UAW Officials Say GM’s Push to Trim Health Benefits Could Lead to Strike

Washington DC June 16, 2005; The AIADA newsletter reported that although the United Auto Workers union has indicated its willingness to work with General Motors on a plan to trim the automaker’s $6 billion health care tab, union officials on Wednesday warned that too much pushing from the world’s largest automaker could trigger a strike from union members. GM said it would like to see a deal with the UAW reached by the close of June, a deadline local UAW officials say “would be both contentious and unacceptable,” reports Reuters.

"I think it is impossible," said Oscar Bunch, president of a union local in Toledo, Ohio, when asked about trying to come to an agreement within the next two weeks. "I know they have to understand the consequences of trying to take unilateral action. We are not going to stand by it," said Eldon Renaud, president of a UAW local in Bowling Green, Kentucky. "Unilateral action certainly would ruin relations for a decade," Renaud added, saying he thought some locals were probably already bracing for a strike authorization vote.

Ed Snyder, a spokesman for GM spokesman, said that GM had not discussed anything to the effect of an ultimatum or "drop dead deadline.” More from Reuters: “Asked about the possibility of cutting health-care benefits without the UAW’s approval, Snyder, quoting from Wagoner’s speech at the annual meeting, said only that GM’s "very strong preferred approach" was to cut costs in cooperation with the UAW.”