Mercedes Workers Reject UAW, Delivering Blow to Union Momentum

Mercedes Workers Reject UAW, Delivering Blow to Union Momentum

Mercedes-Benz workers in Alabama have voted against joining the United Auto Workers (UAW), marking a significant setback for the union’s growing momentum. The vote count was 2,642 against the union and 2,045 in favor.

This outcome contrasts sharply with the UAW’s recent string of victories, including historic strikes against the Big Three automakers last fall and a resounding victory at a Volkswagen plant in Tennessee just last month.

UAW

High Hopes Dashed in Alabama

More than 5,000 workers at the Mercedes plant in Tuscaloosa build luxury SUVs. For decades, pro-union workers struggled to garner enough support for a union election. This latest attempt, launched last fall in the wake of the UAW’s successful Big Three strikes, represented their best chance yet.

The union’s loss brings relief to Alabama’s political leadership, who had actively campaigned against the UAW. Governor Kay Ivey celebrated the result, stating, “Alabama is not Michigan, and we are not the Sweet Home to the UAW.”

UAW Cries Foul, Citing Intimidation

The UAW, however, is not accepting defeat quietly. The union has filed unfair labor practice charges against Mercedes, alleging the company intimidated workers in the lead-up to the election.

These charges could force Mercedes to the bargaining table even without a successful union vote. Last year, the National Labor Relations Board adopted a new standard that allows for such an outcome if a company illegally interferes in a union election.

Adding to the pressure, the UAW has also filed charges against Mercedes in Germany under a new law designed to hold companies accountable for human rights violations within their global supply chains.

UAW President Shawn Fain expressed his frustration with the company’s tactics, stating, “This company engaged in egregious, illegal behavior. The federal government and the German government are currently investigating Mercedes for the intimidation and harassment that they inflicted on their own workers, and we intend to follow that process through.”

Mercedes Workers Energized by Big Three Wins

The union campaign at the Mercedes plant gained traction after autoworkers at Ford, General Motors, and Stellantis (formerly Chrysler) secured record contracts following a six-week strike. Impressed by the UAW’s aggressive negotiating tactics, Mercedes workers began signing union authorization cards in large numbers, reaching what the UAW called a “supermajority” by early April.

The desire for higher wages, lower healthcare costs, and more predictable schedules motivated the workers. The fact that Big Three autoworkers pay no healthcare premiums, thanks to their UAW contract, particularly drew them.

Mercedes Mounts Anti-Union Campaign

Despite the initial enthusiasm, Mercedes actively worked to dissuade workers from voting for the union. This stands in stark contrast to Volkswagen, which remained largely neutral during the union election at its Tennessee plant.

Mercedes employed a variety of tactics, including mandatory meetings where workers were shown videos highlighting the perceived downsides of unions. Two weeks before the election, the company announced a change in CEO for its Alabama operations and urged workers to give the new leadership a chance.

As the election neared, workers reported receiving text messages and being pulled into small-group meetings with lawyers from an outside consulting firm. These meetings, according to some workers, carried a clear message: “Vote no, vote no, vote no.”

Political Pressure Mounts

Adding to the tense atmosphere, Alabama politicians, including Gov. Ivey and House Speaker Nathaniel Ledbetter, adopted a combative stance, portraying the UAW as an outside force intent on undermining Alabama’s economic success. The state’s Commerce Secretary Ellen McNair went so far as to suggest that a UAW contract could lead to layoffs at the Mercedes plant.

However, a new study from the Center for Automotive Research in Michigan casts doubt on this claim. Researchers point to the Alabama plant’s strategic importance as the sole producer of a specific type of luxury SUV for Mercedes, a vehicle sold globally. They conclude that “any plant closure or relocation options for this plant seem remote given current circumstances and market conditions.”

What’s Next for the UAW?

With the Mercedes vote behind them, the UAW’s next steps are uncertain. The union claims that at least 30% of workers at a Hyundai plant in Montgomery, Alabama, and a Toyota plant in Troy, Missouri, have signed union cards, enough to petition for a union election. However, the UAW has indicated a preference for securing a clear majority of support before proceeding with an election.

Speaking in Alabama, UAW President Fain framed the ongoing organizing efforts as a “David versus Goliath fight.” It remains to be seen if the UAW can regain its momentum and secure further victories in the South.

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