Jeep maker Stellantis makes a new contract offer as auto workers prepare to expand their strike

General Motors and Stellantis announced fresh layoffs Wednesday that they blamed on damage from the United Auto Workers strike, and the labour standoff grew more tense just two days before the union was expected to call for new walkouts.

General Motors and Stellantis announced fresh layoffs Wednesday that they blamed on damage from the United Auto Workers strike, and the labour standoff grew more tense just two days before the union was expected to call for new walkouts.

Stellantis provided a glimmer of hope for a breakthrough by giving the union a new contract proposal. However, a company spokeswoman said the offer primarily covered non-economic issues.

It was not clear whether the Stellantis offer would satisfy union President Shawn Fain, who vows to announce new strike targets on Friday unless there is "serious progress" toward agreements with GM, Stellantis and Ford.

So far UAW workers are striking at just three factories, one for each company. It's a novel approach for the union, which in the past has focused negotiations on one company and limited a 2019 strike to GM. Fain says his approach will keep the companies guessing about UAW's next move.

"He is trying to distinguish himself from the old leadership of the UAW," said Harry Katz, a professor of collective bargaining at Cornell University. "He's different, he's tough, and he's trying to put pressure on the companies."

The three-plant strike has so far had limited impact on the automakers -- probably by design, longtime industry observers say.

"The strategy is to incrementally apply pressure on the companies to encourage them to come to the table," said Marick Masters, a management professor at Wayne State University in Detroit. "He is negotiating with the three companies simultaneously with the expectation that the one that is most vulnerable and will give them the best deal will surface from that strategy."