WAYNE, Mich. (WXYZ) — A new economic report by the Anderson Economic Group finds that in just the first week of the strike, workers lost about $110 million in wages.
All of this comes as reality starts to set in for striking workers tightening their belts and living off that $500-a-week strike pay.
But this is a very tight labor market and local companies say they want to help striking UAW members bridge the gap.
So, I’ve been talking to workers here in Wayne about their own economic realities.
The nonprofit, Hired in Michigan, held a career expo Wednesday in Southfield, specifically reaching out to UAW strike workers.
“We went out onto the picket line, and we met with lots of strike workers. And we understood the fact that they have strike pay. And we have employers here that have positions available,” said CJ Eason, Community Outreach President, Job Fair Giant.
Many of the employers I tried to talk to were reluctant to go on camera but told me they had positions available in the exact lines of work familiar to UAW strikers.
“Temporary positions, full-time positions, contract positions as well. And many of the employers are open to those individuals coming and working with them even on a temporary basis,” said Eason.
Kayla Smith is a strike leader and Ford Assembly worker on the picket line.
WXYZ’s Mike Duffy asked, “What do you think about the fact that local businesses are trying to help you guys?”
“I think that’s a great idea. You know any help, we will take any help, okay,” said Kayla Smith, Strike leader, Ford Assembly worker.
Duffy asked her if she would consider finding additional employment if the strike drags on.
“You might lose the strike pay if you got a second job that’s possibly paying you more. But it’s like an either-or type thing. You know we’re going on strike. You know what the requirement is,” said Smith.
She tells me working two jobs is not uncommon.
“Even working here, if we’re working our regular hours, you still might have another job, you know what I’m saying,” said Smith.
It’s an economic reality Jermaine, who also works at Ford, knows too well.
“I got a son, and you know I’ve got to take care of him. I’m paying child support so that don’t stop, you know what I’m saying. So, you know, you’ve got to do what you’ve got to do. You’ve got to have side hustles nowadays just to live,” said Jermaine, Ford worker.
Now, the pressures are compounded.
“It’s times right now you have to worry about having food on the table and paying a bill right at this moment. You know a $500 check is pennies at this economy and the way inflation is right now,” said Jermaine.
Unfortunately, the pressures are only expected to increase as the strike continues. As we wait to see about the possibility of more closures and more striking workers, that hardship will continue to spread through the Michigan economy and beyond.
The UAW strike is in the national headlines because the auto industry is important across the country. But it’s the cornerstone of the Michigan economy and now we’re learning just how much the strikes are hurting us.
Workers at the Ford Michigan Assembly Plant in Wayne have been out here for 13 days now. We all know this has a big economic impact but we’re just now getting a sense of how bad it was in the first week in real numbers.
New figures from the Michigan-based Anderson Economic Group show workers lost about $110 million in wages. The auto companies lost just over half a billion dollars.
Then for suppliers and other connected companies, their loss was about $1.1 billion.
In total, the Anderson Economic Group estimates a total loss in the first week of about $1.6 billion.
“So how do those numbers change as the strike carries on?” asked Mike Duffy.
“Over time, the pain increases for the workers basically week by week. It tends to grow faster for the companies, particularly auto companies,” said Patrick Anderson, Principal & CEO Anderson Economic Group.
“A concern I have are a lot of these supplier companies, tier twos, tier threes in particular. Those people are feeling a lot of pain right now,” said Patrick Anderson.
Anderson tells Duffy that’s a change from past strikes because the UAW’s strategy targeting parts suppliers has changed. He also said auto dealers are feeling the pinch. They’ve suffered losses of around $400 million.
Clearly, the pain is being felt across the board and it’s only expected to accelerate as the strike goes on.
