AAM strike rocks GM operations across North America — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

AAM strike rocks GM operations across North America

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A strike by workers at five American Axle and Manufacturing Holdings (AAM) plants in New York and Michigan led to temporary closures at more than a dozen General Motors plants in February and March.

The stoppage affected more than half of GM’s work force at plants in New York, Indiana, Michigan, Ohio and Ontario.

About 3,600 United Auto Workers members at AAM plants in Tonawanda and Cheektowaga, plus two plants in Michigan, walked off their jobs on Feb. 25 when contract talks broke down over wages, health care and pension benefits. GM production was down by nearly one-third within 11 days of the strike. Detroit-based AAM is a critical GM supplier of axles, drive shafts and stabilizer bars.

The shutdowns could be devastating to scores of related companies, particularly GM parts suppliers. GM trucks comprise “the biggest vehicle program in America,” according to Jim Gillette, a supplier analyst at CSM Worldwide in Grand Rapids, Mich.

The UAW says AAM has asked for wage cuts of roughly 50%. 

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