A shift in strategy by the United Auto Workers union this week has some analysts wondering if the parties are — perhaps, counterintuitively — getting closer to a deal.
"We continue to believe the escalation at this week is a sign the talks may be coming to an end. KY Truck is likely Ford's most profitable plant, and therefore the strike is the highest level of escalation, aside from a national strike," Wells Fargo analyst Colin Langan wrote in a Friday note."This escalation would likely be done to push for final terms."
"Hitting a very high-dollar, high-profitable plant, it certainly gets Ford's attention very quickly," said Art Wheaton, a labor professor at the Worker Institute at Cornell University."It also sends a huge message to Stellantis and General Motors." Another includes the automakers holding out for the union to deplete its resources, specifically its strike and defense fund. Or, the UAW could continue rotating strikes or filing additional unfair labor practice charges against the companies. Yet another outcome could see the sides seeking mediation or legal resources.