UAW Encourages Stellantis Workers to Authorize Strike, Claims Car Maker is Breaching Contract

The United Auto Workers union has called on employees at Stellantis to authorize a strike, claiming the French-Italian automaker has violated contract agreements. In a letter to the union’s U.S. chapters, UAW President Shawn Fain urged members to prepare for action and vote in favor of a strike authorization at Stellantis.

Fain emphasized the union’s concerns regarding Stellantis’ commitments related to product development and investments made during last year’s contract negotiations. He highlighted “serious violations” of the contract and patterns of illegal behavior by the company. The letter stated that evidence indicates CEO Carlos Tavares is leading Stellantis towards potential harm for union members.

In response, Stellantis has insisted that it has complied with its commitments under the agreement reached in 2023. The company’s North American operations have faced challenges, drawing criticism from consumers and workers who argue that it has failed to effectively boost demand.

Key issues for the UAW include delays in a planned multibillion-dollar investment in a new battery plant and factory in Belvidere, Illinois, as well as concerns over the possible relocation of Dodge Durango SUV production out of the U.S.

Earlier this month, Fain mentioned that several local chapters of the union were preparing for potential strikes. Meanwhile, Tavares has stated a commitment to enhancing Stellantis’ performance in the U.S. and has expressed a willingness to shut down underperforming brands globally.