General Motors is shutting its assembly plants, resulting in job losses for engine and transmission plant workers, in a bid to raise funds to develop new EVs
If US consumers ever ditch fuel burners for electric vehicles, then the United Auto Workers union is in trouble. Gone would be thousands of jobs at engine and transmission plants across the industrial Midwest, replaced by smaller workforces at squeaky-clean mostly automated factories that mix up chemicals to make batteries. The union is keenly aware of this possibility as it negotiates for the future as much as the present in contract talks with General Motors. Meanwhile, more than 49,000 union workers are on strike against the company and have shut down its factories for the past six days.
GM CEO Mary Barra has promised an “all-electric future,” with the company going through a painful restructuring to raise cash in part to develop 20 electric models that it plans to sell worldwide by 2023. In the contract talks, GM has offered to build an electric vehicle battery factory in Lordstown, Ohio, where the company is closing an assembly plant. The automaker, according to a person briefed on the offer, wants the plant to be run by a joint venture or a battery company. It would be staffed by far fewer union workers who would be paid less than the 30 US Dollars (USD) per hour that UAW union (United Auto Workers) members make on the assembly lines, said the person, who didn’t want to be identified because contract details are confidential.
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