In a development that underscores the far-reaching consequences of the ongoing UAW strike, both General Motors (GM) and Ford have been compelled to make significant layoffs, affecting nearly 900 workers combined. The UAW strike, which commenced last Friday, has disrupted the automotive industry’s supply chain, causing ripple effects that extend beyond the immediate striking plants.
General Motors has announced that it will lay off 164 workers at stamping facilities located in Parma, Ohio, and Marion, Indiana. These stamping plants are crucial suppliers to assembly lines that have been idled due to the strike, including the Wentzville, Ohio plant and the Lansing Delta Assembly plant in Lansing, Michigan. Among the vehicles produced at these facilities are popular models such as the Chevrolet Colorado, GMC Canyon pickups, Chevy Traverse, and Buick Enclave.
Although the majority of workers in Parma and Marion will retain their positions, producing stampings for other plants, the layoffs represent a disruption in the otherwise smooth operation of GM’s assembly lines. GM issued a statement expressing its dissatisfaction with the situation, emphasizing that “nobody wins in a strike.” The company reaffirmed its commitment to bargaining in good faith with the UAW to expedite a resolution to the dispute.
These latest layoffs come on top of the 1,800 workers previously laid off by GM. Earlier job cuts affected the Fairfax assembly plant in Kansas City, Kansas, the Toledo engine plant, and the Lockport components factory in New York. This brings the total number of workers affected by the strike to nearly 2,000 across these five plants.
Ford’s Workforce Impacted by UAW Strike
Ford, another automotive giant, has also been hit hard by the ongoing UAW strike. As of Wednesday evening, the company had laid off approximately 1,300 employees, and it recently announced further layoffs affecting around 400 workers at two plants.
The most recent round of layoffs, effective Thursday, impacted approximately 350 employees at the Livonia Transmission Plant and 50 workers at the Sterling Axle Plant, both located in Michigan. Ford clarified that these layoffs were not lockouts but rather a consequence of the strike at the Chicago Assembly Plant. These two facilities had to reduce production of parts that would typically be shipped to the assembly plant.
Ford spokesperson Dan Barbossa stated, “Our production system is highly interconnected,” highlighting how the UAW strike strategy has far-reaching effects, even on facilities not directly involved in the work stoppage. Prior to these layoffs, Ford had already temporarily laid off 330 workers at its Chicago Stamping Plant and Lima Engine Plant following the union’s decision to strike the Chicago Assembly plant, which manufactures the Ford Explorer and Lincoln Aviator SUVs.
Moreover, 600 hourly workers at the Michigan Assembly plant in Wayne, Michigan, who were not part of the strike, were also previously laid off.
Stellantis Unaffected, Negotiations Continue
Unlike General Motors and Ford, Stellantis, the parent company of brands like Jeep, Ram, Dodge, and Chrysler, has not announced any additional layoffs as a result of the UAW strike. The UAW did not expand the scope of the strike to include additional Stellantis locations, citing progress in ongoing negotiations.
Previously, Stellantis had disclosed layoffs affecting 350 UAW members at its Toledo Machining plant, as well as at transmission and casting plants in Kokomo, Indiana. However, the decision to spare additional plants from the strike’s impact suggests that both parties remain hopeful of reaching a resolution through negotiations.