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Positive Pivot

10/26/2023
 
Several years ago, I met a UAW worker, and I asked him where he worked.
 
Ford’s.
 
Oh, Ford.
 
No … Ford’s.
 
It was common for Ford workers to recognize their employer as Ford’s.
 
Possessive.

Family company.
 
I’m a part of it.
 
Not some generic large corporation.
 
It was Ford’s company.
 
 
I don’t think Shawn Fain has any reverence for Ford’s.
 
In spite of his hostility, and a desire to split worker’s away from an emotional connection to their employer, the UAW and Ford have reached a tentative deal.
 
A positive pivot.
 
 
Phase 1: All days leading up to September 15th
 
Phase 2: September 15th – October 5th (when all 3 companies
provided ‘best’ offers)
 
Phase 3: All days following October 5th (diminishing return days,
everyone loses)
 
 
Deal with Ford – October 25th
 
 
It was clear to everyone other than Fain, that the numbers were pretty much settled on the 5th from the OEMs, outside of a minor concession or two. 
 
Fain could have closed it then, but decided to drag it on for 3 more weeks including a strike on the Kentucky Truck Plant.
 
 
Why did it take an extra 3 weeks for Fain to close the deal?
 
To punish them?
 
To get headlines?
 
To get them to move more?
 
 
I wonder what happened for Fain to change direction and close this thing … because I don’t think that was his intention at the beginning of the week.
 
Word from Ford HQ was that they though the Rouge was going to be
walked out on this week.
 
That’s what Fain wanted.
 
Maybe a Magic Labor Fairy appeared in a vision for Fain as he was reflecting … in between rushes of strike dopamine and she told him to make a deal?
 
Or what I think happened … people in the union told Fain … enough is enough … let’s get this done …
 
We want to get back to work … at Ford’s.
 
 
A key pivot this week that saved billions of dollars and economic hardship for so many …
 
 
October 25th … Ford offered 2 more percentage points for the ‘last ask’ from the UAW … (which I’m sure Ford would have done back on the 5th!!!) …

Now a deal is done.
 
 
The extra costs of those 21 days … incredibly significant.
 
Workers.
 
Ford Suppliers.
 
Laid off people, who hopefully will get the call back.
 
Shareholders.
 
 
Was the cost of all the above, worth it for the extra headlines that Fain gained?
 
 
We’ll know for sure in 4 years what Ford thinks … because that’s when the next UAW negotiation comes around.
 
Will they adjust manufacturing plans and labor strategy because of
this strike?


Now that one is in the bucket, the other two likely will follow quickly with similar terms, and the Automotive world can go back to doing what they do best … building cars.
 
Fingers crossed though … Fain is still the main character.

 
Make it a great Thursday, everyone!

 
#SCNrecruiting #SCNinsights #SCNhiring
 
 SCN – Search Consulting Network
 
 
 
 

Ford has made a deal with the UAW … based on how the numbers shook out, it could have been done 3 weeks ago. Good or bad move by the UAW?

The author can see how you vote. Learn moreFord has made a deal with the UAW … based on how the numbers shook out, it could have been done 3 weeks ago. Good or bad move by the UAW?

Good move

33%

Bad move

67%

Other – please comment below

Jim Guerrera

Author Info

Jim Guerrera

Jim Guerrera, Managing Director, founded SCN in 2000. Jim is primarily responsible for the development of the leaders at SCN, strategic planning, the hiring and development of company associates, culture leadership, core value leadership, sales le...

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