UAW launches strike against Big 3 automakers

A union representing nearly 150,000 autoworkers launched a strike early Friday morning against the Big 3 U.S. automakers -- General Motors, Ford and Stellantis.

The United Auto Workers, or UAW, and the car manufacturers failed to reach a contract agreement before a deadline set by the union for Thursday at 11:59 p.m. ET. Less than two hours before the deadline, UAW president Shawn Fain announced the plants where union members would strike if a tentative agreement wasn't reached in time. By midnight Friday, that amounted to approximately 12,700 union workers, including ones at GM in Wentzville, Missouri; Stellantis in Toledo, Ohio; and Ford’s Wayne, Michigan plant.

The union is doing what’s called a “stand-up” strike, where not all union members strike at once.

As the strike began, a Stellantis spokesperson released a statement expressing the company's disappointment.

"We are extremely disappointed by the UAW leadership's refusal to engage in a responsible manner to reach a fair agreement in the best interest of our employees, their families and our customers. We immediately put the Company in contingency mode and will take all the appropriate structural decisions to protect our North American operations and the Company.

Earlier in the day on Thursday, the UAW and the companies remained far apart on key demands, such as wage increases and the length of the workweek.

The union demanded a 46% pay increase combined over the four-year duration of a new contract, as well as a 32-hour workweek at 40-hour pay.

General Motors and Ford put forward proposals on Thursday that offer workers a 20% pay over the life of the agreement; the latest offer from Stellantis includes a total 17.5% pay increase. The offers from all three of the companies preserved a 40-hour workweek.

In a statement Thursday night as the strike loomed, the Ford Motor Company said that the UAW’s counterproposal, which they received Thursday evening, "showed little movement from the union’s initial demands submitted Aug. 3.”

"The union made clear that unless we agreed to its unsustainable terms, it plans a work stoppage at 11:59 p.m. eastern,” the company said in the statement. "Ford has bargained in good faith in an effort to avoid a strike, which could have wide-ranging consequences for our Business and the economy.”

The automaker said it "remains absolutely committed to reaching an agreement that rewards” employees "and protects Ford’s ability to invest in the future” during a time of transformation.