Detroit’s Electric Reckoning Has Arrived
The UAW strike against the Big Three isn’t just about wages—it’s about who will suffer the most as America transitions away from combustion engines.
Underlying the UAW labor action against the Big Three automakers is the transition from combustion engines to those powered by batteries, a change that at least in the short term may bring significant pain for companies and workers alike.
Photographer: Emily Elconin/BloombergAs the unprecedented strike by the United Auto Workers nears the one-month mark, it’s become clear the battle isn’t just about wages, benefits and sacrifices workers made to keep US automakers afloat during the financial crisis. What’s also at stake is who will suffer the most pain as America transitions from gasoline-powered to electric vehicles.
In the Bloomberg Originals mini-documentary Detroit’s Electric Reckoning, we take the measure of the US auto industry at this critical moment, as well as the tough choices faced by President Joe Biden, who must balance the need for good-paying jobs right now with the existential fight against climate change. UAW President Shawn Fain fears a future of fewer jobs as complex combustion engines are replaced by more simple electric power trains. For General Motors Co., Ford Motor Co. and Chrysler-parent Stellantis NV, higher-cost EVs require lower expenses—and thus fewer workers. The UAW seeks a “just transition.” Carmakers worry they’ll lose out to non-union domestic rivals.
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Detroit’s Electric Reckoning Has Arrived