This hasn’t been spoken of for a while, but it’s one of those situations where a part of the system sneezes and the rest of the system is quite likely to catch a cold. Wow – two metaphors in the one post!
This just in from Automotive News via email:
UAW President Ron Gettelfinger told General Motors local representatives late this afternoon that GM is the lead company of negotiations and that the locals should prepare for a strike, if necessary, a source familiar with the talks said.
The union traditionally selects a strike target during contract talks, then negotiates a deal with that automaker first. That agreement is then used as the pattern for contracts with the other automakers.
This is primarily a US thing, but a major strike there is going to make for some serious production and cashflow issues for GM and that will definitely have a worldwide kick.
The current agreement with the UAW, a four-year deal, expires at the end of Friday September 14. That’s today in my part of the world, though there’s still a little more time left before it reaches zero-hour in Michigan.