US auto workers union expands strike to 38 locations in 20 states

The US auto workers union has expanded a potentially economically and politically damaging strike against two of Detroit's "Big Three" - and invited President Joe Biden to support workers on the picket line.

UAW President Shawn Fain announced on Friday a strike of all 38 US parts and distribution centres at General Motors and Stellantis, where negotiations are stalled.

Fain did not expand the stoppage at Ford, where there are still significant gaps, but has offered important concessions since the strike was launched a week ago.

"As we have said for weeks, we're not going to wait around forever for fair contracts at the Big Three," Fain said in a briefing.

"We invite and encourage anyone who supports our cause to join us on the picket line, from friends and family all the way up to the president of the United States," Fain said.

"The way you can help is to build our movement and show the companies that the public stands with us."

Fain said Ford had improved earlier proposals by reinstating a cost-of-living measure that had been suspended in 2009. Ford also offered an enhanced profit-sharing system and granting the union the right to strike over plant closures.

"We're not done at Ford," Fain said. However, "we do recognise that Ford is serious about reaching a deal," he said. "At GM and Stellantis, it's a different story."

40% wage hikes, equal pay, and more

The UAW is seeking 40 percent wage hikes that would match the average increases by CEOs over the last four years.

Other key demands include the elimination of different worker pay and benefit "tiers," a cost-of-living adjustment, and the re-establishment of retiree medical benefits and a pension for junior employees.

The one-week-old strike has so far had a limited effect on company profits while introducing new pressures on auto parts suppliers to the Big Three. However, the expanded strike will pose new challenges for Stellantis and GM.

Analysts consider the worst-case economic scenario to be a lengthy strike that pinches consumption from workers who are taking home $500 in weekly strike pay instead of their normal wages.