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Labor Issues

F

Ford Motor Company (NYSE:F) reported Q3 revenue of $44 billion, up 11% YoY, beating the Street consensus estimate of $41.2 billion. However, the company missed the EPS estimate of 45 cents, reporting 39 cents instead. The company's Model e segment, which includes electric vehicles, reported a 44% YoY increase in wholesale unit sales. However, the company withdrew its guidance for full-year 2023 operating results due to the effects of the UAW strike. Ford shares were trading down 4% in after-hours trading.

Portfolio Pulse from Chris Katje

October 26, 2023 | 8:28 pm

F

Ford has withdrawn its 2023 guidance due to the pending ratification of a tentative U.S. labor agreement. The company's future financial performance is uncertain until the agreement is finalized.

Portfolio Pulse from Benzinga Newsdesk

October 26, 2023 | 8:09 pm

F

GM

TSLA

The United Auto Workers Union (UAW) and Ford Motor Co have agreed to a tentative deal to end the union’s strike, which includes a 25% wage increase for employees. Post this increase, Ford engineers will be making around $140,000 a year. Engineers at General Motors Co make slightly more than Ford engineers, with an average salary of $117,000 a year. Engineers at Tesla Inc earn more than the other major U.S. auto manufacturers, with an average salary of over $130,000 a year.

Portfolio Pulse from Aaron Bry

October 26, 2023 | 8:06 pm

GM

The United Auto Workers (UAW) union has proposed a new contract to General Motors Co. (GM) similar to the tentative agreement reached with Ford Motor Co. The proposal is part of an effort to end a six-week-old strike. UAW President Shawn Fain and GM CEO Mary Barra have held a meeting, and while no agreement has been reached yet, the sides are reportedly close on many key issues.

Portfolio Pulse from Benzinga Newsdesk

October 26, 2023 | 7:36 pm

F

GM

STLA

TSLA

Ford Motor Co has reached a tentative labor agreement with the United Auto Workers (UAW), increasing the top wage rate by over 30% to over $40 an hour. This could increase Ford's costs by more than $900 million in its first year. General Motors and Stellantis are still in negotiations with the UAW. The new labor agreement could impact Tesla Inc., which currently enjoys larger profit margins due to non-unionized workers. Tesla's stock is down more than 15% over the last month.

Portfolio Pulse from Erica Kollmann

October 26, 2023 | 7:09 pm

CAT

EWW

The U.S. Department of Labor and U.S. Trade Representative have requested a review from the Mexican government into alleged labor rights violations at the Tecnología Modificada facility, a subsidiary of Caterpillar Inc. The request follows a petition alleging that the company unlawfully terminated a worker for union organizing and interfered with union activities. The Mexican government has 10 days to decide whether to conduct a review and 45 days to investigate the claims.

Portfolio Pulse from Benzinga Newsdesk

October 26, 2023 | 7:04 pm

AAPL

Unionized workers are urging Apple Inc. (AAPL) to uphold its commitments to shareholders and include organized workers in the company's workers' rights assessment, according to a release by the Communications Workers of America (CWA).

Portfolio Pulse from Benzinga Newsdesk

October 26, 2023 | 6:05 pm

SPY

According to Bloomberg TV, Treasury Secretary Janet Yellen stated that more jobs are being created in communities that have had less economic opportunity. She also mentioned that Americans will see that good opportunities are being created for them.

Portfolio Pulse from Benzinga Newsdesk

October 26, 2023 | 5:37 pm

F

GM

HYMTF

STLA

TSLA

WKSP

Ford Motor (F) shares rose 3% as it reached a tentative deal with the UAW, ending a costly strike. General Motors (GM) is expected to follow suit. Stellantis (STLA) plans to buy a 21% stake in Chinese EV maker Leapmotor. Worksport Ltd (WKSP) announced interest from a Canada-based automotive aftermarket reseller for its hard-folding tonneau covers. Hyundai Motor Company (HYMTF) confirmed it will not delay its EV plans and showed optimism for continued growth. Tesla (TSLA) received a $100 million order from BP EV unit for its chargers.

Portfolio Pulse from Upwallstreet

October 26, 2023 | 5:24 pm

VMI

Valmont Industries reported Q3 financial results and narrowed its FY23 EPS guidance, causing its shares to trade lower. The company also announced a realignment program and plans for headcount reductions.

Portfolio Pulse from Benzinga Newsdesk

October 26, 2023 | 2:50 pm