The United Auto Workers (UAW) union has initiated legal action against Honda Motor Co Ltd (NYSE: HMC), Hyundai Motor Company (OTC: HYMTF), and Volkswagen AG (OTC: VWAGY), accusing the automakers of conducting anti-union campaigns aimed at deterring workers from organizing in their U.S. plants.
Workers organizing with the UAW at Honda in Indiana, Hyundai in Alabama, and Volkswagen in Tennessee, have filed charges against management for illegally union-busting as workers organize to join the UAW.
The UAW's charges include Honda's alleged instruction to workers in Indiana to remove union stickers, Hyundai's reported employee polling on union support and material confiscation in Alabama, and Volkswagen's supposed employee coercion in Tennessee.
"These companies are breaking the law in an attempt to get autoworkers to sit down and shut up instead of fighting for their fair share," said UAW President Shawn Fain.
Fain emphasized in a video address the difficulties faced in organizing at companies that have long resisted union efforts. The UAW is seeking substantial workforce support of around 70% at each plant before proceeding with an organizing vote, reported Reuters.
The UAW claims substantial support at Volkswagen's Chattanooga plant, with over 1,000 workers signing union authorization cards in less than a week, and hundreds more continue to sign up.
Honda responded by stating its commitment to not interfering with employees' rights, while Hyundai asserted its Alabama employees are free to join a union, according to the report. Volkswagen has reportedly pledged to investigate these claims.
This move is part of a larger UAW initiative to organize the nonunion auto sector across the U.S., following successful contracts with Detroit's Big Three automakers.
Price Action: HMC shares closed higher by 1.21% at $30.85 on Monday.