General Motors (GM) and Ford have announced additional layoffs related to the ongoing United Auto Workers (UAW) strike, affecting as many as 500 workers spread across four different plants.
On Monday, Ford said that it would furlough 330 workers across a stamping plant in Chicago and an engine plant in Lima, Ohio, according to a report from Reuters. Additionally, GM is furloughing 130 employees at a metal center in Parma, Ohio, along with 34 others at a metal center in Marion, Indiana
The layoffs are reportedly indefinite, and they come after the UAW escalated walkouts against both Ford and GM on Friday, bypassing Stellantis as the strikes entered their third week. The second wave of additional walkouts targeted GM’s Delta Township assembly plant in Lansing, Michigan, along with a Ford assembly plant in Chicago. Stellantis avoided additional walkouts after making last-minute concessions with the UAW.
The prior Friday, the UAW ordered workers to walk out of 18 GM and 20 Stellantis parts distribution centers after the strikes originally began on September 15 following the expiration of previous union contracts.
The news also comes nearly two weeks after GM shut down its Fairfax, Kansas plant and laid off 2,000 workers without unemployment, citing a lack of available work. Ford also announced temporary layoffs of around 600 workers at a Michigan plant last month, while Stellantis furloughed around 370 employees at plants in Ohio and Indiana.
Ford CEO Jim Farley and GM CEO Mary Barra blasted the UAW for the strikes on Friday, criticizing union President Shawn Fain for not accepting current contract offers on the table.
The UAW said that it was hosting bargaining sessions with GM and Ford on Monday, along with reaching a new labor deal with Volvo-owned Mack Trucks before previous contracts expired on Sunday night. Still, the union noted that the contracts needed to be ratified yet, though they included significant wage increases.
This is the first time the UAW has lodged simultaneous strikes against all three of Michigan’s “Big Three” automakers.
JPMorgan estimated in a research note on Monday that the strike has so far cost Ford $145 million and GM $191 million, though he noted that the automakers were getting “close on pay and benefits.” Anderson Economic Group estimates total losses from the first two weeks of the strike to be $3.9 billion, comprised of about $1.12 billion in losses for Ford, GM and Stellantis, $1.29 billion in losses for suppliers and $1.2 billion in losses for dealers and customers.
What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
News
Tesla accuses IG Metall member of secretly recording Giga Berlin meeting
The union has denied the electric vehicle maker’s allegations.
Police seized the computer of an IG Metall member at Tesla Giga Berlin on Tuesday amid allegations that a works council meeting was secretly recorded.
The union has denied the electric vehicle maker’s allegations.
In a post on X, Gigafactory Berlin plant manager André Thierig stated that an external union representative from IG Metall attended a works council meeting and allegedly recorded the session. Thierig described the event as “truly beyond words.”
“What has happened today at Giga Berlin is truly beyond words! An external union representative from IG Metall attended a works council meeting. For unknown reasons he recorded the internal meeting and was caught in action! We obviously called police and filed a criminal complaint!” Thierig wrote in his post on X.
Police later confirmed to local news outlet rbb24 that officers did seize a computer belonging to an IG Metall member at the Giga Berlin site on Tuesday afternoon. Tesla stated that employees had contacted authorities after discovering the alleged recording.
IG Metall denied Tesla’s accusations, arguing that its representative did not record the meeting. The union alleged that Tesla’s claim was simply a tactic ahead of upcoming works council elections.
The next works council election at Giga Berlin is scheduled for March 2 to 4, 2026. The facility’s management had confirmed the dates to local news outlets. The official announcement marks the start of the election process and campaign period.
Approximately 11,000 employees are eligible to participate in the vote.
The previous works council election at the plant took place in 2024, and it was triggered by a notable increase in workforce size. Under German labor law, regular works council elections must be held every four years between March 1 and May 31.
Elon Musk
Elon Musk’s xAI plants flag in Bellevue AI hotspot
The lease places xAI’s new office in one of the region’s fastest-growing tech hubs.
Elon Musk’s artificial intelligence company xAI has leased a full floor at Lincoln Square South in downtown Bellevue, WA, as per city permit filings.
The lease places xAI’s new office in one of the region’s fastest-growing tech hubs.
Public records indicate that xAI leased roughly 24,800 square feet in Lincoln Square South. The location was previously occupied by video game company Epic Games. Lincoln Square South is part of the Bellevue Collection, which is owned by Kemper Development Co.
The lease was first referenced in January by commercial real estate firm Broderick Group, which noted that an unnamed tenant had secured the space, as stated in a report from the Puget Sound Business Journal. Later filings identified xAI as the occupant for the space.
xAI has not publicly commented on the lease.
xAI hinted at plans to open an office in the Seattle area back in September, when the startup posted job openings with salaries ranging from $180,000 to $440,000. At the time, the company had narrowed its location search to cities on the Eastside but had not finalized a lease.
xAI’s Bellevue expansion comes as Musk continues consolidating his businesses. Last week, SpaceX acquired xAI in a deal that valued the artificial intelligence startup at $250 billion. SpaceX itself is now valued at roughly $1.25 trillion and is expected to pursue an initial public offering (IPO) later this year.
Musk already has a significant presence in the region through SpaceX, which employs about 2,000 workers locally. That initiative, however, is focused largely on Starlink satellite development.
Bellevue has increasingly become a center for artificial intelligence companies. OpenAI has expanded its local office footprint to nearly 300,000 square feet. Data infrastructure firms such as Crusoe and CoreWeave have also established offices downtown.
Elon Musk
SpaceX blocks unauthorized Starlink terminals used by Russian troops
Ukrainian officials confirmed that Starlink terminals believed to be used by Russian troops were disabled after coordination with SpaceX.
SpaceX has taken steps to block unauthorized use of its Starlink satellite internet network, a move Ukrainian officials stated is already disrupting Russian military communications.
Russian units lose a key communications tool
As per a report from The Guardian, Ukrainian defense officials have confirmed that Starlink terminals believed to be used by Russian troops were recently disabled after coordination with SpaceX. The move reportedly affected frontline communications and drone operations, especially in areas where traditional military radios are unreliable or easily jammed.
For months, Russian units had relied on large numbers of illicitly obtained Starlink terminals to stay connected along the front. The satellite internet service allowed faster coordination and more precise drone use for Russian forces.
Several Russian military bloggers close to frontline units have acknowledged the impact of the Starlink shutdown, with some describing sudden connectivity problems in the satellite internet service.
Russia lacks comparable replacement
Russia does not have a satellite internet system that matches Starlink’s speed, coverage, and ease of deployment. Alternatives such as fiber-optic lines, short-range wireless links, and digital radio systems take longer to install and work inadequately for fast-moving units.
Russia does operate limited satellite communications through state-linked providers, but those systems rely mainly on geostationary satellites, which are notably slower. Coverage is uneven, and data capacity is far lower than Starlink’s low-Earth-orbit network.
For now, Ukraine has stated that it has introduced a verification system that allows only approved Starlink terminals to connect. Devices believed to be linked to Russian forces are blocked from the network. That being said, Ukrainian officials have also claimed Russian units are trying to work around the restrictions by asking civilians to register Starlink terminals in their names.