UAW deals would pay workers who were on strike, laid-off

United Auto Workers members who were on strike or laid off because of the strike against the Detroit Three would receive roughly $100 per day in compensation as a part of the tentative agreements the union reached with the automakers, according to two sources familiar with the situation.

The provision effectively would mean the companies would be paying workers who were on strike or not working for up to 46 days. It's an unusual inclusion historically in the deals that so far has not been highlighted in Facebook livestreams held by the Detroit-based union when going over details of the agreements.

The payment wouldn't cover all of the workers' lost earnings, but would come on top of the $500 per week in strike pay that was provided by the UAW.

The tentative deals with Ford Motor Co., Stellantis NV and General Motors Co. also include a $5,000 ratification bonus and an immediate 11% wage hike. The four-and-a-half-year deals include a total 27% compounded pay increase, cost-of-living adjustments, a shorter grow-in period to the top wage, increased retirement contributions and job security protections.

More than 45,000 UAW members at the Detroit Three went on strike of the 146,000 employed by the automakers. The unprecedented simultaneous strike against all three companies began on Sept. 15, and the union added more plants at each company based on how negotiations progressed.

The automakers have said they are refraining from commenting on the agreements out of respect for the ratification process.

Similar payments have been seen in other industries, but it's novel to autos, said Marick Masters, a management professor at Wayne State University.

"It’s a good move on the companies' parts to help alleviate any ill will," he said. "It is not terribly onerous from a financial standpoint. It helps them try to get people back to work and working enthusiastically so they can refocus their efforts on production and competitiveness."

The payouts, however, could set a precedent, depending on the financial position of the automakers in the future: "It alleviates the cost of future strikers if the same conditions hold," Masters said, which could make workers more willing to go on strike in the future. "If they're not as profitable as they have been in the past, it may be a whole different ball game."

Natashua Sanders, 45, of Livonia, was one of the workers at Stellantis’ Toledo Assembly Complex in Ohio, which was one of the first plants to walk out on Sept. 15. She is thankful for the camaraderie among her team on the picket line, especially when every week their Thursday shift seemed to be the cold and rainy. It was tough financially.

“It’s was rough,” the nearly 10-year UAW member at the Jeep Wrangler and Gladiator plant said, noting the even greater hardship for her coworkers who are single parents or live in households where a couple both work at the plant. “It’s still rough. I’m only getting $500 this week. That’s one third of my bills.”

Sanders said she’s looking forward to getting her questions about cost-of-living adjustments, the new attendance policy and scheduling answered before making a decision on how to vote, but she said the additional funds while she was on strike is a “nice gesture.”

“It makes a difference,” she said. “It made a significant difference being out there on the (picket) line. I do appreciate getting something.”

bnoble@detroitnews.com

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