UAW Calls for Strike Authorization at Stellantis

(Reuters) – The United Auto Workers (UAW) union requested that Stellantis workers authorize a strike, alleging that the French-Italian automaker violated contract promises. UAW President Shawn Fain communicated this in a letter to the union’s U.S. chapters on Friday.

“We unanimously recommend to the membership that every UAW worker at Stellantis prepare for a fight, and we all get ready to vote YES to authorize a strike at Stellantis,” Fain wrote, which the UAW shared in a Facebook post.

The union’s concerns focus on Stellantis’ product and investment commitments made during contract negotiations last autumn. “We reviewed the serious violations of our contract and patterns of illegal behavior by Stellantis. The evidence is clear that CEO Carlos Tavares is steering Stellantis on a crash course that will cause our members tremendous harm,” the letter continued.

In response, Stellantis reiterated that it has met its commitments with the UAW under a 2023 agreement. However, Stellantis has faced criticism over its North American operations, with consumers and workers claiming that it has not adequately stimulated demand.

Key issues for the UAW include delays in a multibillion-dollar investment for a new battery plant in Belvidere, Illinois, and potential plans to relocate production of the Dodge Durango SUV outside the U.S.

Fain mentioned earlier this month that several union local chapters are preparing for strikes. Tavares has expressed his aim to improve Stellantis’ performance in the U.S. and a willingness to terminate unprofitable brands globally.