Strike

[dfwford]

The manufacturers will pass long the increase to consumers for what they are giving to the UAW.

Maybe, maybe not. That's a pretty narrow-minded conclusion.

Demand elasticity is still a thing. They can't just arbitrarily raise prices too much if it makes their cars less affordable than the foreign/non-union competition, pricing them out of consideration for consumers.

There are many other ways to skin a cat. They can also:

• Cut salaried workers.
• Reduce future R&D / Capital Investment (such as cancelling that battery plant in Michigan).
• Reduce the benefits / bonuses / salaries of salaried workers.
• Shift administrative functions and production to non-union / low cost of doing business regions.
• Negotiate deeper discounts / better terms with their suppliers.

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[BrianJ77]

https://www.google.com/amp/s/www.cn...at-gm-and-ford-plants-sparing-stellantis.html

FRAP still being spared. Really hope they get a solution soon. Chicago assembly is the new Ford target.

 

[dfwford]

https://www.google.com/amp/s/www.cn...at-gm-and-ford-plants-sparing-stellantis.html

FRAP still being spared. Really hope they get a solution soon. Chicago assembly is the new Ford target.

FRAP is likely being spared because it's, easily, Ford's lowest volume vehicle (excluding maybe the EVs).

 

[dfwford]

Ford CEO says UAW is ‘holding the deal hostage’ over EV battery plants

https://www.cnbc.com/2023/09/29/for...-holding-up-talks-over-ev-battery-plants.html

 

[Skye]

https://www.bbc.com/news/business-67085700

https://www.clickondetroit.com/news...plant-disrupted-as-8700-uaw-workers-walk-out/

The strike has shutdown Ford's Louisville plant, where Super Duty, Expedition and Navigator are made. This plant represents 16% of Ford's annual sales revenue.

Flat Rock continues to be unaffected.

Earlier this week, GM and workers in Canada came to a tentative agreement.

https://www.npr.org/2023/10/11/1205030932/canadian-auto-workers-and-general-motors-reach-a-tentative-contract-agreement#:~:text=Unifor said that the deal,starting in December of 2024.

 

[Q6543]

Sucks, hope it all ends quick now.

 

[dfwford]

Ford says it’s ‘at the limit’ of what it can offer UAW as strikes escalate

https://www.cnbc.com/amp/2023/10/12...omaker-at-the-limit-of-what-it-can-offer.html

 

[Pdaddy1280]

Not looking good. At the risk of sounding selfish, I sure hope mine gets shipped out before this escalates any further.

 

[marcekb]

Ford says it’s ‘at the limit’ of what it can offer UAW as strikes escalate

https://www.cnbc.com/amp/2023/10/12...omaker-at-the-limit-of-what-it-can-offer.html

Seriously hard not to see Fain pursuing self-serving objectives here. I'd like to see him share his vision of how Ford should adjust it's long term budgets to stay successful while meeting his demands too. It's easy to tear down. But come with a solution is harder and I don't think he has one.

 

[Mr Lahey]

Here's an interesting take on the UAW's latest move:

"UAW leadership likely needs to strike Ford's most profitable plant to show the rank-and-file that they are extracting the most from the automaker," he wrote. "Consequently, we think this escalation is a sign that the UAW could be close to a contract proposal with Ford in the next 1-2 weeks."

From here: https://www.autonews.com/manufacturing/uaw-strike-ford-says-its-reached-our-limit-cost-uaw-contract

 

[dfwford]

Seriously hard not to see Fain pursuing self-serving objectives here. I'd like to see him share his vision of how Ford should adjust it's long term budgets to stay successful while meeting his demands too. It's easy to tear down. But come with a solution is harder and I don't think he has one.

Speculation about Fain's ulterior motives aside, bear in mind GM said the same thing's Ford's saying now before they suddenly agreed to the COLA increases and unionizing their battery plants.

For all we know, Ford crying broke now could simply be another negotiation tactic on their part.

Now yes, it will likely require "adjustments" to Ford's budgets to meet more of the UAW's demands (that's the cost of doing business when you have a unionized workforce) and Ford really does not want to make said "adjustments," but that doesn't mean they can't if left with no other options. And how Ford chooses to make such "adjustments" is not Fain's job to figure out, as he's not Ford's bean counter nor is he Ford's CEO.

 

[marcekb]

Fain's ulterior motives aside, bear in mind GM said the same thing's Ford's saying now before they suddenly agreed to the COLA increases and unionizing their battery plants.

For all we know, Ford crying broke now could simply be another negotiation tactic on their part.

Now yes, it will likely require "adjustments" to Ford's budgets to meet more of the UAW's demands (that's the cost of doing business when you have a unionized workforce) and Ford really may not want to make said "adjustments," but that doesn't mean they can't if left with no other options. And how Ford chooses to make such "adjustments" is not Fain's job to figure out, as he's not Ford's bean counter.

I agree it could be posturing on Ford's part. But I guess if Fain has no responsibility to show up with something to help, then obviously Ford management has to give as little as possible. No one can complain about how they protect the business. Similarly, no one can complain about the impact this has on prices, deliveries, the economy, etc.

 

[dfwford]

I agree it could be posturing on Ford's part. But I guess if Fain has no responsibility to show up with something to help, then obviously Ford management has to give as little as possible. No one can complain about how they protect the business. Similarly, no one can complain about the impact this has on prices, deliveries, the economy, etc.

True.

The thing is, people have gotten so used to these contract ratifications being so benign in recent history that they've forgotten it's still a negotiation, and negotiations can become quite contentious.

 

[marcekb]

True.

The thing is, people have gotten so used to these contract ratifications being so benign in recent history that they've forgotten it's still a negotiation, and negotiations can become quite contentious.

Yep, that's true. Seems we've had quite a few more strikes lately, at that.

 

[dfwford]

Fain just confirmed there will be no further expansion of the strike *TODAY*, but going forward, any further expansions will go unnanounced similar to the walkout at KTP.

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