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Business August 26, 2020 3 mins read

GM battles unions over recent hiring of salaried employees

Business ı By Colby McCoy

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General Motors (GM) has clashed with the United Auto Workers union in a dispute over the company’s hiring of salaried workers for its pickup-truck factory near St. Louis, Missouri.

According to UAW, GM is contractually obligated to fill assembly-line positions with union members. 3,800 hourly employees are currently represented by UAW.

GM responded to the complaint in a statement explaining that its actions were justified during this troubling time, i.e. the coronavirus pandemic. The company argues that it needs to make up for lost production in the spring following a two-month shutdown of the Wentzville, Missouri, plant.

Admittedly, hiring white-collar workers for assembly-line positions is outside of the norm for GM, which has a heavy union presence within the company.

Overall, auto-manufacturers have managed to largely survive the coronavirus pandemic in comparison to airlines, restaurants, retail and other industries.

That said, there have been plenty of challenges. As auto-manufacturers began to reopen following the economic shutdown throughout March and April, manpower problems became immediately apparent as workers were forced to take time off to care for sick loved ones.

Thus, temporary workers have been used to fill in the gaps. In addition, auto companies have had to overhaul workplace safety measures including drafting mask protocols for workers and installing dividers.

One clear example of falling manpower can be seen at a Ford plant in Kentucky, where around 15% of plant employees are not showing up for work on a daily basis, a higher figure than usual.

A local union has filed a complaint against a Ford plant in Dearborn, Michigan, requesting that the company close the plant for 24 hours if a worker tests positive for COVID-19.

As of today, the complaint is still pending, and operations have continued.

GM has had a similar request from unions after an employee tested positive for the virus at its Missouri Plant.

Currently, GM has no idea when they will no longer need white-collar workers to make up for their manpower shortage. This puts the company in a tough spot since demand for their high-end pickup trucks has increased since COVID-19 hit American shores.

Looming in the background of GM’s issues is the question of whether to reopen the economy.

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Colby McCoy
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Colby McCoy

Colby is a full-time freelance writer based in Seattle, Washington. He grew up in the Southeastern U.S. and loves books, politics, and spending time with his two dogs hiking.

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