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DETROIT (Reuters) -The United Auto Workers will expand their strike of Detroit Three factories and walk off the job at one additional assembly plant at General Motors (NYSE:GM), Ford (NYSE:F) and Stellantis (NYSE:STLA), three sources familiar with the matter said Friday.
The plans are fluid and could change at any time, the sources said. The UAW declined comment.
The UAW is expected to continue work stoppages currently under way until a new contract is ratified, a source familiar with the situation said, speaking on condition of anonymity.
The union’s action follows an escalation of the initial strike on Sept. 22, when workers walked off the job at General Motors and Stellantis distribution facilities in 20 states nationwide.
The strike began on Sept. 15, when workers struck at one plant each from GM, Frod and Stellantis. The UAW did not strike at Ford distribution facilities, citing progress in talks with that company.
UAW President Shawn Fain was scheduled for a video address on Friday at 10 a.m. ET (1400 GMT). On Thursday, the union made a counter-proposal to Stellantis. Talks among the UAW and negotiators for the Detroit Three were described as “very active” by one person briefed on the situation.
Headed into Friday, about 18,300 UAW members at the Detroit Three were on strike, or about 12% of the 146,000 union members working at the automakers. Strikers have been getting $500 a week from the UAW’s strike fund.
The union previously shut one assembly plant at each of the Detroit Three, and 38 parts distribution centers at GM and Stellantis.
The effect of these walkouts has been relatively limited compared to the financial hit from halting assembly lines that build Ford F-series, Chevy Silverados and Ram trucks.
Analysts estimate GM, Ford and Stellantis earn as much as $15,000 per vehicle on each of their respective large pickup truck models.
The UAW has taken a new approach with walkouts to turn up pressure on the automakers. Rather than the hammer blow of a mass walkout, the UAW has used strikes like a ratchet, keeping company executives guessing where the next turn would come.
The union launched its first walkouts on Sept. 15, with simultaneous strikes at one assembly plant at each automaker.
The union on Sept. 22 expanded its strikes against GM and Stellantis, but kept its Ford walkout limited to a single plant due to progress in those talks. It is unclear whether Ford will be targeted in the next round of actions.
The union and the companies remain far apart on key economic issues. Fain has stuck with a demand for 40% pay hikes over a four-year contract, a position supported by President Joe Biden during a visit to Detroit on Tuesday. The companies have countered with offers of about 20%.
The UAW also is pushing automakers to eliminate the two-tier wage system, under which new hires can earn far less than veterans.
Shares of Ford and GM were marginally lower in early trading Friday.
