Does UAW strike affect Rivian?

[Fclmd]

Does the UAW strike potentially impact Rivian? Are Rivian employees Union workers?

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[COdogman]

Rivian is a non-union factory. This strike only affects 3 plants for GM, Ford, Stellantis.

 

[Redline]

It should be a boost theoretically.

 

[sincladk]

Yeah, as someone with some of both $RIVN and $F, I've got mixed feelings about the potential stock impacts of the strike...

 

[txtravwill]

Nah not Rivian, could help.
The big 3 have a ton of inventory building up at dealers so there is some slack before true impacts. Overflow lots are getting full and even allocations are being skipped. The economy is slowing for sure.

 

[SANZC02]

Theoretically no as the factory is not a union shop but if any of their suppliers are UAW union shops it could impact some supplies.

I do not think any are but without knowing where all of their parts are coming from hard to say for sure.

 

[Donald Stanfield]

I'm with the others that if there is any impact it will be a benefit not a detriment to Rivian. I don't think its going to hurt many manufacturers for a while anyways simply because demand is way down and supply is already high. So with inventory being as robust as it is a work stoppage due to a strike will help the companies short term.

UAW has very little leverage and non union constraints are very real. They were emboldened by the Teamster's victory over UPS but that's a different situation. No other non Union could handle UPS' overflow business so replacement wasn't an issue and UPS has the profit to handle it. Automakers don't and non union pressure is very real especially with the shift to EVs and Tesla the number one in that game being a non.union shop. Legacy auto doesn't dominate the future market and in fact I'd argue they are behind companies like Rivian even.

Simply put their structure and approach is geared towards ICE and adjusting that is going to be a bigger task than simply designing your company around BEVs from the start like Tesla and Rivian. Look at the lightning and other offers from legacy auto. They are all ICE cars with BEV internals. Even the supposed designed from the ground up EVs have an ICE skin which is going to limit them.

 

[graymatter]

Nah not Rivian, could help.
The big 3 have a ton of inventory building up at dealers so there is some slack before true impacts. Overflow lots are getting full and even allocations are being skipped. The economy is slowing for sure.

Not a sign that the overall economy is slowing, rather that well of consumers who can afford 50k vehicles at 7-9% rates with 1k+ monthly payments is drying up. 50% of Americans are priced out of the market completely currently.

 

[camaroz1985]

Shouldn't affect Rivian as far as production. Could cause suppliers to have excess capacity and be able to supply more parts to Rivian if anything was restricted by prior contracts to supply the Big 3.

 

[Count Orlok]

There could be an effect upon RIVN employees to seek collective bargaining, at least in IL. GA is the wold west.

 

[SANZC02]

I just find it interesting that the UAW complained to the government that GM and Stellantis were not bargaining in good faith because they delayed their counter offers when the UAW stance of “this is our offer take it or leave it“ is the definition of not bargaining in good faith.

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