The UAW's deals with Detroit's automakers have put pressure on non-union companies to raise pay to retain workers.
, and while the two sides haven’t officially voted on the deals, they’re already impacting the rest of the auto industry. The pay raises and other benefits doled out by American companies have put pressure on the non-unionized automakers, leading, “We value our employees and their contributions, and we show it by offering robust compensation packages that we continually review to ensure that we remain competitive within the automotive industry.
Toyota’s factories aren’t unionized, but UAW president Shawn Fain aims to change that. He’s repeatedly hinted at wanting to draw in non-union auto workers, saying earlier this year,"Non-union auto workers are not the enemy. Those are our future union family. We’re going to organize non-union autoworkers everywhere. Together, we’re going to stand up and take on corporate greed.” had been on the decline for decades, but these recent negotiations have given it a significant boost.
UAW officials also got a five-year deal, longer than most in recent history. As Axios reported, that will give the union a longer runway to attract workers from other automakers, including, Toyota and perhaps even the Korean automakers. Either way, Toyota’s pay raises are likely just the start, and they will add to the pressure created by the union’s deals.
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