Delphi Strike 'More Likely Than Not' Says UAW Leader

A key United Auto Workers negotiator told local union leaders that a strike against auto supplier Delphi Corp. "appears more likely than not," said Paul Krell a UAW spokesman. Delphi has been operating under bankruptcy protection and is seeking wage cuts from its hourly workers.

Krell said UAW Vice-President, Richard Shoemaker, discussed the possibility of a strike with about 250 union leaders at a closed-door meeting in Detroit. According to Krell, Shoemaker said, "Under current circumstances, a strike appears more likely than not. That can change, and we hope it does."

Shoemaker did not give time frame when a strike might occur, Krell said. Delphi spokeswoman, Claudia Piccinin, said that the company is hoping to avoid a strike.

A strike could be devastating to Delphi as well as GM, which relies on Delphi for billions of dollars worth of parts. GM spent $14 billion on Delphi parts last year, or about 16% of its total spending on parts.