Steel Markets

UAW Calls for Strike at GM
Written by Sandy Williams
September 15, 2019
United Auto Workers called for a strike at General Motors beginning at 11:59 p.m. tonight, Sunday, Sept. 15. On Saturday evening, UAW Vice President Terry DIttes announced there would be no extension of the current 2015 collective bargaining agreement.
“We stood up for General Motors when they needed us most. Now we are standing together in unity and solidarity for our members, their families and the communities where we work and live,” said Dittes.
Following a formal meeting of local union leaders on Sunday, the UAW announced that its 46,000 members will go on strike after midnight to secure fair wages, affordable healthcare, a share of the profits, better job security and a defined path to permanent seniority for temps.
National Bargaining Committee Chair Ted Krumm of UAW Local 652 said, “We have been clear at the table about what GM members have indicated we will accept. We are standing up for what is right. We as local unions will sacrifice to stand up for what we deserve.
“Our members have spoken, we have taken action, and this is a decision we did not make lightly. We are committed to a strong contract at GM that recognizes our UAW members, who make some of the greatest products in the world and make GM so profitable.”
The last time a strike was declared at GM was in 2007. It lasted just two days, but cost the company an estimated $300 million per day.
General Motors said in a statement:
“We presented a strong offer that improves wages, benefits and grows U.S. jobs in substantive ways and it is disappointing that the UAW leadership has chosen to strike at midnight tonight. We have negotiated in good faith and with a sense of urgency. Our goal remains to build a strong future for our employees and our business.”
Offer details, as provided by GM, included: over $7 billion in investments and more than 5,400 jobs; solutions for unallocated assembly plants in Michigan and Ohio; investments in eight facilities in four states; introduction of all-new electric trucks; opportunity to become the first union-represented battery cell manufacturing site in the U.S.; and additional new vehicle and propulsion programs. The automaker said it has offered workers wage or lump sum increases in all four years, an improved profit sharing program, a ratification payment of $8,000, retention of health care benefits, and new coverage for autism therapy care, chiropractic care and allegy testing.
A strike will not affect sales at GM immediately due to auto inventory already at dealer lots. Wards Intelligence estimates there were about 795,000 vehicles in inventory at the end of August—a 77-day supply at the current sales rate. The Wall Street Journal noted that rollout of 2020 vehicles like the Chevy Silverado and GMC Sierra pickup trucks could be impacted.
Aramark Maintenance Workers at GM Strike
At midnight on Saturday, over 850 Aramark maintenance workers at GM went on strike over better wages, health care, vacation time and retirement. Aramark workers have been working under an extend contract since March 2018.
“We have UAW members who work long, hard hours and are still on public assistance,” said Gerald Kariem, Director of UAW Region 1D representing Aramark workers. “It’s shameful.”

Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets

Discontentment brews in plate market with flat, status-quo pricing
Sources in the carbon and alloy steel plate market said they are less discouraged by market uncertainty resulting from tariffs or foreign relations, but are instead, eager to see disruption to the flat pricing environment.

Dodge Momentum Index surges in July
The Dodge Momentum Index (DMI) jumped 20.8% in July and is now up 27% year-to-date, according to the latest data released by Dodge Construction Network.

Drilling activity slows in US but picks up steam in Canada
Oil and gas drilling in the US slowed for a third consecutive week, while activity in Canada hovered just shy of the 19-week high reached two weeks prior.

SMU Survey: Buyers remain leery of tariffs, but more see reshoring happening
This week’s SMU survey reveals that a growing number of steel market participants are weary of tariffs and are awaiting evidence of progress reshoring. At the start of 2025, now-second-term President, Donald Trump, pronounced that his plan to implement tariffs would result in increased revenue for the US.

Hot-rolled coil market remains slow, market participants say
Hot rolled spot market participants reported another week of moderate demand and ample supply, with no strong signs that conditions will change next week.