UAW Contract Talks With GM Could Have a Major Impact on Corvette Production

With the UAW playing hardball in current negotiations, a strike seems like a real possibility, and it would cause problems with Corvette production.

Though things got off to a rough start thanks to staggering demand and various supply chain constraints, C8 Corvette production has finally begun to ramp up to the point where it’s largely meeting demand, which has thankfully caused prices to fall back to earth following an extended period of time when they were quite high. However, while the chip shortage and other problems seem to finally (mostly) be in our proverbial rear-view mirror, yet another looming issue seems poised to have a major impact on Corvette production in the coming months – a potential strike by United Auto Workers (UAW) union employees.

The Detroit Big 3 automakers – GM included – are currently engaged in talks with the UAW as its current contract with the union is set to expire next month, which is a normal process that happens every few years – in fact, the launch of the C8 was impacted by previous talks in 2019. However, there are a number of reasons why this latest round of discussions is different – starting with the fact that they’re being spearheaded by new UAW president Shawn Fain, who has promised and thus far delivered on the promise of making life tough on automakers.

“We will not stand for the continued lack of respect for our jobs and our future,” Fain said of these negotiations. “How this round of bargaining goes will hinge on whether this company is going to treat workers with the dignity that is long overdue. I want to be clear; we do not expect the traditional path of opening bargaining, and then spending a month and a half talking our demands to death. September 14th is a deadline, not a reference point, so it is in the best interest for this corporation to get down to business with our bargaining committee and get to work resolving the demands of the membership. This is the most critical set of bargaining in this company and our workers’ history. It’s time to get to work. We have 58 days, and the clock is ticking,”

In addition to these strong words, Fain has made it quite clear that a strike is in the cards if automakers are unwilling to meet the UAW’s demands, which currently center around improving working conditions, nixing the current tiered wage system, and bringing back cost-of-living adjustments that were eliminated during the recession of 2008-2009.

As for the Bowling Green Plant – where the Corvette is built – UAW Local 2164 president Bryan Ferrett recently told WKU that working conditions for the facility’s 1,000 employees aren’t necessarily the worst, however. “Not that they’re bad or anything, but we’re always looking to achieve better safety practices and conditions at the plant,” he said. “It’s just an old building. I’d like to see it upgraded or a new facility be built here in Bowling Green.”

Meanwhile, Ford CEO Jim Farley recently defended the wages that the automaker provides its own UAW represented workers via an op-ed published by the Detroit Free Press, but GM seems a bit more willing to meet the union’s demands. The automaker reportedly remains open to the idea of a pay raise for its UAW workers, but isn’t quite as enthusiastic about cost-of-living adjustment benefits, however, according to a separate report from Freep.

Thus, with a strike seeming like a real possibility, one big question looms – how would such an action impact Corvette production? Bowling Green avoided a strike just last year, while a short strike occurred back in 2007 that lasted just a few days, and as such, didn’t have a major impact on production or deliveries. However, given the fact that GM is still selling every C8 is can build at the moment, a strike this time around could have a far greater impact on consumers.

According to CorvetteBlogger, through mid-June of this year, GM had built a grand total of 43,224 Corvettes for the 2023 model year. Since the 23MY began in mid-May, 2022, that’s roughly 3,325 Corvettes per month or 831 Corvettes per week. Thus, even if Bowling Green shuts down for a few days or a week, it could cause a relatively decent bottleneck in this process.

Unlike in years past, the C8 is still in high demand with little inventory sitting on dealer lots, even as it prepares to enter its fifth year of production. Thus, those that have ordered a new Corvette or are perhaps thinking of doing so – particularly if it’s a though-to-obtain model like the Z06 or E-Ray – should certainly hope that the UAW and GM can come to an agreement in the next few weeks.

Photos: General Motors

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CORRECTION: This article incorrectly conflated 2023 model-year Corvette production figures with the 2023 calendar year, which led to some bad math. This has been revised to reflect the 23MY start date of May 16, 2022.