The United Auto Workers union last night called the first national strike against General Motors (GM) since 1970 after contract talks stalled.
The unexpected strike, which sees 73,000 factory workers take to picket lines, came after a 10-week round of contract talks seen as crucial to GM's survival as it restructures its loss-making US operations and seeks to cut itself free from a health-care obligation of over $50 billion.
United Auto Workers (UAW) union members picket outside the General Motors plant in Hamtramck, Michigan.
Analysts said the automaker could ride out a short work stoppage. Many predicted the two sides would still settle on a deal on wages and benefits that delivers many of the sweeping concessions GM has sought.
But the economic and political impact from the UAW-ordered shutdown of over 80 GM facilities across the United States was immediate.
The White House urged both sides to stay at the bargaining table. The Teamsters union said it would honour the strike by not hauling GM vehicles for the duration of the walkout.
By yesterday afternoon, the strike had already cost GM roughly 4,000 vehicles in lost production, according to an auto industry tracking company.
