Nearly 1,000 workers at a Michigan axle manufacturing plant began striking at 12:01 a.m. ET Monday, targeting a supplier critical to General Motors' pickup truck production lines. The walkout at Dauch Corp.'s Three Rivers facility threatens to disrupt assembly of GM's Chevrolet Colorado and GMC Canyon midsize trucks within weeks, as the automaker maintains only about two weeks' worth of axles in stock.
The Three Rivers plant represents a critical chokepoint in GM's North American supply chain, manufacturing axles not only for the Colorado and Canyon midsize pickups but also components for heavy-duty Chevrolet Silverado and GMC Sierra trucks. The facility additionally produces smaller components for light-duty versions of these popular pickup models and parts for Stellantis' Chrysler Pacifica minivan.
UAW Local 2093 announced the strike Sunday night after contract negotiations stalled. The union's position reflects broader frustrations over wage structures that remain depressed from the 2008 financial crisis. Workers at the facility currently earn a top rate of $22 per hour after completing a five-year progression, still well below the $29 hourly wage that existed before the cuts nearly two decades ago.
Josh Jager, the local's bargaining committee chairman and a 24-year American Axle employee, has witnessed the entire arc of wage compression that followed the financial crisis. His experience mirrors that of thousands of auto suppliers who accepted dramatic pay cuts to preserve jobs during the industry's near-collapse.
