Biden asks automakers and unions to reach a contract agreement

The president still does not have the endorsement of the United Auto Workers union for his re-election, despite the broad support he received from union workers ahead of the 2024 campaign. The UAW union represents 146,000 workers at Ford, General Motors and Stellantis . The workers’ contracts expire at 11:59 p.m. on September 14.

Biden said in a statement Monday that as the market moves away from gasoline-powered vehicles, the auto industry must still provide “good jobs that can support a family” and ensure that “transitions are fair and seek to restructure, restart and rehire in the same factories and communities at comparable wages, while giving existing workers the first opportunity to fill those jobs.”

“The UAW helped create the American middle class, and as we move into this transition to new technologies, the UAW deserves a contract that sustains the middle class,” Biden said.

Shawn Fain, president of the union, has called for an end to different pay levels among workers. He also seeks double-digit wage increases and the restoration of cost-of-living payments, defined benefit pensions for all workers and the reinstatement of retiree health coverage. The union has proposed a 32-hour work week, instead of the conventional 40.

Faced with the risk of a possible strike, manufacturers have said they face development costs as the industry shifts to electric vehicles and spends billions of dollars building battery plants.

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