Formal negotiations between AAM and the UAW were halted on Monday when the UAW sent its negotiators home, AAM has said.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The UAW’s decision to send its negotiators home extends the work stoppage implemented by the UAW-represented workforce at AAM’s five facilities in Michigan and New York.


Approximately 3,650 workers are represented by the UAW at these facilities.


Discussions are scheduled to continue Thursday, March 13, 2008.


AAM says that it continues to work under an uncompetitive OEM-style labour agreement with the UAW.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

AAM compalins that its ‘all-in labor costs’ at the original US locations covered by this agreement with the UAW are approximately 300 percent of the market rate of its competitors in the United States. AAM’s UAW-represented facilities currently affected by the work stoppage are not profitable and have not been for years, the company maintains.


The firm says it has proposed to make a significant financial commitment to fund retirement incentives, buy-outs and buy-downs to ‘help associates make the transition to a market competitive labor cost structure’.


“AAM remains totally committed to negotiating a fair and equitable agreement with the UAW,” said AAM Co-Founder, Chairman & CEO Richard E. Dauch in a statement.


“AAM and the UAW have a long history of working together in an open, thoughtful and direct manner to resolve labor and economic issues. The parties have made progress in many areas. AAM is prepared to resume formal negotiations with the UAW at any time to find solutions to the critical issues we jointly face.”


Meanwhile, UAW President Ron Gettelfinger has said there’s no movement toward settling a two-week strike at American Axle and Manufacturing Holdings Inc.


Gettelfinger said yesterday (Tuesday 11 March) on “The Paul W. Smith Show” on WJR-AM that talks have been a “one-way street,” with the Detroit-based auto supplier calling the shots.