UAW urges Stellantis workers to authorize strike, accuses car maker of breaching contract By Reuters

(Reuters) – The United Auto Workers union has asked workers at Stellantis (NYSE:) for permission to strike, accusing the Franco-Italian automaker of breaking its contractual promises, UAW President Sean Fine said in a letter to the union’s U.S. branches about Friday.

“We unanimously recommend to the members that every UAW worker at Stellantis prepare to fight, and we all prepare to vote yes to allow a strike at Stellantis,” Fine wrote in the letter, which the UAW shared in a Facebook (NASDAQ) post. :).

The union’s complaints center around Stellantis’ product commitments and investments made during contract negotiations last fall.

“We have reviewed serious violations of our contract and patterns of illegal behavior by Stellantis. The evidence is clear that CEO Carlos Tavares is leading Stellantis on a crash course that will cause our members tremendous harm,” the letter added on Friday.

Stellantis did not immediately respond to a Reuters request for comment. However, Stellantis previously denied failing to meet its obligations with the UAW, with North American COO Carlos Zarlinga saying the company “has committed and will continue to adhere to the agreement reached by the parties in 2023.”

Stellantis, Chrysler’s parent company, is struggling in North America, and has attracted criticism from consumers and workers who say it has not done enough to stimulate demand.

The main sticking points for the UAW revolve around delays in a planned multibillion-dollar investment in a new battery plant and manufacturing facility in Belvidere, Illinois and potential plans by Stellantis to move production of the Dodge Durango SUV outside the United States.

Fine said earlier this month that several local union branches were laying the groundwork for strikes.

Tavares said he is focused on improving Stellantis’ performance in the United States, and expressed a willingness to shut down brands globally if they don’t make money.