WASHINGTON (dpa-AFX) - The United Auto Workers or UAW has called for an unfair labor practice strike at a Michigan factory of Dauch Corp. (DCH), formerly American Axle that supplies pickup truck axle for General Motors Co. (GM), following failiure to reach a contract after weeks of negotiations.
In a statement, the union announced late Sunday that with American Axle failing to offer a fair contract before the expiration deadline, nearly 1,000 UAW Local 2093 members would walk out on strike in Dauch's plant in Three Rivers, Michigan on Monday midnight. The strike started Monday, June 1 at 12:01 A.M, with additional mass picket lines starting at 6:00 A.M.
The UAW has been demanding wage increases, after noting that workers at American Axle had accepted wage reduction and other sacrifices to save the facility from closure during the Great Recession in 2008. Eighteen years later, workers are still yet to make up all that lost ground, with wages at American Axle currently topping out at $22 an hour after a five-year progression, with inflation-adjusted wages cut in half from their pre-2008 levels, the union noted.
The union added that American Axle has generated $8.4 billion in profits in the last decade as a Tier 1 parts supplier to General Motors, with millions in payment to CEO and top executives, while UAW members working at the Three Rivers plant struggle to afford basic needs.
In early May, the employees had voted 98% in favor of authorizing a strike if needed.
Meanwhile, GM reportedly said it was closely monitoring the situation and assessing any ?potential impact.
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