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Ford Motor Company far outpaced analysts’ expectations in the second quarter, reporting that its net income nearly tripled from a year ago to $1.9 billion.
For the full year, Ford expects adjusted EBIT of $11 billion to $12 billion. That’s a significant increase over the $9 billion to $11 billion Ford had predicted last quarter. In 2022, Ford’s adjusted EBIT was $10.4 billion, so even the company’s lower guidance exceeds last year’s results.
The 150,000 UAW members at Ford, GM and Stellantis began negotiations for a new contract with the Big Three automakers this month. All three companies have now reported gaudy earnings for the second quarter. (See the UAW’s statements about the second quarter earnings of General Motors and Stellantis.) The car companies’ current contract with the UAW expires on Sept. 14.
UAW President Shawn Fain Released the Following Statement:
“Like every Big Three automaker, Ford is thriving. These eye-popping numbers come on top of a decade of massive profits. The Big Three made a quarter-trillion dollars in North American profits over the last decade, but they denied UAW members our fair share. No Ford worker should be stuck in a lower-tier job, without the good pay and pension that generations of autoworkers fought for. No Ford worker should wonder if the Blue Oval battery plants opening across the country will start a race to the bottom that undermines standards for all autoworkers. Seeing the billions that Ford is making, we know they can and must make things right for our workers and our communities.”
WASHINGTON, D.C. — A majority of U.S. Democratic Senators are calling on the Big Three automakers to support a just transition to electric vehicles (EVs) in their ongoing contract talks with the UAW.
In a letter released today, the Senators said, “Profits should translate to gains for workers. It is unacceptable that in the midst of extreme financial gains for the companies, executives, and investors, the workers making the electric vehicle batteries that will enable a transition to clean energy vehicles are making poverty-level wages. Before the expiration of UAW’s contract, we urge you to announce that all electric vehicle workers at these joint ventures will be folded into the national UAW contract.”
The UAW contract expires on Sept. 14, and it covers 150,000 autoworkers at Ford, General Motors and Stellantis.
In a statement, UAW President Shawn Fain said, “These senators agree that now is the time to ensure all autoworkers have the same pay and safety standards that generations of UAW members have fought for and maintained. This senate letter puts a spotlight on EV workers and the need for a just transition in the new green economy because it’s a national concern for all our communities. These negotiations will set the future of the auto industry for decades to come, so we have to get it right. This is when real friends show up. Our members are thankful for the partnership we have with these senators.”
A copy of the letter is below and a full list of the signatories can be found HERE.
Dear Ms. Barra, Mr. Farley, Mr. Tavares, Mr. Eun, Dr. Rhee, and Mr. Chun:
As you engage in contract negotiations with the United Auto Workers (UAW), we urge you to negotiate in good faith to reach a fair outcome by agreeing to fold workers at all joint venture electric vehicle battery facilities into the national UAW contract. UAW workers have made General Motors, Ford Motor Company, and Stellantis the successful, innovative, and profitable companies they are today, and workers in the new electric vehicle sector will be critical to your future success. They must share in the benefits of a union contract.
Through the passage of the historic Inflation Reduction Act (IRA), the United States Congress made it clear that electric vehicle production, as well as its contributing supply chain, is a national priority industry. We were proud to support the legislation that made major investments in this American clean energy industry possible – we need to reduce greenhouse gas emissions to address the disrupting impact of climate change on American families, as well as ensure that the technologies of the future are designed and produced here in the United States by American workers with union contracts. We can and must do both.
Though we can all agree that investments in electric vehicle production are necessary to outpace foreign competition, these investments are not a blank check on worker conditions. Department of Energy loans made possible by the IRA require the companies to create “good-paying jobs with strong labor standards…throughout the life of the loan.”
In other words, high-tech electric vehicle manufacturing jobs should set the standard for wages and benefits for all American manufacturing jobs. These are highly skilled, technical, and strenuous jobs. To that end, it is unacceptable and a national disgrace that the starting wage at any current American joint venture electric vehicle battery facility is $16 an hour. We note that at $33,320 a year, the starting wage at one of these facilities is just above the poverty level for a family of four. American workers, especially those working full time in 21st century state-of-the-art manufacturing, should not make poverty level wages.
The starting wage at these electric vehicle facilities is particularly egregious in the face of the billions of dollars of profits GM, Stellantis, and Ford have made in the past 10 years. Between 2013 and 2022, General Motors and Ford Motor Company made over $100 billion and $75 billion in profit in North America, respectively. Stellantis announced almost $18 billion in profits in 2022 alone. This should, in theory, be great news. It is a testament to our economic resilience that profits are now well above pre-pandemic levels. But despite these impressive figures, General Motors and Stellantis have both announced plans to restart billion-dollar stock buyback programs rather than invest in their workers. In fact, in that same profitable 10-year period, GM, Ford and Stellantis have all closed or “idled” productive plants across the country, including the General Motors Lordstown Facility in Ohio and the Stellantis Belvidere Assembly Plant in Illinois. These closures should never have happened in the first place.
Profits should translate to gains for workers. It is unacceptable that in the midst of extreme financial gains for the companies, executives, and investors, the workers making the electric vehicle batteries that will enable a transition to clean energy vehicles are making poverty-level wages. Before the expiration of UAW’s contract, we urge you to announce that all electric vehicle workers at these joint ventures will be folded into the national UAW contract.
Sheboygan, WI – 1,500 members of UAW Local 833 have ratified a new five-year agreement with the Kohler Company that will increase wages and improve benefits. Local 833 members work in production and skilled trades positions at the company’s Village of Kohler and Town of Mosel manufacturing facilities in Kohler, WI.
“The new contract addressed the key issues that are important to our membership,” local President, Tim Tayloe, said. “The wage increases, and retirement benefits will help Kohler hire and retain the best workers in the region. I’m glad we were able to reach a new agreement that will help everyone succeed over the long term.”
“With the membership solidly behind the UAW Local 833 Bargaining Committee, they were again able to hammer out an agreement that respects the dignity of their work,” said Region 4 Director, Brandon Campbell. “Will strike, if provoked” isn’t just a t-shirt saying for members of Local 833. In 2015, their solidarity and decision to strike for better wages, benefits, and working conditions put the employer on notice for years to come. Respect our existence or expect our resistance! The American economy would be better served if more American workers had a meaningful and legally binding voice in their workplace. Congratulations on a job well done.”
Santa Monica, CA – Graduate student researchers at the Pardee Rand Graduate School (PRGS) have voted to form their union, PRGS Organizes-United Auto Workers (PRGSO-UAW). The vote, which was tallied today by the National Labor Relations Board (NLRB), was 51 to 26 — 66% of the 121 Graduate Student Researchers in the unit voted in favor of unionization.
“We are excited that our graduate worker community was able to come together to win this election,” said Tara Blagg, a 4th-year Graduate Student Researcher. “We are looking forward to bargaining with our employer to improve working conditions and create a more equitable environment for us to contribute to RAND.”
PRGS is a graduate program embedded within the RAND Corporation, a leading think tank and government contractor. Graduate student workers at PRGS are staffed on RAND Corporation research projects, which include social welfare, healthcare, education, and military research among other policy areas.
This vote to unionize is part of a wave of votes to unionize graduate student workers and think tank researchers across the U.S. In 2021, The Brookings Institution and The Urban Institute voluntarily recognized unions formed by think tank researchers with the Nonprofit Professional Employees Union (NPEU). Since 2021, student workers at the University of California, the University of Southern California (USC), the Worcester Polytechnic Institute and the University of Western Washington all unionized with the UAW.
“Building a union with my coworkers has been an empowering way to put our policy studies into action,” said Alejandra Lopez, a 2nd-year Graduate Student Researcher. “I’m excited for the opportunity to swiftly begin negotiations with RAND to make our workplace conducive to the highest quality research.”
PRGS Organizes-UAW believes that this unionization effort will help strengthen RAND’s institutional commitment to equity, equality and democracy, organizational values that underpinned the RAND Corporation’s long and influential history of policy research.
“We are thrilled to welcome RAND’s Graduate Student Workers to the UAW family,” said Mike Miller, Director of UAW Region 6. “The diligence and commitment these workers showed in forming their union is celebrated across the labor movement, from aerospace workers to researchers raising the standards in higher education. We are looking forward to standing behind them as they bargain their first contract.”
This morning, Stellantis reported record profits for the first half of 2023, posting $12.1 billion (10.9 billion euros) in net profit. That’s a 37 percent increase over last year.
Only 33 percent of Stellantis’ global workforce is in North America, yet workers here made the bulk of the automaker’s operating income: 57 percent of the automaker’s $15.7 billion (14.1 billion euros) in operating income was made in North America.
The 150,000 UAW members at Stellantis, Ford and General Motors began negotiations for a new contract with the three automakers this month. Altogether, the Big Three companies made a quarter-trillion dollars in North American profits over the last decade. The automakers’ current contract with the UAW expires on Sept. 14.
UAW President Shawn Fain made the following statement today:
“There are healthy profits and then there are obscene profits. These record profits are obscene, and they come off the backs of underpaid workers and broken communities. Our workers got raises of just 6 percent over the last four years even as CEO Tavares saw his compensation soar 72 percent. As Stellantis made its megaprofits, it kept our assembly plant in Belvidere, Illinois sitting idle. Workers who’ve given their lives to the company have no idea what the future holds.
“Stellantis said today that they’re pouring a staggering $1.7 billion (1.5 billion euros) into a stock buyback scheme that artificially inflates the value of shares, further enriching company executives and the top 1%. That is $1.7 billion being robbed from the workers who made those profits possible and the latest in a long line of examples of how corporate greed is plundering our communities. It’s time for Stellantis to pony up and make things right for working families.”
UAW Vice President Rich Boyer, director of the union’s Stellantis department, issued the following statement:
“Stellantis counted its huge profit in euros, but it’s our workers in North America who made most of that money. Our workers are the profit engine for the company, but we’ve been getting the shaft for years. Even when plants like Belvidere make high-quality product and solid profits, Stellantis executives shut them down. These numbers show there’s no excuse for that kind of cruelty anymore. Our workers are fired up and we’re going to win what we and our communities deserve.”
DETROIT – General Motors reported adjusted earnings of $3.2 billion in the second quarter, up 39% over last year and driven almost entirely by North American profits.
The Wall Street Journal reported that GM’s quarterly revenue was $44.7 billion, 25% more than last year and “a post-bankruptcy record.” GM far exceeded analysts’ expectations and raised its full-year adjusted earnings forecast to between $12 billion and $14 billion.
The 150,000 UAW members at GM, Ford and Stellantis began negotiations for a new contract with the three automakers this month. Altogether, the Big Three made a quarter-trillion dollars in North American profits over the last decade. The car companies’ current contract with the UAW expires on Sept. 14.
UAW President Shawn Fain made the following statement today:
“General Motors has made mind boggling profits over the last decade. GM’s recently announced quarterly earnings just set a post-bankruptcy record, but autoworkers and our communities have yet to be made whole for the sacrifices we’ve made since the Great Recession. GM executives have closed 31 plants over the last 20 years and are now enriching themselves through joint venture battery plants that get billions from the federal government in taxpayer subsidies but pay poverty wages. It’s long past time for GM to pony up, end tiers, pay their employees competitive wages that keep up with the cost of living and provide everyone the ability to retire with dignity.”
UAW Vice President Mike Booth, Director of the union’s GM Department, issued this statement:
“The enormous profit General Motors announced today does not happen without the great work of our UAW-GM Members building world-class vehicles, right here in the U.S.A. For a decade now, UAW members have been GM’s profit engine. It’s time for a contract that fully rewards our members for the hard work we do.”
Around 1,400 UAW members at Blue Cross Blue Shield of Michigan and Blue Care Network are demanding economic justice as contract negotiations kicked off on July 11, 2023, at the VisTaTech Center on the campus of Schoolcraft College in Livonia, Michigan.
Workers are fighting back against stagnant wages, a prolonged wage progression, outsourcing, lack of job security, and insufficient training.
The UAW represents four bargaining units at Blue Cross Blue Shield of Michigan: Local Union 1781 (Region 1), Local Union 2500 (Region 1), Local Union 2145 (Region 1D) and Local Union 2256 (Region 1D).
The UAW represents two bargaining units at Blue Care Network of Michigan, Local Union 1781 (Region 1) and Local Union 2145 (Region 1D).
Workers at BCBSM and BCN are employed in various fields such as Customer Services, Membership and Billing, Claims and Enrollment, Pricing, Analyst, and Maintenance.
UAW Secretary-Treasurer, Margaret Mock, who is the union’s Director of the Technical, Office and Professional (TOP) Department, stated: “As we embark on this historic first-time multi-employer bargaining, our mission is to achieve, significant wages increase, depletion of wage progression, preserve health care, and to bring jobs back to the bargaining unit that have been outsourced and insourced.”
While workers at BCBSM and BCN struggle to make ends meet, BCBSM CEO Daniel Loepp has been paid nearly $45 million in just the last three years alone.
The employees at President Lincoln’s Cottage in Washington D.C. have voted to join the UAW. They are the first Washington D.C. museum staff to join the UAW.
President Lincoln’s Cottage is a historic site and museum in Washington, D.C., where Abraham Lincoln lived for more than a quarter of his presidency and developed the Emancipation Proclamation. Opened to the public in 2008, it brings President Lincoln’s nation-changing story to life through innovative guided tours, engaging exhibits, and interactive programs. Lincoln’s experiences at the Cottage provided him and those he influenced with new and diverse perspectives on issues of freedom, justice, and humility, and he made some of his most critical decisions there. President Lincoln’s Cottage operates today as a home for brave ideas and works to preserve this place to connect people to the true spirit of the Lincolns, build empathy, and inspire them to act upon their own ideas for social justice.
“I’m thrilled about our unanimous election results because I think collective bargaining will help us live up to the principles we share with the public every day,” states organizing committee member, Joan Cummins. “Our museum is a historical site of labor justice and we’re ready to walk the walk!”
As the Program Coordinator at President Lincoln’s Cottage, Joan works on nearly every public-facing program of the museum, especially those intended for students and teachers. She developed and implemented revised school programming both onsite and virtually, and works closely with the Students Opposing Slavery Summit, which provides young people the tools they need to get involved in the fight against human trafficking. She also produces, edits, and co-hosts the Cottage’s podcast Q & Abe.
Member John Nembhard adds: “I’m the Senior Store Associate. I’m in charge of running the museum gift shop. It feels like when Obama won the election. All I can think now is “Yes We Can”. The feeling of having a voice means so much to me.”
Museum Program Associate Josie Barcley states: “I provide historical interpretation of the cottage’s stories, themes, and exhibits and lead education programs to students, teachers, and other members of the public. I am extremely pleased with the results and am looking forward to making the future of the cottage brighter.”
“We are very proud to celebrate a victory for our new UAW members at President Lincoln’s Cottage and a victory for organized labor,” states Region 8 Director Tim Smith. “History was made today; President Lincoln’s Cottage is the first UAW represented museum in Washington D.C. Assistant Director George Palmer and I are looking forward to meeting our new members to congratulate them on this historic win.”
The UAW has officially kicked off contract talks with all the Big Three automakers. This year’s negotiations had a very different tone even before our bargaining teams got to the table.
In the past, bargaining began with a staged ceremony where UAW leaders shook hands with company CEOs. This year, our union’s top officers headed to the front gates of Stellantis’ Sterling Heights Assembly Plant (SHAP), GM’s Factory ZERO, and Ford’s Michigan Assembly Plant during shift changes last Wednesday to shake hands with members and listen to their concerns.
At the three plants, members signed more than a thousand Support Cards saying they’re united for a strong contract. Click here to sign a digital support card.
“It’s beautiful,” SHAP worker Kim Woodward told the Detroit Free Press. “I like what I see, just the people rallying and talking.”
UAW President Shawn Fain and Secretary-Treasurer Margaret Mock were joined at SHAP by UAW Vice President Rich Boyer, director of the UAW-Stellantis Department, and Region 1 Director LaShawn English.
By meeting with the rank and file first, they put the Big Three on notice that the pressing needs of current and retired members have to be addressed in these negotiations.
“The automakers can afford to make things right,” Fain told workers as he met with them on Wednesday. “They can afford to address our issues; cost-of-living, supporting retirees, job security and ending wage tiers. But they’re not going to just give it to us. We’ve got to be in this thing together. This is about you. This is about our next generation.”
Secretary-Treasurer Mock made clear that the union is financially ready for a fight, if need be. “Our strike fund is very healthy. We are going strong into these talks, and in the event of a potential strike, we’ll be ready. We feel good about being able to take care of our members’ needs.”
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Vice President Boyer spoke about Stellantis’ Belvidere Assembly Plant, which the company arbitrarily idled earlier this year. “Our members there had a good attendance, they had good quality, they have a great workforce, and Stellantis still wants to move…. It’s clean, simple corporate greed by the corporation.” Boyer stated that the UAW will fight tooth and nail during negotiations to keep the facility open.
After the morning meetups at SHAP, the UAW’s leadership team headed to GM’s Factory ZERO. Local and national press was at every stop as well. The New York Times asked Kevin Winston, an electrician at Factory ZERO, how he felt about the union taking a more aggressive approach in bargaining. “Now is the time,” Winston told the Times. “I’m ready to strike, 100 percent, and I haven’t heard anyone say we shouldn’t strike.”
“The 2023 national negotiations have the potential of being a defining moment in the labor movement for years to come,” said Vice President Mike Booth, director of the UAW-GM Department. “We are looking forward to these negotiations.”
The day wrapped up at Ford’s Michigan Assembly Plant. UAW Vice President Chuck Browning, director of the UAW-Ford Department, and Region 1 Director Laura Dickerson met with members as they came to work for their 6 p.m. shift. Region 4 Director Brandon Campbell and Region 9 Director Daniel Vicente, who both represent Big Three members in their regions, also made it to the Michigan Assembly Plant to stand in solidarity.
“We recognize the importance and seriousness of the task at hand for our UAW members,” Browning said. “Our members seek only the ability to earn a decent standard of living, attain job security and the opportunity to retire with dignity while working in a safe and fair workplace. That’s what this is about.”
Negotiations with Stellantis began last Thursday, followed by Ford the next day. General Motors negotiations began yesterday. To get the latest news on negotiations, click here go to our special Big Three Bargaining webpages.
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