The Democratic Party is aiming to increase union membership in the auto industry, but Joe Biden says doing so will increase consumer prices and worsen workers' wages, while at the same time increasing the use of electric vehicles (EVs). It could thwart the president's dreams, experts told the Daily Caller News Foundation.

In early January, a group of 33 Senate Democrats sent a letter to top unorganized automakers operating in the United States, alleging that many companies have taken illegal actions to prevent unionization. , hinted that EV subsidies could be stripped if automakers did not commit to unionizing. neutrality pact, according to From a press release from Democratic Michigan State Senator Gary Peters. The Democrats' letter removes incentives from automakers to shift production to electric vehicles in order to reap the benefits of better unionization, and reduces labor costs for companies and consumers, according to experts they spoke to. It is said that this could lead to an increase in the amount of carbon dioxide, threatening to overturn the president's environmental policy. To DCNF. (Related: Biden administration's latest labor rules poised to upend key sectors of the economy)

“Americans and auto workers are being pushed into electric vehicles, which are more expensive, less convenient, don't work in cold weather as we've seen in recent days, and are forced to rely on China. ” Diana Furchtgott-Roth, director of the Heritage Foundation's Center for Energy, Climate and Environment, told DCNF. “So these Democratic senators and Congress are acting against the interests of American workers in two ways. First, they want to take advantage of more expensive transportation options. And secondly, they want to take some of their paychecks away.”

The United Auto Workers union (UAW) announced new negotiations with the Big Three automakers Ford, General Motors and Stellantis in November after a nearly six-week strike that cost the automakers billions of dollars. Approved the trade union agreement. Under the agreement, Big Three union members will receive a 25% wage increase over the course of their nearly five-year contract, as well as benefits such as cost-of-living adjustments and the elimination of wage tiers. Jobs will be protected as companies shift production to electric vehicles.

“UAW leadership has publicly supported EV promotion despite the expected impact on member states,” Sean Higgins, a labor policy expert at the Institute for Competitive Enterprise, told DCNF. Ta. “UAW President Sean Fein said the green economy is here and we must embrace it.'' In the long run, this may be bad for union members (EVs require fewer workers than traditional vehicles), but unions are trying to leverage concessions from manufacturers. They're not great at thinking long-term.”

Ah, 'a swarm of dead robots': EV charging stations suffer 'disaster' as Chicago freezes in subzero temperatures https://t.co/vqhFROBdxJ

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After the new agreement, the Big Three's labor costs are estimated to jump to about $90 an hour per employee, compared to other companies such as Tesla, which at the time operated with a non-unionized workforce in the United States. of automakers. Hourly wages per worker range from $45 to $55. In response to UAW interests, some non-union automakers, including Tesla, have decided to raise wages for their employees in order to quell any desire to unionize in the wake of the union agreement. according to To the Associated Press.

“If unions aren't raising labor costs for companies, then they're not doing their job,” Higgins told DCNF. “Increased wages, increased benefits, improved safety standards, etc. all raise labor costs, and that cost ultimately goes to consumers because they are the ones who ultimately pay for a company's products. It will be transferred.”

The UAW has increasingly targeted non-union automakers since its contract win with the Big Three, including U.S. companies such as Lucid, Rivian and Tesla, as well as a number of companies operating in the country. It is turning its attention to foreign automakers. according to Go to CBS News. UAW President Sean Fein called on all labor unions in the United States to negotiate for their contracts to end on April 30, 2028, allowing for the possibility of a mass strike the next day. according to On CNN.

“EVs require fewer workers to manufacture,” Higgins told DCNF, noting that increasing union membership in the auto industry as a result of the transition to EVs is unlikely. “That's just a fact. But it may not be as important to the UAW as you think. Believe it or not, out of the UAW's approximately 400,000 members, only a small percentage of the Detroit automakers actually Only about 150,000 people work in the United States. Unions are expanding into other sectors, such as education, and those sectors are growing…so if there are fewer autoworkers, there will be fewer workers. It will hurt the union, but it will not destroy the union.”

Biden has also made the transition from traditional internal combustion engines to electric vehicles a key part of his broader green agenda, setting a goal for half of new car sales to be electric by 2030. However, if subsidies are cut off or EVs become popular, this plan could stall. In response to companies not being friendly towards labor unions, the priority of labor unions is lowered. One of the Biden administration's policies to encourage this change is the creation of a $7,500 tax credit for electric vehicles as part of the Anti-Inflation Act passed in 2022, which will lower prices and help the average American It aims to expand affordability for people.

“these [senators] They're not serious, and they can't be serious here,” Fruchtgott-Roth told DCNF. “They say that because the unions are giving them campaign funds. They work on behalf of greedy union bosses who want more money for their workers, T-shirts for big paychecks, and accumulated pensions.”

The White House and UAW did not immediately respond to requests for comment from DCNF.

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