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American Axle May Close Plants

May 7, 2008

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The end to a lengthy strike may signal the closing of two American Axle forging plants. UAW members at three American Axle facilities in Michigan and two in New York (Tonawanda and Cheektowaga) walked out Feb. 26 over wages and benefits. According to the Detroit Free Press, the framework of a potential deal with the UAW to settle the two-month-long strike may have recently been established. Included in the agreement are buyouts, buy-downs in exchange for lower wages and the closing of at least two plants – the Tonawanda facility and a forge plant in Detroit. According to the paper, there was no mention of the Cheektowaga operation.


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