United Automobile Workers

A Spoke in the Wheel: The UAW Strike’s Impact and How Similar Acts Can Negatively Impact Regionalized Economies

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By: Nathaniel Reiff

After a six-week long strike, General Motors Co.’s employees finally agreed on a four-year labor agreement, stifling further loss for the company and mitigating further blows to the economy.  The longest automotive walkout in 50 years, was initiated on September 16, 2019, when approximately 48,000 United Automobile Workers members went on strike. According to Bloomberg Law, the agreement awards among other things workers pay raises, $11,000 ratification bonuses, a route for temporary employees to reach full-time status, and preserves the automaker’s health-care plan. It is reported that the prolonged strike diminished automotive supply chain revenue and removed tens of thousands of workers from an October Labor Department jobs report. In particular, one business tied to the automaker claimed he had laid off nearly his entire staff and used his personal savings to keep his company afloat.

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