Looming UAW strike could cost US economy more than $5B in just 10 days

foxbusiness.com:

Tens of thousands of film businesses serve the film industry across the country, and many companies beyond Hollywood are struggling.

If the United Auto Workers decides to strike against the «Big Three» Detroit automakers when the current contract expires next month, it could cost the U.S. economy more than $5 billion, according to a new analysis from the Anderson Economic Group, a Michigan-based think tank that specializes in the economic impact of labor strikes. The report estimates that economic losses from a ten-day work stoppage could cost about $5.6 billion.

«Even a short strike would impact economies throughout Michigan and across the nation,» said Patrick Anderson, CEO of the Anderson Economic Group.

Stellantis workers attend a «members' handshake» event with United Auto Workers president Shawn Fain to mark the beginning of the UAW's contract talks with Stellantis at the Sterling Heights Assembly Plant on July 12, 2023 in Sterling Heights, Michig ((Photo by Bill Pugliano/Getty Images) / Getty Images)

That figure includes manufacturer losses of $989 million and lost direct wages of $859 million. It does not take into consideration strike pay, unemployment benefits, unemployment taxes, income taxes, government spending or settlement bonuses. 

Negotiations between UPS and the Teamsters union stalled last week as the two sides remain at odds over the terms of a new contract, raising the odds of a strike at the beginning of August.  

UPS OFFERS TEAMSTERS ‘SIGNIFICANT’ PAY BOOST AS UNION'S STRIKE THREAT LOOMS

The union's current contract with General Motors, Ford and Stellantis – the maker of Chrysler and Jeep – expires on September 14. About 146,000 UAW workers are set to vote next week on whether to authorize a