Striking United Auto Workers members picket the General Motors Lansing Delta plant in Delta Township, Michigan, September 29, 2023.
Rebecca Cook | Reuters
DETROIT — Republican governors in six states on Tuesday condemned efforts by the United Auto Workers union to organize auto plants in the South, warning that the union’s efforts could 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 workers in Chattanooga, Tennessee, were set to begin to vote on whether or not to join the UAW.
VW’s vote is part of an unprecedented unionization drive announced last year by UAW President Shawn Fain that targets 13 automakers operating in southern states and elsewhere. Last year, the union negotiated record contracts with General engines, Ford engine and parent company of Chrysler Stellantis.
Elected state leaders, including Tennessee Gov. Bill Lee, say such contracts provide short-term relief but have negative long-term implications for jobs and investment.
“We have worked tirelessly on behalf of our constituents to create good-paying jobs in our states. These jobs are now part of the industrial fabric of the automobile industry. Unionization would certainly put our states’ jobs at risk – in fact, in this context. For a year now, all UAW automakers have announced layoffs,” the statement read.
Tennessee Governor Bill Lee smiles during the Conservative Political Action Conference (CPAC) in Dallas, Texas, U.S., Saturday, July 10, 2021.
Dylan Hollingsworth | Bloomberg | Getty Images
The UAW, which is also in the process of holding an organizing vote of Mercedes-Benz workers in Alabama, did not immediately respond for comment.
Since the ratification of the UAW’s contracts with Detroit automakers, there have been buyout offers as well as layoffs of salaried and hourly workers at the companies, but rising labor costs is not the only reason.
Automakers have been cutting costs in part to invest billions in fully electric vehicles and prepare for slowing market conditions and fears of an economic downturn.
Stellantis – the result of a January 2021 merger between Fiat Chrysler and Groupe PSA – was behind the reductions, but many involved additional or temporary workers who do not have the same pay or benefits as workers in traditional assembly plants under the agreements.
The transatlantic automaker has reportedly cut more than 1,000 additional jobs this year, citing a review of its manufacturing operations “to ensure that all facilities operate as efficiently as possible in very difficult market conditions with all actions in accordance with the convention Collective of 2023” with the UAW. He also cut staff at at least two Jeep factories, citing the complexity of the deals among other reasons.
United Auto Workers President Shawn Fain testifies about workers’ hours toll before the Senate Committee on Health, Education, Labor and Pensions in the Dirksen Senate Office Building on Capitol Hill on April 14 March 2024 in Washington, DC.
Somodevilla chip | Getty Images
Ford offered voluntary departures to its workers and announced layoffs, but many of its laid-off workers were transferred to other nearby facilities.
GM also offers voluntary buyouts, although its post-contract layoffs have been largely, if not entirely, tied to factory changes. For example, the company laid off 1,300 workers in Michigan due to halting vehicle production at two factories.
Besides Lee of Tennessee, other Republican governors who signed the declaration were: Alabama Governor Kay Ivey, Georgia Governor Brian Kemp, Missouri Governor Tate Reeves, South Carolina Governor Henry McMaster and Texas Governor Greg Abbott.
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