Assessing the Outcome: UAW Talks with GM, Ford, and Stellantis

The United Auto Workers (UAW) reached tentative deals with General Motors (GM), Ford Motor, and Stellantis, ending weeks of labor strikes. The agreements include 25% compounded raises, reinstatement of cost-of-living adjustments, increased 401(k) contributions, and enhanced profit-sharing bonuses. UAW members still need to vote to ratify the deals. UAW President Shawn Fain emerged as a winner, successfully leveraging targeted strikes to secure record contracts. The automakers underestimated the union's strategy and may face increased labor costs. The UAW plans to use the deals to assist in organizing efforts at other auto companies. Nonunion plants and electric vehicle ambitions may be potential losers, while Tesla and President Joe Biden could benefit from the slower rollout of EVs and union support, respectively.