Nearly 1,000 Workers Strike at Michigan Supplier Plant for GM
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 36 minutes ago
0mins
Source: Newsfilter
- Strike Scale: Nearly 1,000 workers at Dauch Corp.'s Michigan plant, a key supplier for GM's pickup trucks, went on strike due to unresolved contract negotiations, potentially impacting GM's production capabilities.
- Wage Dispute: The union highlighted that workers' wages were slashed from $29 per hour during the 2008 recession to $14.50, with current wages capped at $22, indicating a strong demand for wage recovery amid economic recovery.
- Company Response: Dauch Corp. expressed disappointment over the strike and emphasized its commitment to negotiating a fair agreement, suggesting a desire to maintain production stability despite worker protests, which could affect its relationship with the union.
- Production Impact: GM stated that production remains normal despite the strike, with approximately two weeks' worth of axle inventory available, indicating short-term resilience but potential long-term risks if the strike continues.
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Analyst Views on DCH
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About DCH
Dauch Corporation, formerly American Axle & Manufacturing Holdings, Inc., is a global Tier 1 automotive supplier. The Company designs, engineers and manufactures driveline and metal forming technologies to support electric, hybrid and internal combustion vehicles. The Company's product categories include Driveline and Metal Forming. Its Driveline products consist primarily of front and rear axles, driveshafts, differential assemblies, clutch modules, balance shaft systems, disconnecting driveline technology, and electric and hybrid driveline products and systems for light trucks, sport utility vehicles (SUVs), crossover vehicles, passenger cars and commercial vehicles. The Company's Metal Forming products consist primarily of engine, transmission, driveline and safety-critical components for traditional internal combustion engine and electric vehicle architectures including light vehicles, commercial vehicles and off-highway vehicles, as well as products for industrial markets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
UAW Workers Strike at Dauch Corp. in Michigan for Better Wages
- Strike Scale: Nearly 1,000 workers at Dauch Corp.'s Michigan plant have gone on strike due to failed contract negotiations, highlighting significant worker dissatisfaction regarding wages and benefits.
- Wage History: Workers' wages were slashed to $14.50 per hour during the 2008 recession from a peak of $29, with current maximum wages at $22, indicating a pressing need for wage restoration to meet living standards.
- Negotiation Stance: Dauch Corp. expressed disappointment over the strike and emphasized a desire to reach a fair agreement through negotiations; however, union leaders assert they will continue striking until the company responds appropriately, reflecting a tense negotiation atmosphere.
- Production Impact: The strike affects parts production for several GM models, and while GM claims operations are normal, the union believes the automaker's axle inventory can only sustain production for about two weeks, potentially leading to future production pressures.
See More
Nearly 1,000 Workers Strike at Michigan Supplier Plant for GM
- Strike Scale: Nearly 1,000 workers at Dauch Corp.'s Michigan plant, a key supplier for GM's pickup trucks, went on strike due to unresolved contract negotiations, potentially impacting GM's production capabilities.
- Wage Dispute: The union highlighted that workers' wages were slashed from $29 per hour during the 2008 recession to $14.50, with current wages capped at $22, indicating a strong demand for wage recovery amid economic recovery.
- Company Response: Dauch Corp. expressed disappointment over the strike and emphasized its commitment to negotiating a fair agreement, suggesting a desire to maintain production stability despite worker protests, which could affect its relationship with the union.
- Production Impact: GM stated that production remains normal despite the strike, with approximately two weeks' worth of axle inventory available, indicating short-term resilience but potential long-term risks if the strike continues.
See More
UAW Strikes at Dauch Corp., Key GM Supplier
- Strike Context: Members of the United Auto Workers (UAW) have gone on strike at Dauch Corp.'s facility in Three Rivers, Michigan, a key supplier for General Motors (GM) midsize and full-size pickup trucks, highlighting worker dissatisfaction with wage negotiations.
- Wage Issues: The UAW claims that wages have not recovered since 2008, with current maximum pay at $22 per hour after a five-year progression, indicating a significant loss in inflation-adjusted wages, which have been cut in half since pre-2008 levels.
- Market Reaction: Shares of both Dauch Corp. (DCH) and General Motors (GM) have declined ahead of Monday's market open, reflecting investor concerns over potential disruptions in the supply chain due to the strike.
- Historical Background: Dauch Corp., formerly known as American Axle, was part of GM until 1992 when it was acquired by Richard Dauch, and it continues to supply drivetrains for GM's best-selling models like the GMC Sierra and Chevy Silverado, making the strike potentially impactful on production and delivery schedules.
See More
UAW Calls for Strike at Dauch Corp. Factory in Michigan
- Strike Initiation: The United Auto Workers (UAW) has initiated an unfair labor practice strike at Dauch Corp.'s Michigan factory due to failed contract negotiations, with nearly 1,000 members set to walk out at midnight, highlighting worker dissatisfaction over wages and conditions.
- Wage Concerns: The union emphasized that despite Dauch Corp. generating $8.4 billion in profits over the last decade, workers' wages are capped at $22 per hour, and inflation has halved their real wages since pre-2008 levels, indicating a significant loss of economic ground.
- Employee Support: In early May, employees voted 98% in favor of authorizing a strike if necessary, demonstrating their strong demand for improved wages and working conditions, which escalates tensions with the company.
- Industry Impact: General Motors (GM) has stated it is closely monitoring the strike situation and its potential impacts, suggesting that this event could significantly disrupt the automotive supply chain and production, affecting overall market performance.
See More
UAW Calls for Strike at Michigan Factory Supplying GM
- Strike Announcement: UAW President Shawn Fain declared a strike at the Dauch Corp factory in Three Rivers, Michigan, set to commence at midnight, which supplies axles for GM's profitable pickup trucks, highlighting the union's strong demand for improved worker conditions.
- Worker Conditions: The plant employs around 1,000 unionized workers, and the union noted that employees made sacrifices in 2008 to keep the facility operational, with current wages capped at $22 per hour, significantly lower than the $29 per hour in 2008, reflecting deep dissatisfaction with pay and benefits.
- Strike Authorization Vote: In early May, workers voted 98% in favor of authorizing a strike if necessary, demonstrating the union members' firm resolve to improve working conditions, with Fain stating that for 18 years, workers have built profits for the company while being treated unfairly.
- GM's Response: General Motors stated it is closely monitoring the situation and assessing potential impacts, indicating the company's concern over the union's actions and the possible risks to production and supply chains.
See More
Dauch Corporation to Participate in UBS Auto and Auto Tech Conference 2026
- Conference Participation: Dauch Corporation is set to participate in the UBS Auto and Auto Tech Conference on June 3, 2026, featuring a fireside chat presentation at 10:30 a.m. ET, showcasing its expertise in the automotive sector.
- Live Webcast Availability: The presentation will be webcast live through the Investor Relations section of the company's website, ensuring that global investors can access real-time information, thereby enhancing transparency and investor confidence.
- Company Background: Dauch Corporation is a premier driveline and metal forming supplier serving the global automotive industry, with a product portfolio that supports electric, hybrid, and internal combustion vehicles, highlighting its competitiveness in diverse powertrain systems.
- Global Operations Network: Headquartered in Detroit, MI, Dauch operates in 24 countries with over 175 locations, indicating its extensive influence and operational capabilities in the global market.
See More
UAW Workers Strike at Dauch Corp. in Michigan for Better Wages
- Strike Scale: Nearly 1,000 workers at Dauch Corp.'s Michigan plant have gone on strike due to failed contract negotiations, highlighting significant worker dissatisfaction regarding wages and benefits.
- Wage History: Workers' wages were slashed to $14.50 per hour during the 2008 recession from a peak of $29, with current maximum wages at $22, indicating a pressing need for wage restoration to meet living standards.
- Negotiation Stance: Dauch Corp. expressed disappointment over the strike and emphasized a desire to reach a fair agreement through negotiations; however, union leaders assert they will continue striking until the company responds appropriately, reflecting a tense negotiation atmosphere.
- Production Impact: The strike affects parts production for several GM models, and while GM claims operations are normal, the union believes the automaker's axle inventory can only sustain production for about two weeks, potentially leading to future production pressures.
See More
Nearly 1,000 Workers Strike at Michigan Supplier Plant for GM
- Strike Scale: Nearly 1,000 workers at Dauch Corp.'s Michigan plant, a key supplier for GM's pickup trucks, went on strike due to unresolved contract negotiations, potentially impacting GM's production capabilities.
- Wage Dispute: The union highlighted that workers' wages were slashed from $29 per hour during the 2008 recession to $14.50, with current wages capped at $22, indicating a strong demand for wage recovery amid economic recovery.
- Company Response: Dauch Corp. expressed disappointment over the strike and emphasized its commitment to negotiating a fair agreement, suggesting a desire to maintain production stability despite worker protests, which could affect its relationship with the union.
- Production Impact: GM stated that production remains normal despite the strike, with approximately two weeks' worth of axle inventory available, indicating short-term resilience but potential long-term risks if the strike continues.
See More
UAW Strikes at Dauch Corp., Key GM Supplier
- Strike Context: Members of the United Auto Workers (UAW) have gone on strike at Dauch Corp.'s facility in Three Rivers, Michigan, a key supplier for General Motors (GM) midsize and full-size pickup trucks, highlighting worker dissatisfaction with wage negotiations.
- Wage Issues: The UAW claims that wages have not recovered since 2008, with current maximum pay at $22 per hour after a five-year progression, indicating a significant loss in inflation-adjusted wages, which have been cut in half since pre-2008 levels.
- Market Reaction: Shares of both Dauch Corp. (DCH) and General Motors (GM) have declined ahead of Monday's market open, reflecting investor concerns over potential disruptions in the supply chain due to the strike.
- Historical Background: Dauch Corp., formerly known as American Axle, was part of GM until 1992 when it was acquired by Richard Dauch, and it continues to supply drivetrains for GM's best-selling models like the GMC Sierra and Chevy Silverado, making the strike potentially impactful on production and delivery schedules.
See More
UAW Calls for Strike at Dauch Corp. Factory in Michigan
- Strike Initiation: The United Auto Workers (UAW) has initiated an unfair labor practice strike at Dauch Corp.'s Michigan factory due to failed contract negotiations, with nearly 1,000 members set to walk out at midnight, highlighting worker dissatisfaction over wages and conditions.
- Wage Concerns: The union emphasized that despite Dauch Corp. generating $8.4 billion in profits over the last decade, workers' wages are capped at $22 per hour, and inflation has halved their real wages since pre-2008 levels, indicating a significant loss of economic ground.
- Employee Support: In early May, employees voted 98% in favor of authorizing a strike if necessary, demonstrating their strong demand for improved wages and working conditions, which escalates tensions with the company.
- Industry Impact: General Motors (GM) has stated it is closely monitoring the strike situation and its potential impacts, suggesting that this event could significantly disrupt the automotive supply chain and production, affecting overall market performance.
See More
UAW Calls for Strike at Michigan Factory Supplying GM
- Strike Announcement: UAW President Shawn Fain declared a strike at the Dauch Corp factory in Three Rivers, Michigan, set to commence at midnight, which supplies axles for GM's profitable pickup trucks, highlighting the union's strong demand for improved worker conditions.
- Worker Conditions: The plant employs around 1,000 unionized workers, and the union noted that employees made sacrifices in 2008 to keep the facility operational, with current wages capped at $22 per hour, significantly lower than the $29 per hour in 2008, reflecting deep dissatisfaction with pay and benefits.
- Strike Authorization Vote: In early May, workers voted 98% in favor of authorizing a strike if necessary, demonstrating the union members' firm resolve to improve working conditions, with Fain stating that for 18 years, workers have built profits for the company while being treated unfairly.
- GM's Response: General Motors stated it is closely monitoring the situation and assessing potential impacts, indicating the company's concern over the union's actions and the possible risks to production and supply chains.
See More
Dauch Corporation to Participate in UBS Auto and Auto Tech Conference 2026
- Conference Participation: Dauch Corporation is set to participate in the UBS Auto and Auto Tech Conference on June 3, 2026, featuring a fireside chat presentation at 10:30 a.m. ET, showcasing its expertise in the automotive sector.
- Live Webcast Availability: The presentation will be webcast live through the Investor Relations section of the company's website, ensuring that global investors can access real-time information, thereby enhancing transparency and investor confidence.
- Company Background: Dauch Corporation is a premier driveline and metal forming supplier serving the global automotive industry, with a product portfolio that supports electric, hybrid, and internal combustion vehicles, highlighting its competitiveness in diverse powertrain systems.
- Global Operations Network: Headquartered in Detroit, MI, Dauch operates in 24 countries with over 175 locations, indicating its extensive influence and operational capabilities in the global market.
See More
