Stellantis Sues UAW In Federal Court Over Strike Threats

Chrysler parent Stellantis filed a federal lawsuit against the United Auto Workers (UAW), claiming the union has violated its contract by threatening to strike over the company’s delays in planned investments, Reuters reported.

Stellantis seeks to hold the UAW and the local union chapter liable for any potential revenue loss and other damages resulting from lost production due to any strike. I Photo: Stellantis

The automaker has filed the suit asking the U.S. District Court in the Central District of California to declare the decision by UAW Local 230 in Los Angeles to take a strike authorization vote as a violation of the terms of the contract reached last fall.

Stellantis seeks to hold the UAW and the local union chapter liable for any potential revenue loss and other damages resulting from lost production due to any strike.

A supermajority of UAW members at Stellantis’ Los Angeles parts distribution center voted to request strike authorization if the company and union can’t settle a grievance over planned company investments.

UAW President Shawn Fain has said the company violated the contract by backing off investment commitments, but the company argues that investments were always subject to market conditions and that demand for electric vehicles has slowed since the deal was signed, CNN also reported.