Ford, GM Stocks Waver as UAW Contract Negotiations Restart

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United Auto Workers President Shawn Fain rejected Stellantis’ offer of a 21% pay increase. Auto makers have responded to the strikes with temporary layoffs.

Ford and General Motors stocks wavered early Monday after negotiations between the ‘Big Three’ car makers and the United Auto Workers resumed over the weekend.

General Motors stock, which rose 0.9% Friday, pointed 0.4% higher in premarket trading, while Ford, which slipped 0.1% Friday, was 0.2% down, erasing earlier gains. Shares in Stellantis fell 1.3% ahead of the open, after climbing 2.2% Friday. The auto makers have also responded to the strikes with temporary layoffs. Ford announced Friday that it has temporarily laid off about 600 nonstriking workers at its Michigan plant. General Motors said about 2,000 workers at its Fairfax Assembly plant in Kansas could be out of work this week, until production resumes.

Ward estimated that the strikes targeting the three facilities will cost the companies a combined $15 million in Ebit per day.

 

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Ford, GM Stocks Climb as UAW Contract Negotiations RestartUnited Auto Workers President Shawn Fain rejected Stellantis’ offer of a 21% pay increase. Auto makers have responded to the strikes with temporary layoffs.
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