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Assertive US unions pose a challenge for Joe Biden

Auto workers’ strike carries risks for the White House, and for labour leaders

Detroit’s “big three” automakers are suffering the first strike to hit them simultaneously in their history. Targeted walkouts at General Motors, Ford and Stellantis plants by the United Auto Workers union are only the latest sign of action by an emboldened US labour movement that has secured some inflation-busting pay rises, but led to the largest number of days being lost to strikes this year since 2000. The activism poses political risks for President Joe Biden, who has pitched himself as the biggest ally unions have ever had in the White House. But it is a highly risky strategy for the labour unions, too.

The labour activism reflects a variety of factors. There is intense pressure on companies to meet employees’ surging living costs. Many workers feel high inflation, on top of the health risks they took while working early in the pandemic, means they have earned outsized raises. Labour leaders are pointing to the robust growth in corporate profits and executive pay over the same period. Workers from Detroit to Hollywood are also confronting the impact of new technology such as electric vehicles and AI.

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