Stellantis Sues UAW Local 186 Over Strike Authorization Dispute

Stellantis is preparing to take legal action against the United Auto Workers (UAW) Local 186, representing the Mopar Denver Parts Distribution Center (PDC) employees. This follows a recent strike authorization vote held by the Local, which Stellantis argues did not adhere to the established grievance procedures outlined in the 2023 UAW-Stellantis Collective Bargaining Agreement (CBA).

Grievance Process and Legal Justification – 

According to the CBA, the process for handling strikable grievances involves three distinct steps, each granting the company a specific timeframe to respond to grievances raised by the union. The UAW had previously informed its members about these steps during a Facebook Live session, emphasizing the importance of following the outlined procedure. However, it remains unclear whether the Local independently chose to bypass this education or if there were instructions from UAW International to disregard the process. Either way, Stellantis contends that the required steps were not followed.

In the Denver PDC case, UAW members voted on strike authorization before completing the third step of the grievance process. This action has prompted Stellantis to assert that any potential strike resulting from this vote would be illegal, as the necessary contractual requirements were not met.

Upcoming Lawsuits – 

The forthcoming lawsuit will be one of two that Stellantis plans to file against the UAW and various local unions. The automaker is contesting the UAW’s failure to honor its contractual obligations and claims that the union violated clear guidelines in Investment Letter 311, which grants the company discretion in business decisions. Stellantis also opposes the UAW’s call for a mid-contract strike based on unresolved grievances and seeks monetary damages through this litigation.

UAW’s Response and Broader Implications – 

This legal challenge follows another significant development at the Mopar Los Angeles Parts Distribution Center, where a strike authorization vote resulted in a “yes” from union members. Following this vote, Stellantis filed a lawsuit against UAW Local 230 on October 3. The company subsequently filed eight additional lawsuits against the UAW and 23 local unions on October 4, indicating a firm stance against what it views as violations of the CBA.

In response to these developments, the UAW proposed reinstating a program known as the Jobs Bank, which had previously been a controversial issue during the automaker’s bankruptcy in 2009. This situation highlights ongoing tensions between Stellantis and the UAW as both parties navigate the complexities of labor relations and contractual agreements in the automotive industry.