By Bianca Flowers and Lisa Baertlein
Oct 30 (Reuters) - The tentative agreement reached between the United Auto Workers and two of the Detroit Three automakers marks another victory for labor unions that have turned up the pressure on big corporations to put better deals on the table.
Unions have taken an aggressive approach to campaigning with a series of high-profile battles across the industrial, auto, entertainment and healthcare industries. Experts say gains won by unions could spur more organizing and motivate non-unionized companies to try to stave off those efforts.
The UAW's talks, replete with weekly addresses by union President Shawn Fain, were among the most unabashed. The union has come to tentative agreements with Ford Motor and Chrysler parent Stellantis; talks with General Motors are still ongoing.
"This is a set of negotiations, historically, where gains made in Detroit would be viewed and adapted by many other industries across the economy," said Harley Shaiken, labor professor at the University of California, Berkley.
Union worker compensation has finally caught up to non-union wage increases dating from the COVID-19 pandemic, according to U.S. federal data, as the labor market has remained tight with unemployment at just 3.8%.
The tentative Ford and Stellantis deals will amount to total pay hikes of more than 33% when compounding and cost-of-living increases are factored in. The agreements may be a selling point for non-union shops to push for unionization, said San Francisco State University labor and employment professor John Logan. Nissan and other competitors may feel compelled to boost wages to retain their workforce.
"The Big Three would want the UAW to organize Tesla," he added.
Public support for unions has helped engagement in traditionally unionized industries such as manufacturing and healthcare. A Reuters poll showed the majority of Americans stand behind striking workers.
Employee-led unionization efforts at retailers, such as Amazon and Starbucks, have reflected a consensus among workers who see unions as a means to secure better wages and working conditions.
Organization has been difficult in recent years. About 11.3% of workers were represented by unions last year compared with 23.6% in 1982, according to data analyzed by the Economic Policy Institute.
RIPPLE EFFECT
The UAW contracts are among many deals reached this year, along with agreements at UPS and construction equipment maker Caterpillar. Workers at other companies, like Mack Truck and equipment makers CNH Industrial and Deere & Co have all rebuffed initial deals despite raises that in some contracts appeared significant.