detroit 3. While the UAW has yet to name a strike target, President Shawn Fain has not shied away from threatening a strike to force the Detroit 3 to address his own union’s, which include a 46-per-cent pay increase, a 32-hour work week with 40 hours of pay and the restoration of a defined-benefit pension plan.
Every union comes to the bargaining table with a combination of carrots and sticks, but it appears Mr. Fain is far more inclined than Ms. Payne to use the stick. He has made it clear that the UAW, under his leadership, will be more adversarial at the bargaining table. The UAW’s renewed level of militancy under Mr. Fain has a spillover benefit for Unifor.
We should expect Unifor to rise to the occasion and capitalize on this unique window of opportunity by forcefully pressing its demands in negotiations with the Detroit 3. Such favourable bargaining conditions don’t come around very often and will undoubtedly provide the union with unprecedented leverage in auto talks.
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