A long and expanding strike will reduce the number of new cars on dealer lots, make it harder for people to repair their vehicles and reduce demand for parts needed to make new vehicles
So far, the economic damage has been limited because the UAW has struck only a small number of plants and warehouses, but the pain could worsen if work stoppages grow to include many more locations and last weeks or months.
New-car sales are expected to rise this month, despite the strike and high interest rates, according to Cox Automotive. And for now, overall inventories for the three companies remain stable, except for the most popular models, according to data from CoPilot, a firm that tracks dealer inventories. “Once that dries up, they’re not building anything, so it’s important that the strike is as short as possible,” said Wes Lutz, a car dealer in Jackson, Michigan, who sells Chrysler, Dodge, Jeep and Ram models.
Servicing and repairing vehicles is generally the most profitable part of car dealerships. Service departments bring in so much money that they can cover most or all of the costs of running dealerships, said Pat Ryan, CEO of CoPilot.
Philippines Latest News, Philippines Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Strikes could idle more Detroit Three auto plants on FridayIf UAW President Shawn Fain triggers walkouts at more plants starting at noon on Friday, the UAW is expected to continue work stoppages currently under way until a new contract is ratified
Read more »
UAW expands strikes to Ford and GM plants, Stellantis spared as progress made, Fain saysThe UAW announced new stand up strike locations on Friday morning, once again extending the UAW’s strike strategy which now enters its third week, but again not at all three automakers.
Read more »
UAW president plans to expand strikes against Ford, GMUnited Auto Workers (UAW) President Shawn Fain announced today the union's intentions to expand the ongoing strike against Big Three automakers — Ford (F), General Motors (GM), Stellantis (STLA) — for a second time. Fain calls on for 7,000 additional auto workers to join the picket line, noting the UAW has reportedly been in talks with Stellantis and seeing progress in their labor talks. Yahoo Finance Live breaks down Fain's latest statement while monitoring the stock action surrounding major automakers. For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Read more »
UAW makes new counter proposal to Chrysler-parent Stellantis -union(Reuters) - The United Auto Workers made a new counter-proposal to Chrysler-parent Stellantis on Thursday, just one day before the union is set to ...
Read more »
Mortgage rates rise, govt. shutdown, UAW compromise: Big 3 at 3Mortgage rates climb to a 23-year high, with 30-year fixed rate mortgages sitting at 7.31%. The chances of the U.S. government barrelling toward a shutdown are running even higher as both parties’ leadership struggle to agree upon a spending bill by the October 1 deadline. The United Auto Workers (UAW) union expresses willingness to compromise on its wage increase demands with Big Three automakers Ford (F), General Motors (GM), and Stellantis (STLA), after laying out plans to expand its strike for a second time on Friday, September 29. Yahoo Finance’s Julie Hyman and Josh Lipton highlight the top news headlines in the afternoon live from the New York Stock Exchange. For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Read more »
UAW makes new counter proposal to Chrysler parent Stellantis, union saysA union official confirmed the new proposal as talks remain active with Stellantis, General Motors and Ford Motor
Read more »