UAW Files Unfair Labor Charges Against Stellantis Over Factory Commitments
The United Auto Workers (UAW) has escalated its dispute with Stellantis by filing federal labor charges, accusing the automaker of reneging on its factory commitments, the Associated Press reports.
The UAW’s complaint, lodged with the National Labor Relations Board (NLRB), focuses on Stellantis’ alleged plans to move production of the Dodge Durango SUV from Detroit to Canada without providing required information to the union.
The union’s concerns are tied to Stellantis’ contractual promises, made after last year’s six-week strike, to maintain production at US plants, including the Detroit Jefferson North Assembly Plant. Additionally, the UAW has filed grievances regarding Stellantis’ delays in reopening the Belvidere, Illinois, vehicle assembly plant and in constructing a parts distribution center and an electric vehicle (EV) battery plant at the same location. The union has threatened to strike if the automaker does not meet its obligations.
UAW President Shawn Fain stated that the union’s new contract grants it the right to strike over unfulfilled factory commitments. He accused Stellantis of going back on its agreement.
“We intend to enforce our contract and to make Stellantis keep the promise,” Fain said.
Stellantis, however, denied breaching the contract, maintaining that its production plans are influenced by market conditions and competition. The automaker indicated that it would inform the UAW about any changes in due course.
Union members are particularly concerned that if Stellantis fails to restart the Belvidere plant as promised, other commitments could also be at risk. This includes the possibility of production being shifted to Mexico, where labor costs are lower.
The automaker has reaffirmed its intention to reopen Belvidere by 2027 and to build up to 100,000 midsize pickups annually, as well as construct a parts hub this year and a battery factory by 2028. However, Stellantis stated that unfavorable market conditions have forced delays, though no specific dates have been provided. The future of more than 2,700 jobs is at stake.
In total, Stellantis has pledged $18.9 billion in US investments under the current contract, which runs until April 2028. It also committed to producing both gas and electric versions of the next-generation Dodge Durango at the Detroit plant starting in 2026. However, the company’s commitments are conditional on market factors, plant performance, and sustained consumer demand.