If the union chooses to go on strike at General Motors, Ford, and Stellantis after a contract expires late Thursday. United Auto Workers President Shawn Fain announced a targeted strike plan on Wednesday.

The plan’s specifics, such as which plants will be struck, won’t be made public until shortly before Thursday night’s 11:59 pm contract expiration, according to Fain. He claimed that by doing this, the union would have the strongest possible negotiating position.

Auto Workers

Depending on which plants and facilities hit, a target attack can force each corporation to cease operations. The businesses run a complicate network of factories that rely on obtaining parts from various sources.

Industry analysts believe that a partial strike at a few engine or transmission factories at each company may be just as effective at halting operations as a complete strike at all sites.

According to Jeff Schuster, worldwide head of automotive for GlobalData, an industry consultant, one engine or transmission facility per firm might be sufficient to close roughly three quarters of the US assembly factories.

You can essentially idle North America with two facilities per firm, he said.

consequences for a strike fund
An advantage of a targeted strike for the union is the opportunity to conserve resources and prolong a prospective strike. The union’s strike fund offers $500 in weekly rewards to the union members who are on strike.

The $825 million fund might be deplete if all 145,000 UAW members from the three automakers went on strike at once, costing the fund more than $70 million a week.

Targeted strikes could result in business closures and the firing of union members who aren’t actually on strike. That might qualify them for state unemployment benefits rather than strike compensation, preserving the union’s financial resources. But the legality of receiving jobless benefits raises certain issues.

All three manufacturers made remarks, but they didn’t elaborate on what they intended to do in the event that a targeted attack interferes with their business operations.

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