As the UAW strike enters its fifth day, the Biden administration is hobbled by any lack of legal authority to steer the talks and struggling to figure out UAW President Shawn Fain's negotiating strategy or getting a clear read on his leadership style, three sources said.
, the sources said, as U.S. officials acknowledge they have a limited role to play in talks between General Motors, Ford and Chrysler-owner Stellantis and the union.
The White House and the administration have discussed "mitigation efforts" in the event of a full work stoppage, not in response to the actions taken by the union currently, two sources said. "Nobody has a read on Fain," said Art Wheaton, director of labor studies at Cornell University's School of Industrial & Labor Relations. "He's not just a stranger to the Biden administration but was a stranger to the all of the big three," he said, referring to the automakers.Fain, whose union has yet to endorse any presidential candidate for 2024, has also rejected Republican Donald Trump's entreaties.
The White House believes the biggest 'Tier-1' suppliers will still be able to weather the storm, but smaller companies on the supply chain will struggle if the strike lasts more than six to eight weeks, one of the sources said.- even risking the first monthly net drop in payroll employment in nearly three years - but is unlikely on its own to trigger a recession, economists say.
Among the concerns discussed were job losses and layoffs, drop in personal income, lower tax revenue for the state, demand for electric vehicles and how wage gains must keep pace with inflation, the sources said.
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