The UAW early Wednesday struck a ZF Group plant in Tuscaloosa, Ala., that builds entrance and rear axles for Mercedes-Benz automobiles constructed close by.
It was not instantly clear what affect the strike is having on automobile meeting on the automaker’s Vance, Ala., plant, the place it builds the GLE, GLS, EQE and EQS, based on the Automotive Information Knowledge Middle.
Spokespeople for Mercedes didn’t instantly return a request for remark.
About 190 staff at ZF’s chassis techniques plant in Tuscaloosa walked out at 5 a.m. native time. Core points for staff there embrace wages and a tiered-wage construction, along with well being care protection, which a union supply stated “is likely to be the lead difficulty” for UAW Native 2083, which represents the employees.
Representatives for Native 2083 couldn’t be reached for remark.
In an e mail, ZF spokesperson Tony Sapienza confirmed that UAW-represented staff on the Tuscaloosa plant elected to go on strike however stated the plant would proceed to run.
“We stay dedicated to persevering with negotiations in good religion and are hopeful that we are able to come to a decision quickly,” he stated.
The strike towards ZF comes amid the UAW’s bigger strike towards the Detroit 3, which started final Friday with staff strolling out at three meeting crops. The union has set a deadline of midday Friday for Basic Motors, Ford and Stellantis to make “critical progress” in negotiations earlier than it expands the strike to further crops.
Suppliers have been intently monitoring the UAW strike for its affect on their operations and backside line. Many firms have warned that smaller suppliers, together with Tier 2 and Tier 3 elements makers, are liable to going beneath if the strike persists after years of upper prices and uneven new-vehicle manufacturing.
ZF, based mostly in Friedrichshafen, Germany, ranks No. 3 on the Automotive Information checklist of the highest 100 world suppliers with worldwide gross sales to automakers of $42.1 billion in 2022.