United Auto Workers President Shawn Fain didn't hold back Friday in a Facebook Live stream updating UAW members on negotiations with the so-called "big three" auto makers of Ford, General Motors, and Stellantis.

Fain kicked off the stream by calling counter-offers from the big three auto makers "insulting," ensuring the public and automakers that the UAW would go on strike in less than a week if an agreement isn't reached.

As part of their proposal, the UAW is seeking to secure a contract with faster ascension to higher pay scales, more secure wages, better retirement benefits, more paid time off and holidays, and profit sharing for employees. 

During the livestream, Fain repeatedly stressed the record profits of the big three automakers, saying they've made $29 billion in the first 6 months of 2023. Fain also noted large salary increases for executives and stock buybacks for all three automakers, saying "While big three executives got rich, UAW workers got left behind."

The UAW's contract proposal seeks to index worker pays to raises for executives and stock buybacks, which indicate healthy profit margins for automakers. As part of the UAW's proposed contract, any increase in a CEO's pay would have to be met by an increase of the same percentage for all workers. Similarly, automakers would have to pay each worker $2 for every $1,000,000 they spend on stock buybacks, special dividends, and increases to normal dividends in any given year.

The proposal, Fain said, would finally allow UAW workers to get some kickbacks from record profits being experienced by the big three auto makers. 

The UAW also asked automakers for a COLA, or cost-of-living adjustment, which would increase wages at the cost of living increases. Such a proposal would allow workers wages to keep up with inflation and cost of living increases. 

The UAW's proposal was turned down by all of the big three automakers, who offered their counter proposals this week. However, Fain said that all three proposals fell way short and showed a fundamental divide between corporate executives and the working class.

"We know what it's like firsthand to not be able to afford the cars we produce," Fain said. "We know what it's like to be decimated, and have our families torn apart by plant closures."

Fain says that if the big three don't propose satisfactory contracts by September 14th at 11:59pm, then workers for all three will go on strike, a move he reassures the public will not affect car prices.

"We aren't gonna stand by and let [the big three] drag out negotiations." Fain said.

According to Fain, Ford already appears to be prepping for a strike, taking out "millions in loans" and securing so-called "scabs," a term for workers hired temporarily to replace striking workers, in lieu of the Thursday night deadline.

Below is a rundown of what the UAW claims their contract proposal asks for, and the response provided on each point by each automaker.

UAW Proposal:

  1. End tiered pay, 90 day progression to top rate, restore pensions and retiree healthcare
  2. Match salary increases to those of the CEOs, catch up with inflation, make up for decades of falling wages
  3. COLA so wages keep up with inflation
  4. Profit sharing $2 for every $1 million spent on stock buybacks, special dividends, and increases to normal dividends. 
  5. End abuse of tempts by converting to full time after 90 days
  6. Working Family Protection Program and right to strike over plant closures for job security
  7. Increased work, life, and family balance with more paid time off and holidays
  8. Increases to retiree pay

Ford Counter Offer:

  1. Keep tiers, 5 year progression to top rate, rejected all pension and retiree healthcare proposals, proposed high cap on temp workers.
  2. 10% pay increase over four years, lump sum bonuses many employees won't qualify for.
  3. Insufficient COLA plan that would've provided no protection against inflation for 10 of the last 13 years, and likely won't provide any for the next four.
  4. Insufficient profit-sharing formula that would've resulted in 21% smaller checks over the last 2 years.
  5. No path to full time for temps, meager wage increase to $20/hr with an 8% cap.
  6. Unilateral right to outsource work at any time.
  7. Rejected nearly all quality of life proposals, refused to recognize Juneteenth. Two weeks parental leave.
  8. Rejected all increases to retiree pay.

GM Counter Offer:

  1. Keep tiers, 6 year progression to top rate, rejected all pension and retiree healthcare proposals, continued substandard pay for CCA and GMCH.
  2. 10% pay increase over four years, lump sum bonuses many employees won't qualify for. No raises for GMCH workers, only 2% for CCA
  3. No COLA, just lump sums that many employees won't qualify for. 
  4. Insufficient profit-sharing formula that would've resulted in a 29% smaller check last year.
  5. No path to full time for temps, meager wage increase to $20/hr.
  6. Rejected all job security proposals.
  7. Rejected all quality of life proposals, did recognize Juneteenth.
  8. Rejected all increases to retiree pay.

Stellantis Counter Offer:

  1. Keep tiers, 6 year progression to top rate, rejected all pension and retiree healthcare proposals, continued substandard pay at MOPAR.
  2. Pay increases every year totaling 14.5% over the contract, but falls short of making up for past inflation and doesn't safeguard against future inflation
  3. No COLA, just lump sums.
  4. Rejected enhanced profit sharing.
  5. No path to full time for temps, meager wage increase to $20/hr.
  6. Rejected all job security proposals.
  7. Rejected all quality of life proposals, did recognize Juneteenth.
  8. Rejected all increases to retiree pay. 

Without commenting on the state of negotiations, an official from Ford reached out to 21 News to say their counter-proposal did contain provisions which would eventually get rid of the tier system in their contract, contrary to what the UAW says. A Ford press release from late August about their counter-proposal says that their offer for the 2023 contract eliminates pay tiers "so all employees can achieve industry-leading wages."

Jessica Enoch, a spokeswoman for Ford, said “Temporary workers represent only 3% of our hourly workforce at Ford, and they have a clear career path: Since the 2019 contract, temporary full-time employees are converted to permanent full-time employee status upon the completion of two years’ continuous service."

The statement continues to say that Ford has converted over 14,000 temporary workers to permanent employees since 2019, including 3,000 last summer. 

Enoch would not comment directly on the claims that Ford is hiring scabs and taking out large loans, but did issue the following statement: 

"We are developing responsible contingency plans in the case of a work stoppage. When it comes to our parts depots, we have a responsibility to our customers and dealers to ship the parts that keep Ford vehicles on the road – especially to keep first responders and other essential services running. Safety and customer service are top priorities for us.”