Stellantis files federal lawsuit against UAW union over strike threats

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Stellantis files federal lawsuit against UAW union over strike threats

Stellantis NV CEO Carlos Tavares speaks to the media at the Stellantis automotive manufacturing plant in Sochaux, France, Thursday, October 3, 2024.

Nathan Lane | Bloomberg | Getty Images

Detroit- Strantis The United Auto Workers union is suing the United Auto Workers, escalating a months-long battle between the transatlantic automaker and U.S. unions, CNBC reported.

In a confirmed internal message sent to employees on Friday, the company said it was suing the UAW and the local California chapter that voted to authorize a strike at Stellantis's Los Angeles parts distribution center.

“This lawsuit will hold both international and local unions liable for lost revenue and lost production resulting from illegal strikes,” Tobin Williams, Stellantis' senior vice president of human resources for North America, said in an email.

The lawsuit seeks to “prevent and/or remedy breaches by the UAW,” according to a copy of the complaint filed Thursday in U.S. District Court for the Central District of California.

An overwhelming majority of UAW members at Stellantis's Los Angeles parts distribution center voted to ask the International Executive Council to authorize a strike if the company and the union cannot reach a settlement. said Friday morning.

The UAW did not immediately respond to a request for comment on the lawsuit Friday afternoon.

On August 7, 2024, in Romulus, Michigan, USA, United Auto Workers (UAW) President Shawn Fain made a speech in front of U.S. Vice President and Democratic presidential candidate Kamala Harris. Kamala Harris and her running mate Tim Walz address attendees at a campaign rally.

Rebecca Cook | Reuters

The dispute between the two sides centers on the union's accusation that Strantis failed to live up to its contractual obligations in an agreement the two sides reached late last year. Stellantis has repeatedly cut factory output, laid off workers and delayed potential investments outlined in the 2023 contract.

The automaker argued, including in a letter to employees on Friday, that language in the contract allows it to change plans based on market conditions, factory performance and other factors.

UAW President Shawn Fain has often said the union would strike if needed, but Strantis argued that would be illegal under the contract.

This is breaking news. Please check back for additional updates.

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