A Raise for Auto Workers May Imperil Biden’s Electric Vehicle Ambitions

Published

2 years ago

October 4, 2023

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On September 25, Joe Biden made history as the first sitting president to walk a picket line when he joined striking members of the United Auto Workers (UAW) in Van Buren Township, Michigan.

Standing with UAW President Shawn Fain, Biden told the strikers through a bullhorn, “You deserve the significant raise you need and other benefits.” But a big raise for the UAW could very well come at the expense of one of Biden’s core campaign promises.

The strike began on September 15 when talks broke down between the UAW and the Big Three automakers (Ford, General Motors, and Stellantis). Among its demands, the union wants a 36-percent raise over four years, a 32-hour work week, and the reinstatement of pension and cost-of-living benefits that it gave up during the 2008 recession.

It also seeks protections as the industry transitions to a greater focus on electric vehicles (E.V.s), a central priority of Biden’s presidency. This year the Environmental Protection Administration adopted rules that would require 67 percent of all new vehicles sold in the U.S. by 2032 to be electric. “The UAW supports and is ready for the transition to a clean auto industry,” Fain noted in August. “But the EV transition must be a just transition that ensures auto workers have a place in the new economy.” Tied to that transition, the UAW’s demands include the right to strike over plant closures and additional job protections in the event that plants shut down.

Autoworkers are right to be worried: According to a 2019 report by the Congressional Research Service (CRS), traditional vehicles “have as many as 2,000 components in their powertrains,” and “of the nearly 590,000 U.S. employees engaged in motor vehicle parts manufacturing, about one-quarternearly 150,000make components for internal combustion powertrains.”

On the other hand, “an electric vehicle powertrain has only a few” components. “For example, Tesla has said its drivetrain has 17 moving parts, including two in the motor.” As a result, E.V.s require significantly fewer parts and therefore fewer man-hours to build: “Electric vehicle powertrains, if built domestically and not imported, would generate production employment,” the report noted, “but fewer employees may be needed than at present because vehicle battery packs have relatively few components and are less complicated to assemble than internal combustion engine powertrains.”

A July 2023 report from the America First Policy Institute, a think tank founded by former members of Donald Trump’s presidential administration, estimated that the Biden administration’s E.V. mandate would cost 117,000 auto industry jobs, nearly half of them from Michigan, Ohio, and Indiana.

But the union’s demands may not be feasible at the industry’s current trajectory. The union is asking for more money and fewer hours as the industry transitions to E.V.s, but established companies are hemorrhaging money on the transition. After previously predicting that it may lose $3 billion this year on its E.V. division, Ford now anticipates a loss of as much as $4.5 billion. Last year, General Motors CEO Mary Barra told investors that the company didn’t expect to make a profit on E.V.s until 2025.

Notably, the companies are struggling even after receiving billions of dollars in government subsidies. Most recently, at the end of August, the Biden administration authorized an additional $12 billion in grants and loans for companies to upgrade and retrofit their facilities.

Ford CEO Jim Farley said the UAW’s proposals could send the automaker into bankruptcy, while Barra said they were not “realistic.” Dan Ives, research analyst for Wedbush Securities, said in a note to investors that the UAW’s demands, if fully accepted, could cause automakers “to pass these costs onto the consumer” by increasing E.V. prices by as much as $5,000 each.

By visiting an active picket line, Biden made his preference clear in the fight between unions and management. But depending on how the negotiations go, he may not be able to have it both ways: Either UAW members can get a big raise, or automakers can push forward in the transition to electric vehicles.

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Migrants locked up in notorious El Salvador jail released in Venezuela-US prisoner swap

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3 hours ago

July 20, 2025

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Migrants locked up in notorious El Salvador jail released in Venezuela-US prisoner swap

On Friday, Paola Paiva waited in a hotel near Caracas airport, nervous but giddy with excitement to be reunited with her brother, finally.

For five months, Arturo Suarez has been detained in a notorious prison in El Salvador.

“I am going to wait for my brother to call me,” she told Sky News, “and after giving him a hug, I want to just listen to him, listen to his voice. Let him talk and tell us his story.”

Suarez was one of the more than 250 Venezuelan migrants who had been living in America but were arrested in immigration raids by the Trump administration and sent to El Salvador, a showpiece act in the president’s promise to deport millions of migrants.

Most of the men had never even been to El Salvador before. Their detention has been controversial because the White House claims the men are all part of the dangerous Tren de Aragua gang but has provided little evidence to support this assertion.

The only evidence Paola had that Suarez was still alive was a picture of him published on a news website showing the inside of the maximum security CECOT jail.

He is one of dozens of men with their hands and feet cuffed, heads shaved and bodies shackled together.

Now he is returning to his home country, one of the bargaining chips in a deal that saw the release of ten Americans and US permanent residents who had been seized by the Venezuelan authorities.

Paola had tried to go to the airport to greet her brother as he disembarked a charter plane bringing the men back from El Salvador but authorities told her to wait at a nearby hotel.

“They told us they are taking them all to a hotel to rest,” she said.

“But I managed to get someone to give my phone number on a piece of paper to my brother, so I am expecting his call tomorrow, as soon as he can access a phone.

“We heard they are going to perform some medical exams on them and check their criminal records,” she added. “I’m not afraid; I’m not worried since my brother has a clean record.

“I am so happy. I knew this day would happen, and that it would be unexpected, that no one was going to notify us. I knew it was going to be a total surprise.”

The Trump administration had paid the El Salvador government, led by President Nayib Bukele, millions of dollars to imprison the men.

Homeland security secretary Kristi Noem visited CECOT last month, posing in front of prisoners for a photo opportunity.

But Cristosal, an international human rights group based in El Salvador, says it has “documented systematic physical beatings, torture, intentional denial of access to food, water, clothing, health care,” inside the prison.

A video which was seemingly filmed aboard the charter flight bringing the Venezuelan migrants back to Caracas shows Arturo briefly talking about his experience inside.

He looks physically well but speaks into the camera and says: “We were four months with no communication, no phone calls, kidnapped, we didn’t know what (the) day was, not even the time.

“We were beat up at breakfast, lunch and dinner,” he continues.

Sky News interviewed Arturo Suarez‘s brother Nelson near his home in the US in April, weeks after Arturo – an aspiring singer – had been arrested by immigration and customs enforcement (ICE) agents while filming a music video inside a house.

Nelson said he believed Arturo’s only crime was “being Venezuelan and having tattoos.” He showed me documents that indicate Arturo has no criminal record in Venezuela, Chile, Colombia or the United States, the four countries he has lived in.

Now Nelson is delighted Arturo is being released – but worries for his future.

“The only thing that casts a shadow in such a moment of joy is that bit of anger when I think that all the governments involved are going to use my brother’s story, and the others on that flight, as political gain,” he said.

“Each of them will tell a different story, making themselves the heroes, when the reality is that many innocent people suffered unfairly and unnecessarily, and many families will remain separated after this incident due to politics, immigration and fear.”

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Ha Long Bay: At least 34 dead after tourist boat capsizes in Vietnam

Published

3 hours ago

July 20, 2025

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Ha Long Bay: At least 34 dead after tourist boat capsizes in Vietnam

At least 34 people have died after a tourist boat capsized in Vietnam, according to state media reports.

The Wonder Sea boat was reportedly carrying 53 people, including five crew members, when it capsized due to strong winds in Ha Long Bay on Saturday.

It happened at roughly 2pm local time (7am GMT). Rescue teams have found 11 survivors and recovered 34 bodies, eight of them children, the state-run Vietnam News Agency said, citing local authorities.

The People’s Army Newspaper, which cited local border guards, said authorities have not yet confirmed details about the tourists, including their nationalities, as the rescue operation continues.

Most of the passengers were tourists, including about 20 children, from the country’s capital city, Hanoi, the newspaper said.

The incident comes shortly after the arrival of Storm Wipha in the South China Sea, bringing strong winds, heavy rain and lightning to the area.

The named storm is the third typhoon to hit the South China Sea this year, and is expected to make landfall along the northern coast of Vietnam early next week.

Disruptions linked to the storm have also had an impact on air travel, according to Noi Bai Airport.

The airport reported that nine incoming flights were diverted to other airports, while three outgoing flights were temporarily grounded due to adverse weather conditions.

The winds brought by Storm Wipha reached up to 63mph (101kmph) and gusts of up to 68mph (126kmph) as it passed south of Taiwan on Saturday, according to the island’s Central News Agency.

Ha Long Bay is around 125mi (200km) north east of Hanoi and attracts tens of thousands of visitors each year.

Of those who visit Ha Long Bay, many choose to take overnight boat tours to further explore the area.

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Gaza: More than 30 people killed ‘as Israeli troops open fire towards Palestinians waiting for aid’

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3 hours ago

July 20, 2025

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Gaza: More than 30 people killed 'as Israeli troops open fire towards Palestinians waiting for aid'

More than 30 people have been killed after Israeli troops opened fire towards crowds of Palestinians waiting for aid, according to witnesses and hospital officials.

The deaths occurred near distribution hubs operated by the US-Israeli-backed Gaza Humanitarian Foundation (GHF), which began distributing food packages in Gaza at the end of May, after Israel eased its 11-week blockade of aid into the territory.

At least 32 people were killed on Saturday, according to the Hamas-run Gaza health ministry, while a further 100 people were injured, according to local reports.

Most of the deaths came as Palestinians massed in the Teina area, around 3km (2 miles) away from a GHF aid distribution centre east of the city of Khan Younis.

Mahmoud Mokeimar said he was walking with crowds of people – mostly young men – towards the food hub when troops fired warning shots as the crowd advanced, before opening fire towards the marching people.

“It was a massacre… the occupation opened fire at us indiscriminately,” he said.

Akram Aker said troops fired machine guns mounted on tanks and drones.

“They encircled us and started firing directly at us,” he said.

The Nasser Hospital in Khan Younis said it received 25 bodies, along with dozens of wounded.

Seven other people, including one woman, were killed in the Shakoush area, hundreds of yards north of another GHF hub in Gaza’s southernmost city of Rafah, the hospital said.

The army and GHF did not immediately comment on Saturday’s violence.

The GFH, which has four distribution centres, three of which are in the southern Gaza Strip, says it has distributed millions of meals to hungry Palestinians.

But local health officials and witnesses say hundreds of people have been killed by Israeli army fire as they try to reach the distribution hubs.

The GHF, which employs private armed guards, says there have been no deadly shootings at its sites, though this week, 20 people were killed at one of its locations, most of them in a stampede.

The group accused Hamas agitators of causing a panic, but gave no evidence to back the claim.

The army, which is not at the sites but secures them from a distance, says it only fires warning shots if crowds get too close to its forces.

The 21-month war in Gaza was triggered when Hamas militants stormed into southern Israel on 7 October 2023, killing 1,200 people and taking 250 others hostage.

An Israeli military offensive has killed more than 58,000 Palestinians, according to the Gaza health ministry, while Gaza’s more than two million Palestinians are living through a catastrophic humanitarian crisis.

Israel and Hamas have been holding ceasefire talks in Qatar in recent weeks, but international mediators say there have been no breakthroughs.

US President Donald Trump said another 10 hostages will be released from Gaza shortly, without providing details.