Why 2024 Has Seen a Major Increase in Union Activity and Worker Strikes

Labor unrest surges across industries: The past year has seen a significant increase in union activity and worker strikes, with employees across various sectors demanding better pay, benefits, and working conditions.

• According to Cornell University’s School of Industrial and Labor Relations, there were 470 work stoppages in 2023, involving approximately 539,000 workers.
• The number of workers involved in work stoppages increased by 141% compared to 2022, resulting in nearly 25 million strike days.
• Unions argue that workers made sacrifices during the pandemic and economic downturns, and now it’s time for compensation to catch up.

Automotive industry negotiations: The United Auto Workers (UAW) reached new agreements with major automakers, securing substantial wage increases and improved benefits for workers.

• Contracts with Ford, Stellantis, and General Motors were ratified after six-week-long strikes at all three companies.
• The agreements include a 33% wage increase for top-scale assembly plant workers over the contract period, with immediate 11% raises.
• By 2028, top assembly plant workers are expected to earn approximately $42 per hour.
• The new contracts also address issues such as multiple wage tiers and the inclusion of electric vehicle battery plants in national union agreements.

UPS and Teamsters reach agreement: After contentious negotiations, UPS and the Teamsters union approved a new contract, averting a potential nationwide disruption in package deliveries.

• The five-year contract includes wage increases totaling $7.50 per hour, with $2.75 of that increase taking effect in 2023.
• Starting hourly pay for part-time employees was raised to $21.
• UPS stated that by the end of the contract, the average full-time driver would earn about $170,000 annually in pay and benefits.
• The agreement also addressed issues such as forced overtime, driver-facing cameras, and the designation of Martin Luther King Jr. Day as a full holiday.

Video game performers secure AI protections: SAG-AFTRA reached agreements with 80 individual games, addressing concerns about artificial intelligence and improving working conditions for performers.

• The interim agreement includes wage improvements, protections against exploitative AI use, and safety precautions for physical and vocal performances.
• A tiered budget agreement was also established to accommodate independent game developers and smaller-budget projects while maintaining performer protections.

Las Vegas hospitality workers win major concessions: The Culinary Workers Union negotiated deals with several Las Vegas Strip resorts, securing significant improvements for thousands of workers.

• Agreements cover over 4,000 workers at the Venetian and Palazzo resorts, as well as 40,000 workers at 18 other Strip properties.
• The deals include a 32% pay increase over five years, workload reductions for housekeepers, and improved job security.
• By the end of the contracts, the average hourly wage is expected to reach $35, up from about $26 previously.

Healthcare workers strike leads to agreement: Kaiser Permanente reached a tentative agreement with unions representing 85,000 healthcare workers after a three-day strike.

• The deal includes setting minimum hourly wages at $25 in California and $23 in other states.
• Workers will receive a 21% wage increase over four years.
• The agreement also addresses subcontracting, outsourcing, and initiatives to invest in the current workforce and address staffing shortages.

Hollywood actors ratify new contract: SAG-AFTRA members approved a three-year contract with studios, ending a nearly four-month strike that significantly impacted the entertainment industry.

• The agreement includes a 7% general pay increase with additional increases in the second and third years.
• A key provision establishes a fund to compensate performers for future viewings of their work on streaming services.
• The contract also addresses the use of artificial intelligence, which was a major point of contention during negotiations.

Broader implications for labor relations: The recent wave of successful union negotiations and strikes across various industries signals a shift in the balance of power between workers and employers.

• The outcomes of these negotiations may encourage workers in other sectors to pursue similar demands for improved wages and working conditions.
• Companies may need to reassess their labor strategies and budget allocations to address growing worker expectations and maintain operational stability.
• The increased focus on issues such as AI protections and workload management reflects evolving concerns in the modern workplace, which are likely to shape future labor negotiations across industries.