UAW strike deadline: What to know 2 days ahead of Big Three contract expiration

Will UAW, Big 3 reach compromise before strike deadline?

With two days left before UAW members will strike, the Big Three and the union continue negotiating in hopes of reaching a deal and avoiding the picket line. So far, the automakers' offers have fallen short. Will they reach an agreement before the deadline?

DETROIT (FOX 2) - With the deadline for the United Auto Workers and Big Three to reach a deal just days away, negotiations continue under the threat of a strike.

If an agreement isn't reached by 11:59 p.m. Sept. 14, the union plans to strike.

So far, the UAW has rejected offers from Ford, Stellantis, and General Motors, though Stellantis did say Monday that progress was made over the weekend.

UAW President Shawn Fain said the automaker still isn't offering enough on the economic side.

"Things are moving, but they’re moving very slow," he said.

Here's what to know in the final days of negotiations before a potential strike:

Union demands:

The union is asking for a 46% pay raise, a 32-hour work week with 40 hours of pay, the tier system removed, and restoration of traditional pensions for new hires, among other demands. See what they want here.

The UAW may be budging on its initial demands, though, according to the Wall Street Journal. The paper reports that the union is reducing its raise percentage request from in the 40-range to the mid-30s.

How proposals compare to what the union wants:

Stellantis previously went up to 14.5% in a proposed deal, Ford offered up a 15% combined increase, and GM proposed a 10% increase with inflation bonuses mixed in.

Wage Increases

Among the biggest gaps between the two parties is on wages. The UAW has proposed double-digit pay raises, while the Big Three have offered between 10% and 15% wage increases. General Motors offered 10%, Stellantis, offered 14.5%, while Ford proposed a 9% wage increase and a 6% lump sum added after.

Fain referred to the proposals as "shameful and insulting" and "deeply inadequate."

Holidays

The UAW proposed more paid time off and holidays. Ford counter offered with two weeks of paid parental leave, while GM and Stellantis offered Juneteenth as a paid holiday.

Cost-of-living-adjustments

Ford offered some protection from inflation for wages, which the UAW called deficient. GM and Stellantis offered lump sum payouts instead of adjustments.

Temp workers

The UAW called for a policy that would help temporary workers gain full-worker status after 90 days. The three automakers offered wage increases for the employees, but little else. Under their current contract, temp workers at Ford are eligible for health care when they start.

Strike impacts:

Experts say a strike would negatively impact supply chains and would likely drive the cost of vehicles up.

"A UAW strike against the domestic auto manufacturers will have far and away a disproportionately negative impact on Michigan and that’s because Michigan has more automotive production than any other state in the union," said Sandy Baruah, the president of the Detroit Regional Chamber.

Baruah cited a fiscal report that said even 10 days of striking against Ford, GM, and Stellantis would have a massive impact on the economy: about $5 billion.

"Each auto industry job creates about eight additional jobs, so there are a lot of jobs here that may be impacted by a strike," said Tyson Jominy, the vice president of data and analytics for J.D. Power.

Statewide, it could have a harsh financial impact on all of Michigan.

"An auto strike would certainly have, could have an impact on the state's revenues," said Chris Harkins, the state budget director.

As a result, the state sales tax would take a hit too, and it's anybody's guess how much money could be lost.

While on strike, union members will get some pay while on strike and are eligible for some benefits.

Here's what union members should expect.