Stellantis Faces UAW Strike Threat Over Delayed Reopening in Belvidere Plant: Report

By Israel Monte

Aug 20, 2024 09:57 PM EDT

Stellantis is currently facing a strike threat from union members for allegedly delaying the reopening of its Belvidere Assembly Plant in Illinois.

CBS News reported Tuesday that the United Auto Workers (UAW) union plans to file complaints and issue a strike against the automaker. Members said that Stellantis has not adhered to its contract commitments in the Belvidere plant reopening.

The UAW also shared that last year, Stellantis assured to reopen the facility, and include the production of mid-sized trucks. Shawn Fain, the UAW president, stated that since Stellantis committed to its autoworkers in regard to the union contract, the UAW will enforce the contract's conditions to the fullest.

Fain added that the union plans to stand up against Stellantis on behalf of autoworkers everywhere. They also claimed that Stellantis has become "unreceptive" in the discussions about the process of reopening the plant.

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UAW added that the delay is considered a violation to the automaker's commitments made in the contract. They shared that it has not only concerned the Belvidere reopening but also the company's investment obligations. It also impacted Stellantis members since most would not receive transfer opportunity jobs in the case of sudden layoffs.

When finished going through the grievance process, the UAW would be able to administer a strike.

The union said in a statement, "The Company's failure to honor its commitments in the U.S Investment letter is a serious concern to all bargaining unit members."

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In response, Stellantis released its take on the issue. The company confirmed that the Belvidere plant reopening was indeed delayed. However, it affirmed that Stellantis still stands by its commitment.

Furthermore, Stellantis said that it looks forward to working with the Union through clear communication and transparency.

The news comes after Stellantis was sued by U.S. shareholders for allegedly concealing its rising inventories and "defrauding" them.

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TAG : STELLANTIS, UAW
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