Republican governors in six states condemn UAW campaigns, citing the possibility of layoffs

DETROIT — Republican governors in six states on Tuesday condemned efforts by the United Auto Workers to prepare auto plants in the South, warning that the union’s efforts may lead to layoffs and fewer future investments.

The joint statement – signed by the governors of Alabama, Georgia, Mississippi, South Carolina, Tennessee and Texas – comes a day before Volkswagen staff in Chattanooga, Tennessee, begin voting on whether to affix the UAW.

VW’s vote is a component of an unprecedented union organizing effort announced last 12 months by UAW President Shawn Fain that targets 13 automakers operating in Southern states and beyond. Last 12 months, the union negotiated record contracts with, amongst others, General Motors, Ford engine and parent of Chrysler Stellar.

Elected state leaders, including Tennessee Gov. Bill Lee, argue that such deals provide short-term relief but have long-term negative impacts on jobs and investment.

“We have worked tirelessly on behalf of our constituents to bring good-paying jobs to our state. These places have become part of the fabric of the automotive industry. “Unionization would certainly threaten jobs in our states – in fact, it has been a year since all UAW automakers announced layoffs,” the statement read.

The UAW, which can also be in the midst of an organizational vote by Mercedes-Benz staff in Alabama, didn’t immediately respond for comment.

Since UAW contracts with Detroit automakers were ratified, corporations have seen buyout offers and layoffs of salaried and hourly staff, but increased labor costs are usually not the only reason.

Automakers are cutting costs in part to take a position billions in fully electric vehicles and in addition to arrange for slowing market conditions and fears of an economic downturn.

Stellar – resulting from the merger of Fiat Chrysler and PSA Groupe in January 2021 – led to cuts, but many of them employed additional or temporary staff who shouldn’t have the same pay or advantages as staff at traditional assembly plants under contract.

Transatlantic automobile manufacturer apparently he cut it out greater than 1,000 additional staff this 12 months, citing a review of its manufacturing operations “to ensure all plants operate as efficiently as possible in very difficult market conditions, with all activities consistent with the 2023 Collective Agreement” with the UAW. The number of shifts at a minimum of two Jeep plants has also been reduced, citing, amongst other things, the complexity of contracts.

Ferry offered voluntary buyouts to its employees and announced layoffs, but many of the laid-off staff were transferred to other nearby plants.

GM also offers voluntary buyouts, although post-contract layoffs are largely, if not entirely, related to plant changes. For example, the company laid off 1,300 staff in Michigan because it ended vehicle production at two plants.

In addition to Tennessee’s Lee, Republican governors also signed the statement: Alabama Governor Kay Ivey, Georgia Governor Brian Kemp, Missouri Governor Tate Reeves, South Carolina Governor Henry McMaster and Texas Governor Greg Abbott.