The UAW Is Its Biggest Enemy

In partnership with

Here we are again, back on the Trump Tariff Rollercoaster. Will they happen? Won’t they happen? Is this a mob-style shakedown? Is the administration “buying the dip” before Trump reneges on tariffs? Is Pete Hegseth drunk? All I know for sure is that Pete Hegseth is drunk, so let’s get into it.

In This Issue

• The Boy Who Cried Wolf

• I Choose You, Protesting Pikachu

• Want To Share a Tip?

Gargling Trump’s Balls

As far as organized labor goes, the United Auto Workers (UAW) have had a rocky go at things. The group has been plagued with rampant corruption. But it also has done some great things for its membership. The wicket, as they say, is sticky.

The UAW’s power is also, interestingly, on a pendulum. During one set of contract negotiations, the labor has the power. Then, the next time around, management is in a better position. This natural system of checks and balances keeps things mostly in check.

The last round of negotiations, though, were different. It was time for the union to have the power, but thanks to COVID-19 (and management’s inability to explain why executives were banking massive bonuses during that time), the union had outsized power and influence.

This was partly because the head of the UAW, Shawn Fain, was more of a street fighter than past bosses, but mostly because the UAW was always going to have power in these negotiations. When you add in management bonuses and record profits, anyone off the street would’ve been able to negotiate a sweetheart deal for the UAW.

Clearly Fain believes he’s a God amongst men, and is deciding that Donald Trump’s tariffs are a good thing because it’ll restore manufacturing to cities like Pontiac and Flint. Because building cars outside the United States means the UAW can’t collect union dues from the workers who build those cars, and that’s bad.

Automation, not cheap labor, is what hurts the human aspect of automobile manufacturing. But I digress.

Anyone with half a brain knows that if these tariffs go into effect, along with the obvious retailiatory tariffs that will come from it, that the economy is toast. Negative GDP will be the norm, and a recession is a near certainty.

Nobody will be buying cars if they don’t have jobs. Nobody will be buying cars if the price of things is too expensive. Nobody will be buying cars if the cars themselves are too expensive. And if nobody is buying cars, automakers aren’t going to pay to keep plants open. Then what happens to that labor force?

Fain’s support of Trump and his tariffs will lead to the largest UAW layoffs in modern history. It’ll also kill any democratic support of the UAW, or other unions, when it comes to making hard decisions. That’s because what representative is going to back the unions when they know that people like Fain will turn their back on them?

He’s cutting off the UAW’s nose in order to spite its face.

Start learning AI in 2025

Everyone talks about AI, but no one has the time to learn it. So, we found the easiest way to learn AI in as little time as possible: The Rundown AI.

It's a free AI newsletter that keeps you up-to-date on the latest AI news, and teaches you how to apply it in just 5 minutes a day.

Plus, complete the quiz after signing up and they’ll recommend the best AI tools, guides, and courses – tailored to your needs.

Sign up to start learning.

The Boy Who Cried Wolf

President Trump, again, is saying that automative tariffs of 25% will be going into effect on April 2nd, with tariffs on parts needing to be fully implemented by a month later. Again, this would be a very bad thing for the industry. While the tariffs are currently only supposed to go on vehicles imported from outside the United States (which is still bad), we haven’t seen what the effect of retaliatory credits will be.

My theory at this time is that Trump will allow the tariffs to go into effect. After a few days (maybe even a few weeks), when things start to get bad, he’ll rescind the tariffs. This will be a reminder that if you don’t go along with Trump’s ideas, he will hurt your business. The Art of the Deal is just mob tactics, and anyone with half a brain can see that has always been the case.

The problem is, of course, that Trump runs the risk of being the boy who cried wolf. I think that’s also part of the reason why he will let them go into effect this time — he wants people to know he’s serious.

If he wants to keep people on their toes, he should take the advice of Elim Garak.

I Choose You, Protesting Pikachu

Protests are currently happening in Turkey, and video has surfaced of Pikachu running from the cops with protestors.

Want To Share a Tip?

If you’re at an automaker, supplier, or the UAW and have something you want to share, I will keep you anonymous. Or, if you want to add me to your war planning Signal chat, here’s how you can do it.