The United Auto Workers (UAW) union said on Monday that it filed federal unfair labor practice charges at the National Labor Relations Board (NLRB) against Stellantis NV (NYSE: STLA) for alleged violation of the labor contract entered into last year.
What Happened: The union alleges that it is illegal for the automaker to refuse to provide information about the company's plans regarding product commitments it made last year.
Several local chapters of the union have also filed contract grievances over the company's alleged attempts to move the production of the Dodge Durango out of the United States, the union said while adding that over a dozen local unions have also filed grievances against the company's attempt to not open the Belvidere Assembly plant.
"In our 2023 contract, we won major gains, including a commitment to reopen an idled assembly plant in Belvidere, Illinois, and to build the Dodge Durango in Detroit. We also won the right to strike over those commitments, if we have to," said UAW President Shawn Fain.
"Now, Stellantis wants to go back on the deal. As a united UAW, we intend to enforce our contract, and to make Stellantis keep the promise."
Why It Matters: UAW won the 2023 contract after a multi-week simultaneous strike against Stellantis, Ford Motor Co (NYSE: F), and General Motors (NYSE: GM) last year. The contract included a 25% pay hike and better retirement benefits, amongst other provisions.
Stellantis did not immediately respond to Benzinga's request for comment.