How The United Auto Workers Strike Could Impact You
If you follow the news, you’ve probably heard about a groundbreaking labor strike facing automakers. For the first time in its history, the United Auto Workers union has initiated a strike against all three domestic automakers to force companies to raise worker's wages. Since we are an insurance agency, we are ignoring the politics of the strike but want to explain how this strike could impact your family budget.
The strike began in mid-September with only 12,000 workers of the 146,000 UAW members being sent to the picket lines. If talks do not progress, the union will inevitably send more workers home. The targeted workers on strike represent key areas of the automakers' production lines. The highly profitable plants that produce pickup trucks and SUVs produced by Ford, GM, and Stellantis are all but shut down with no reopening in sight.
How this impacts you: If the historic strike is not resolved soon, the number of new available vehicles for sale next year will be deeply diminished. This will force the price of already expensive used vehicles to go even higher. Car lots will have fewer vehicles to sell, inarguably requiring layoffs across the country.
The big three automakers rely on tier 1, tier 2, and tier 3 auto suppliers to produce relevant parts for their vehicles representing hundreds of thousands of jobs across the country. If the strike continues, large numbers of layoffs could be witnessed at these production plants around the country. Many of these auto suppliers produce parts that auto body shops use when repairing vehicles after an accident. Again, if the strike continues, getting your vehicle repaired after an accident may prove to be a challenging task.
The bottom line: As the auto strike raises new questions about the stability of the larger economy and the affordability of buying and maintaining your current vehicle, it’s more important now than ever before to have an insurance agent who has your best interest in mind. A local, independent agency like Roland, Abbott, & DeZoort Insurance can take your specific needs and shop it with dozens of companies to find you the right policy at the right price. Every person is different and every situation is unique. This is why our team of experts takes the time to know our customers. Don’t get stuck paying more for insurance while every other aspect of life remains expensive, give our team a call today and see how we can help you.