Ford has reached a tentative deal with the United Auto Workers (UAW) union to end the six-week strike, according to a report by BBC. This agreement marks the first settlement of strikes by 45,000 workers against Ford, General Motors (GM), and Chrysler-parent Stellantis.
The agreement plan formulated by Ford is expected to bring the UAW strike to a close and pave the way for other companies involved in the strike to write up their own agreements. This includes General Motors and Stellantis. The President of the United Auto Workers union, Shawn Fain, expressed satisfaction with the deal, stating, "We told Ford to pony up and they did." The deal includes a 25% wage increase over the life of the contract, with the lowest-paid workers at Ford eventually seeing a 150% increase in wages.
Jim Farley, the chief executive and president of Ford, emphasized the company's focus on restarting production and bringing employees back to work. He stated, "We are focused on restarting Kentucky Truck Plant, Michigan Assembly Plant, and Chicago Assembly Plant, calling 20,000 Ford employees back to work and shipping our full line-up to our customers again." President Joe Biden also praised Ford's agreement plan, highlighting the record raise it provides to auto workers who have made sacrifices to ensure the success of the Big Three companies (Ford, General Motors, and Stellantis).
The UAW strike, which has now reached around $9.3 billion, initially centered around issues such as pay, days off, and cost of living adjustments. The UAW is also seeking a 40% pay rise over a four-year contract. However, President Fain has made it clear that this strike represents larger issues, including economic justice and addressing the power of the billionaire class.
With the tentative deal reached between Ford and the UAW, there is hope that the strike will come to an end. This agreement sets the stage for further negotiations with General Motors and Stellantis, potentially bringing an end to the strikes across the automotive industry.