The “war” between Stellantis and UAW continues. After filing complaints due to strike threats, the automotive group is contesting the strike authorization vote of UAW Local 186, which represents employees at the Denver Parts Distribution Center (PDC). The challenge will include a violation of the grievance procedure in the lawsuit it intends to file against the UAW and the UAW Local. In the Denver area, Stellantis recently announced additional layoffs at Jefferson and Mack facilities.
Stellantis contests the strike vote at its Denver facility that violates the collective bargaining agreement
According to the agreed language in the 2023 UAW-Stellantis Collective Bargaining Agreement (CBA), the procedure for strikeable grievances involves three stages, each giving the company a specific number of days to respond. The UAW instructed its members on this process during a Facebook livestream. It’s unclear whether the UAW Local chose to ignore the UAW instruction on its own initiative or if the UAW International ordered the UAW Local to violate this process. In either case, the process was not followed.
A strike authorization vote at a specific facility can only take place after the parties have met the requirements of all three stages. In the case of the Denver PDC, UAW members voted before completing stage three, making any strike action taken as a result of the vote illegal.
The Denver lawsuit will be one of two additional lawsuits that Stellantis filed on Tuesday against the UAW and various UAW locals for failing to honor their contractual obligations, ignoring the clear language in investment letter 311 that gives the company discretion in making business decisions, and violating the CBA by calling for a mid-contract strike based on pending grievances.
The company remains undeterred from pursuing this lawsuit and fully intends to seek monetary damages. In short, tensions continue to escalate day by day. These began, if we consider only 2024, after the announcement of thousands of layoffs in the United States and the postponement of the reopening of the Belvidere plant, which many believe will never reopen. The reason would be a critical market situation, with consistently declining sales in the United States.