Members of the United Auto Workers (UAW) overwhelmingly voted to authorize strikes against Ford (F), General Motors (GM), and Stellantis (STLA). This permits union leaders to call for a strike if a deal is not reached. Yahoo Finance's Rachelle Akuffo breaks down the report.

Video Transcript

RACHELLE AKUFFO: Well, members of the United Auto Workers overwhelmingly voted to authorize possible strikes against the nation's three major auto manufacturers. That's General Motors, Ford, and Stellantis. Now, this vote does not guarantee a strike, but it permits union leadership to call for one if a deal isn't reached.

But time is short. Contracts are set to expire before midnight on September 14. Now, the UAW says they made major concessions to keep automakers afloat during negotiations back in 2007. Now, they want those benefits back. Union demands include a pension plan, major pay increases, and protections against job losses and plant closings.

Negotiations have been unsuccessful as of late though, according to a UAW President Shawn Fain. He spoke in support of a strike earlier this week, warning automakers, the clock is ticking to reach a deal. GM, Ford, and Stellantis have all issued statements in support of reaching a deal without a strike.