Ford and UAW Reach Preliminary Agreement to Resolve Strike

Ford and the United Auto Workers (UAW) union have reached a preliminary agreement to put an end to a six-week strike. This deal represents the first settlement of strikes carried out by 45,000 workers against Ford, General Motors (GM), and Stellantis, the parent company of Chrysler. However, the agreement still needs to be approved by union leaders and members. If it receives the green light from Ford workers, the four-and-a-half-year contract would set the standard for negotiations with GM and Stellantis. UAW President Shawn Fain expressed satisfaction with the agreement, stating that Ford met their demands. The deal includes a 25% wage increase over the duration of the contract and significant pay rises for the lowest-paid temporary workers. Additionally, the union has secured the right to strike Ford in case of future plant closures. Ford's CEO and President, Jim Farley, emphasized the company's focus on restarting production and getting employees back to work. US President Joe Biden praised the tentative agreement for providing a substantial pay raise to auto workers, acknowledging their sacrifices in maintaining the leadership of the Big Three automakers in quality and innovation. The UAW placed pressure on Ford, GM, and Stellantis by initiating strikes at their most profitable plants. Members walked out at notable locations such as GM's Arlington assembly plant in Texas, Ford's Kentucky heavy-duty pickup factory, and Stellantis' Ram pickup plant in Michigan. The strike resulted in estimated economic losses of $9.3 billion.