The United Auto Workers (UAW) union plans to initially strike only at specific Ford, General Motors and Stellantis plants rather than launching an across-the-board work stoppage if new contract agreements are not reached with Detroit's Big Three by the Thursday night deadline, according to reports from multiple outlets.
The strategy was laid out during a leadership call Tuesday night and UAW President Shawn Fain was expected to update members on further details to members during a 5 p.m. Facebook livestream on Wednesday, according to the Detroit Free Press, which first reported the labor union's unconventional strike plan.
Sources told the outlet that the UAW is looking to begin its strike at the targeted sites and then strike at other plants incrementally if negotiations drag on for days past the current contract's expiration.
A UAW spokesperson did not immediately respond to FOX Business' request for comment on the reports.
FORD, GM, STELLANTIS DEALERSHIPS BRACE FOR POTENTIAL UAW STRIKE
The labor union is seeking a 46% pay raise over the four-year contract along with an array of additional benefits, including a reduction of the workweek to 32 hours for 40 hours worth of pay for its 146,000 members at Ford, GM and Dodge parent Stellantis. Progress has been made between the UAW and automakers, but they still appear far apart on the size of wage increases.
The UAW referred to GM's earlier proposal that offered a 10% pay hike with two additional 3% lump-sum payments "insulting," and Stellantis came back with a 14.5% wage-boost proposal last week after Fain ceremoniously threw the company's first offer in the trash. Ford last week offered workers a 10% raise along with lump-sum payments.
UAW STRIKE THREAT: EXPERTS WEIGH IN ON LIKELIHOOD OF STRIKES AT FORD, GM, STELLANTIS
Negotiations are ongoing and have ramped up as the deadline nears. But with no deals in place just one day before the Sept. 14 expiration, the chance of a strike at one or all of the Big Three appears increasingly likely.
An extended work stoppage would be costly not only for the auto industry but for the economy at large. If the UAW does end up striking against all three automakers at once and manufacturing operations are entirely shut down, it would cost the U.S. economy roughly $5.6 billion in just 10 days, according to an analysis from Anderson Economic Group.
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Reuters contributed to this report.
