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Ford, UAW Reach Tentative Deal to End 6-Week Strike

October 27, 2023
in News
Ford, UAW Reach Tentative Deal to End 6-Week Strike
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The United Auto Workers (UAW) union on Wednesday announced it had reached a tentative contract agreement with Ford, bringing a possible end to the strike that has lasted 41 days.

The Associated Press (AP) reported the deal is for four years and added that no agreements were announced for automakers General Motors and Stellantis. All three companies’ factories had been impacted by the strike.

According to AP, the 57,000 UAW members at Ford still need to approve the deal. A proposed accord must first go to union members for informational review, and then a majority vote will be held to ratify or reject the deal.

UAW President Shawn Fain announced the deal with Ford in a video posted on Facebook.

“We told Ford to pony up, and they did,” Fain said. “We won things no one thought possible.”

Fain said the deal includes a 25 percent wage increase over the course of the contract and that workers will receive an 11 percent wage hike right away. According to Reuters, workers’ pay will rise about 33 percent, to more than $40 an hour over the life of the contract when compounding and cost of living is included.

Ford CEO and President Jim Farley confirmed the news in a statement.

“We are pleased to have reached a tentative agreement on a new labor contract with the UAW covering our U.S. operations,” Farley said.

UAW members strike outside a Ford factory
Workers picket outside the Ford assembly plant as the United Auto Workers union’s strike against the Big Three U.S. automakers continued on October 10, 2023, in Chicago, Illinois. The union and Ford on Wednesday announced a tentative deal to end the work stoppage.
Scott Olson/Getty Images

According to a poll from the group Navigator Research that was released last month, most Americans are supportive of the UAW’s strike. In a survey of roughly 1,000 registered voters, 78 percent said they viewed the walkout favorably, compared to 22 percent who said they did not support the strike.

Earlier this month, General Motors and Ford announced they were laying off additional workers as a result of the strike. According to a report from Reuters, Ford had planned on furloughing a total of 330 workers at its plants in Chicago, Illinois, and Lima, Ohio, while GM would let go of 170 employees from its plants in Parma, Ohio, and Marion, Indiana.

Speaking alongside Fain in the video announcement of the tentative deal, UAW Vice President Chuck Browning said workers on strike against Ford will return to their jobs while the union pushes to approve the deal.

He also sent a message to GM and Stellantis.

“Like everything we’ve done during this ‘stand-up’ strike, this is a strategic move to get the best deal possible,” Browning said. “We’re going back to work at Ford to keep the pressure on Stellantis and GM. The last thing they want is for Ford to get back to full capacity while they mess around and lag behind.”

Update 10/25/23, 9:52 p.m. ET: This article has been updated to include more information.

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Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.

Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.

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