How potential UAW strike against Big Three could impact Michigan’s economy

By Brett Kast

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    WARREN, Michigan (WXYZ) — When you’re a business across the street from an auto factory, you live and die by the United Auto Workers union. Motor City Sports Bar & Grill in Warren is no different.

“After work, they come by, hangout, have a few drinks, relax, kind of just unwind,” owner David Nuculaj said of the auto workers.

Nuculaj says about 85% of his customers work at the factory. He’s been following the talks, optimistic a strike won’t happen. He’s felt the impacts before and says he’s not too worried if it happens again.

“It was slow for a minute and then slowly, everything picked back up,” Nuculaj said of the last strike.

With another potential strike still looming, industries across Michigan’s economy are bracing for a potential impact. According to the Anderson Economic Group, just 10 days of a strike would result in a loss of $5 billion to the U.S. economy, with $859 million in wage losses.

“We’re usually the first place your disposable income is going to go so if that’s going to be impacted, we’re going to feel that in this industry pretty acutely,” said Justin Winslow, president and CEO of the Michigan Restaurant & Lodging Association.

Winslow says they’re following the talks as well, with the auto industry a major driver in Michigan’s economy. He says their industry also felt the effects during the UAW strike against General Motors in 2019.

“Some restaurants felt it very acutely and there were temporary layoffs in the industry during that time period,” Winslow said. “It was less severe sounding, frankly, in reality than what we’re bracing for right now. So we’re having communication with members to be prepared for the worst.”

On the flip side, George Glassman of Glassman Automotive Group is also hoping against the strike but with selling mostly non-domestic cars, his business could see more traffic if Big Three production slows.

“If there are not cars on the ground and people need to purchase or lease cars, they’re going to find a place to get them,” Glassman said. “I’m hoping a strike doesn’t happen because I don’t think it will be productive for either side.”

As the son of a 20-year UAW member with a bar also full of members, Nuculaj is behind the workers no matter what happens.

“When General Motors went on strike, we went and dished out a bunch of burgers and hot dogs to everyone sitting out at the strike,” Nuculaj said.

But like many others, he’s still hoping an agreement is reached.

“I think they might come to a negotiation prior to the end date,” Nuculaj said. “I don’t know. I guess, we’ll see.”

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