In a recent development, Ford CEO Jim Farley announced that the company will reconsider where it builds its vehicles following last year's contentious strike with the United Auto Workers (UAW) in Louisville, Kentucky. The UAW represents 57,000 union members at Detroit's Big Three automakers.
Ford has decided to manufacture all of its profitable big pickup trucks in the United States. However, Farley acknowledged that the company needs to carefully consider its manufacturing footprint as it transitions from internal combustion engines to electric vehicles (EVs).
Meanwhile, UAW is attempting to organize car factories in six southern states: Alabama, Georgia, Mississippi, South Carolina, Tennessee and Texas. Volkswagen workers in Chattanooga are currently voting on whether to join the union.
Six Republican governors have issued a joint statement warning residents against joining the UAW. They argue that companies have choices where to invest and bring jobs and that unionization could put those jobs in jeopardy.
The UAW has endorsed President Joe Biden's reelection bid, which some governors criticized as an attempt to support his campaign.
Ford's decision to build all of its big pickup trucks in the US comes after a successful strike last year. The company reached record contracts for 150,000 workers at General Motors, Ford and Chrysler-parent Stellantis. Top assembly plant workers in these companies will see about 33% raises by the time their contracts end in April of 2028.
The UAW is also making efforts to organize nonunion factories, including foreign automakers with US operations and electric vehicle makers like Tesla.