AutoBeta(AutoBeta.net)09/18 Report--

The United Automobile Union (UAM) announced on September 15th that 48000 of its workers would go on strike because it could not reach an agreement with GM on labor contracts and other issues. According to the plan announced by UAW, they will negotiate with GM again on Tuesday, but the strike that has already taken place will not stop.

GM announced on Tuesday that it would suspend health insurance payments to UAM for 48000 union employees who have been on strike for two days in a row.

On September 17, the second day of the GM strike, nearly 50,000 workers took to the streets, waving the slogan "UAW strike" and expressing demands for equal pay for equal work and increased benefits. UAM said on the same day that some progress has been made in the negotiations, but no agreement has been reached.

GM said the responsibility for health insurance payments for striking workers had been transferred to the union, which tried unsuccessfully to get them to pay by the end of the month. This will further deplete the strike fund of the UAW.

GM has said it pays about $1 billion a year for health insurance for hourly workers, which means between $1700 and $2000 per worker per month. The strike fund covers specific benefits such as anticipation and prescription drugs, but does not include dental, vision and hearing costs, UAM said on its website.

During the strike, members of the UAW will be able to receive $250 a week from the union's strike fund.

GM outlined its proposal to the unions in a statement, saying it included a planned $7 billion investment in assembly plants in Michigan and Ohio that currently lack products, directly adding 5400 new jobs. provide higher profit sharing, "national leading" health benefits, and $8000 per person in contract change compensation.

Neither the UAW nor General Motors gave an exact time for how long the strike lasted. However, the US media and economists generally believe that once the strike lasts more than two weeks, it will seriously affect the US automobile industry chain and threaten the US economy as a whole.

It was GM's first strike since 2007 and the largest in the United States in 12 years. In 2007, GM workers went on strike for two days during contract negotiations, and in 1998, an even more severe strike took place in Flint, Michigan, for 54 days, costing GM more than 2 billion yuan.

The Detroit Free Press quoted economists as saying that if the strike lasted only a few days, the economic data were not expected to have an impact on total consumer income or total spending. If it lasts for several months, it will not only reduce the income of workers, but also have a spillover effect on GM's supply chain.

According to CBS (CBS) 17, the strike has a great impact on GM's finances. Citigroup estimates that GM could lose as much as $100 million in revenue for each day of the strike. GM shares closed down 4.2% on the 16th.

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