Skip to content 
The recent UAW strike has sparked intense discussions across the automotive world. Industry veteran Sandy Munro, founder of Munro & Associates, weighed in with historical insights and candid reflections on the potential impacts. His perspective draws on decades of experience in automotive engineering, manufacturing, and lean design—offering a valuable lens for automotive engineers, EV enthusiasts, and investors alike.
Understanding the implications of today’s strike requires looking back at past labor disputes, how they shaped the competitive landscape, and how global pressures are reshaping automotive production.
Lessons from 1979: A Cautionary Tale
Sandy Munro began his commentary by recalling the 1979 labor disputes that dramatically altered the automotive industry. At the time, he was working in the machine tool sector, when automation faced stiff opposition from unions. The resistance to modernization led to shutdowns and ultimately left Munro out of a job.
Drawing from personal history, he emphasized that his own father was a union organizer who worked alongside notable figures like Charlie Brooks and Walter Reuther. This gave him an understanding of both the worker’s perspective and the business realities of manufacturing.
Back in 1979, the United Auto Workers (UAW) represented approximately 1.5 million workers. Today, that number has plummeted to around 180,000 automotive union members, with another 200,000 or so spread across industries like agriculture and aerospace. What happened in those decades to cause such a collapse in union presence?
The Global Shift and Competitive Pressures
Munro pinpointed several key factors in the decline of UAW influence. Chief among them was the rise of Japanese automakers in the U.S. market during the late 1970s and 1980s. Companies like Toyota and Honda entered with non-unionized workforces and lean manufacturing principles that outperformed legacy automakers burdened by rigid labor agreements and inflated costs.
At the same time, the oil embargo of the late 1970s increased consumer demand for fuel-efficient vehicles—precisely the segment dominated by Japanese imports. U.S. automakers, constrained by legacy designs and high production costs, lost market share rapidly.
As Sandy put it, “We watched the union basically vanish right before our eyes.” The combination of foreign competition and inflexible labor structures exposed American automakers to a harsh new reality: compete on cost, quality, and innovation—or risk collapse.
The Current Landscape: UAW vs. Non-Union Competitors
Fast-forward to today, and the competitive dynamics are even more complex. Non-unionized companies like Tesla, Toyota, and Honda continue to thrive on lean design and flexible manufacturing. Meanwhile, U.S. automakers now face new challenges—particularly the shift to electric vehicles (EVs).
Sandy Munro stressed that “economic growth is going to come from the people like Toyota—no union, Honda—no union, Tesla—no union.” The looming presence of Chinese EV manufacturers also adds new pressure, as they seek entry into the North American market with affordable, well-engineered vehicles.
In this environment, high labor costs and prolonged work stoppages risk making legacy U.S. automakers even less competitive. American consumers, increasingly cost-conscious, will likely gravitate toward lower-priced EVs. Regardless of political influence, market forces will ultimately decide which companies succeed.
The Ford Perspective
Munro singled out Ford’s leadership for particular praise. He referenced a recent speech by Bill Ford, describing it as “one of the most eloquent speeches” on the subject. Ford acknowledged the company’s challenges but urged collaboration rather than confrontation with workers.
Bill Ford’s remarks highlighted a broader truth: this strike is about more than a single contract. It could shape the future of the American automotive industry. In Ford’s words, “Choosing the right path isn’t just about Ford’s future and our ability to compete. This is about the future of the American automobile industry.”
A Warning Against Radicalism
Sandy Munro also cautioned against the current UAW leadership’s efforts to expand unionization to companies like Tesla, Toyota, and Honda. In his view, “nobody wants a radical.” Attempts to impose old-school union frameworks on lean, agile automakers could backfire—damaging their competitiveness and, ultimately, the job security of current UAW members.
He reminded listeners that today’s automakers operate in a fragile, fast-changing market. “All the companies, regardless of what anybody says, are basically a house of cards,” Munro warned. Excessive demands or inflexible positions risk triggering further decline, as history shows.
Looking Back to Move Forward
Munro closed his reflections by encouraging industry participants to study history. The collapse of U.S. auto manufacturing dominance from 1979 onward offers valuable lessons. Striking the right balance between fair labor practices and global competitiveness is crucial for survival.
For today’s automotive engineers, lean design and manufacturing excellence remain critical. Investors must weigh the risks of entrenched labor conflicts versus the growth potential of nimble EV manufacturers. And EV enthusiasts should watch closely as new global players—especially from China—begin shaping the North American market.
The Takeaway for Automotive Professionals
The UAW strike serves as a stark reminder: the industry is at a crossroads. Lean design, expert teardown analysis, and flexible manufacturing will be key to surviving this next phase. Automakers that can integrate labor fairness with innovation and cost control will be best positioned to thrive.
Meanwhile, those who ignore the lessons of the past risk repeating them—jeopardizing jobs, market share, and long-term viability.
Explore More with Munro
For deeper insights on electric vehicle design, teardown expertise, and lean manufacturing, follow Munro & Associates and subscribe to Munro Live’s ongoing analysis. Whether you’re an engineer, investor, or enthusiast, there’s much to learn from the front lines of automotive innovation.