Gearing Up For A Strike

The United Auto Workers union went on a targeted strike this morning as the Year of the Strike continues. The Biden administration may have been able to deal with rail workers and UPS employees and get favorable deals for workers, but Hollywood writers, directors and actors are still on the picket lines, and now auto workers are joining the fray.

As the United Auto Workers union is poised to go on a targeted strike against Detroit’s three biggest automakers at midnight Friday morning, Biden administration officials are preparing economic measures to protect suppliers to the auto industry from long-term damage, according to three people aware of internal conversations.

While the administration is not expected to intervene in a strike, Biden aides are worried that a protracted walkout could wipe out the thousands of suppliers that depend on business from the three key automakers, Ford, General Motors and Stellantis, said the people, who spoke on the condition of anonymity to describe private deliberations. Widespread failure of these smaller supplier firms — which number as many as 5,600 — could impede the broader U.S. auto supply chain even after the possible strike ends, according to the people.

It is unclear what form the aid would take, but one option would be for the Labor Department to provide grants to assist workers at firms affected by a strike, two of the people said. Another option could be for the Small Business Administration to provide favorable loans to these firms. The discussions about these measures are preliminary, and talks remain fluid.

“The administration wants to be sure to do what it can to protect the Detroit supply chains,” one administration ally said. This person also spoke on the condition of anonymity to describe private conversations. “They have to worry about how some of the less well-capitalized firms could be at risk.”

A White House spokeswoman declined to comment on any internal planning.

 

It took the rail workers six months to get their sick day demands met even with Congress and the White House ordering rail workers back to work and breaking the strike. The Biden administration was able to avert a UPS strike last month. So we'll see how long this strike lasts.

But yes, striking by a vast majority of US workers is necessary at this point.