General Motors (GM) announced the temporary shutdown of its Fairfax Assembly Plant in Kansas City, Kansas, on a Wednesday afternoon, leading to indefinite layoffs for most of the approximately 2,000 workers across two shifts. This unfortunate situation is a direct consequence of the ongoing strike initiated by the United Auto Workers (UAW) at GM's Wentzville Assembly Plant in Missouri.
Wentzville is crucial to GM's production of midsize pickups and cargo vans, with the facility also handling stamping work for the Fairfax plant. Meanwhile, the Fairfax Assembly Plant manufactures the Cadillac XT4 SUV and the Chevrolet Malibu sedan. The disruption in parts supply from Wentzville's stamping operations has caused a critical shortage, forcing the idling of Fairfax Assembly.
In a statement released to the media, GM expressed its disappointment over the negative effects of the UAW strike, which has quickly rippled across its operations. The impacted employees at Fairfax will remain laid off until the situation is resolved. Unfortunately, due to the strike's nature, these workers are not eligible for the company-provided sub pay, a GM benefit designed to support hourly employees during plant shutdowns caused by factors other than strikes.
This news aligns with a previous announcement by Stellantis, which disclosed plans to lay off nearly 370 workers in Ohio and Indiana due to the UAW strike's impact on its Toledo Assembly Complex.
Both the Wentzville and Fairfax plants hold significant importance for GM. Wentzville produces the Chevrolet Colorado and GMC Canyon midsize pickups, which have witnessed growing demand and substantial profit margins. On the other hand, Fairfax manufactures the popular Cadillac XT4 subcompact SUV, which has experienced a remarkable 37% sales increase in the first half of the year.
GM had issued warnings about the potential idling of the Fairfax plant as stamping parts inventory dwindled. In a parallel development, Ford had to lay off 600 employees at its Michigan Assembly Plant's body construction department and south sub-assembly area of integrated stamping due to the strike's impact on the final assembly and paint departments.
UAW President Ray Fain responded to the layoffs with resolve, asserting that the union would support affected autoworkers and ensure they do not suffer income loss. He emphasized the UAW's commitment to pursuing economic and social justice for its members in the face of pressure from the Big Three automakers, stating, "We’ll organize one day longer than they can and go the distance to win economic and social justice at the Big Three."