The UAW Strike's Effect on Labor

? ? ? ? ? ? As I am writing this, the UAW has gone on strike in the last day against each of the big three automakers at individual plants in Missouri, Ohio, and Michigan. This year has seen a lot of labor activity as strikes and labor activism have taken center stage.

??????????? In an era when union membership continues to decline and wage disparity among American workers continues to grow, unions are making an effort to claw back wages and benefits that have been stagnant for more than a generation.

??????????? The UAW strike could be the largest yet this year, and it could be a defining moment in labor activism over the next decade.

??????????? At issue for the UAW is its desire to see wage gains commensurate with executives at the big three that have seen profits in the billions of dollars over the years since the near collapse of the industry in 2008. Back then, the unions agreed to major concessions in order to keep the industry afloat. Now that the industry is booming again, the workers want their fair share.

??????????? As union participation has declined from its peak in the late 50’s and early 60’s, the share of total income that the top ten percent of wage earners has received has grown exponentially. Essentially, the decline of labor unions has been consistent with a decline in the middle class. While productivity among American workers has continued to steadily rise, wages have not kept up for most American workers.

??????????? The UAW is demanding wage increases of near forty percent over the next four-year agreement which it says is equal to the pay increases enjoyed by top executives at the auto companies.

??????????? The UAW also has concerns about the coming transition to all-electric vehicles as experts say that manufacture of those vehicles will require thirty percent fewer workers. With many workers expected to be transitioned out of the industry over the next decade, the union wants to ensure a transition that will not be financially destabilizing for those who have come to rely on the jobs.

??????????? The head of the U.S. Chamber of Commerce has weighed in calling the strike a threat to the nation’s economic stability that could have far-reaching effects through all sectors of the economy.

??????????? If the union is successful, I would expect that workers in other sectors of the economy will feel empowered to make their own demands to improve their economic lives. While the impediments to unionization are still structurally imposing, workers are looking for ways to be heard by their employers and are seeking to ensure a better quality of life for themselves.

??????????? Success by the UAW in this strike could cause the general public to take a closer look at their own economic well-being and begin to ask more questions and demand better treatment from their employers in all industries.

??????????? On the other hand, if the strike fails, the demoralizing impacts will reach far beyond the autoworkers on the front lines in the rust belt and surrounding communities.

??????????? At this point it seems like we are going to be in for a protracted strike given the gulf between the two sides. How it all works out is likely to have great impacts on all workers in the U.S.