UAW Strike Deal Includes Major Investments In Chicagoland

Workers within the Belvidere factory via Fiat Chrysler Automobiles

New details have been revealed for major investments on Chicagoland auto plants as part of a deal with United Auto Workers. The two largest winners are the Stellantis Belvidere factory at 3000 W Chrysler Drive, and the Ford factory at 12600 S Torrence Avenue in Hegewisch. The announcement comes as part of the recently announced contract between the UAW and the three major automakers of GM, Stellantis, and Ford.

Historical image of Model T assembly at Ford Torrence factory via Industrial History

The Detroit-based UAW has been around since the 1930s and represents over 140,000 workers across the US and Canada. These workers are responsible for nearly 50 percent of the nation’s domestic vehicle production, with roughly one third of them joining on strike. The strike marks the first to include all three major Detroit automakers, as Netherlands-based Stellantis owns Chrysler and Jeep among others.

Stellantis Belvidere factory via Assembly Magazine

Stellantis originally idled its Belvidere factory which produced Jeeps in February, costing the jobs of 1,200 people and rippling across the city. The deal includes the reopening of said plant to produce electric vehicles including trucks, and grow the facility to 3,000 jobs. This will be achieved with a new battery production factory on 250 acres of land the state coordinated together, part of a larger incentive package similar to Gotion’s for its Kankakee plant.

Overall view of Stellantis factory via Google Maps

Overall view of Ford factory via Google Maps

Within the city boundaries, Ford announced it will invest $400 million on its Torrence Avenue factory. While the scope of the work was not mentioned, the automaker committed to continue to make the current line-up of vehicles there as well as incorporate the Lincoln Aviator. This factory employs over 6,000 people, with an additional 1,200 workers at its Chicago Heights stamping plant. This facility will also receive $30 million in investments as part of a greater deal.

View of Ford factory by Stephen J. Serio for Crain’s

The contract brings major changes to the union’s 2019 contract and will last the next 4.5 years until 2028. It includes further changes like a 25 percent pay increase over the contract length, a 70 percent increase in starting wages, reinstates cost-of-living adjustments, increased benefits, protected the right to strike over plant closures, and reduced how long it takes to reach top wages. The union will now vote on the terms over the next few days before it is finalized.

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5 Comments on "UAW Strike Deal Includes Major Investments In Chicagoland"

  1. Great article… Thanks for sharing this YIMBY!

  2. This is a major win for Illinois. I was originally skeptical of what seemed like excessive demands by the UAW. I stand corrected.

  3. “This is a major win for Illinois. I was originally skeptical of what seemed like excessive demands by the UAW. I stand corrected”

    Oh don’t worry the coming recession will result in mass layoffs and closures. This was all a big show.

  4. Worth noting: the plant has its own Wikipedia article, which reveals that it’s Ford’s oldest continuously operating plant. Next year will be its centennial! Pretty cool.

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