OMG! Can the UAW Strike Fund Afford $625 Strike Pay?
Darin Gilley
UAW Local 2250
April 2026
The resolution to increase strike pay to $625 is generating interest from across the UAW. Members are asking candidates for Convention Delegate to support this resolution, and it is no secret why. The increase to $500 following the last convention has benefited thousands of UAW members that have stood up and went on strike for economic justice since 2023. The increase to $625 will do the same.
Even with this higher benefit the Strike Fund has continued to grow. In December 2023, two months after the Stand-Up Strike, the fund had a balance of $727 million. As I write this the fund has $838 million and, in a few months, will reach the $850 million dollar threshold that triggers the elimination of the extra half-hour of monthly dues that is dedicated to the Strike Fund. The prospect of losing this extra half-hour of dues income has prompted some members to ask if increasing the weekly benefit to $625 is sustainable? Will it bankrupt the Strike Fund?
Sustainable: YES
Damage the Strike Fund: NO
These are legitimate concerns ant this article will use real numbers to demonstrate that increasing strike pay to $625 a week will deliver a return on members investment in the strike fund, increase the financial stability of members that make the sacrifice to go on strike, and allow the strike fund to be a sustainable source of both member security and investment gains for the union.
Let’s start by looking at how much assistance is being provided to members by the Strike Fund. With the rapid increase of the Strike Fund balance, it is obvious that it is currently disbursing far less than it is taking in. The following numbers represent the last 12 months of disbursements. These figures are directly from the monthly reports issued by the Secretary/Treasurer.
January 2026: $ 2,198,530.31
December 2025: $ 2,110,080.30
November 2025: $ 1,447,062.09
October 2025: $ 1,778,172.59
September 2025 $ 1,626,218.75
August 2025 $ 2.084,293.93
July 2025 $ 2,701,869.14
June 2025 $ 2,658,741.21
May 2025 $ 3,647,812.60
April 2025 $ 2,910,436.12
March 2025 $ 3,065,445.37
February 2025 $ 2,425,098.48
12 Month Total $ 28,653,760.89
Last year, Strike Fund disbursements totaled over $28 million. Considering we are two years away from the expiration of the national agreements with the Big 3 what will the total disbursements be between now and then? Let’s run the numbers.
12 Month Total Disbursements: $28,653,760.89
# of years x 2
Total for two years: $ 57,307,521.78
Will The Fund Go Broke?
$57 million spent on strike assistance (not all of this is weekly benefits payments) is a lot of money, can the fund survive? The answer can be found by subtracting those disbursements from the eight hundred fifty million dollars in the Strike Fund.
Strike Fund Balance when
Dedicated dues discontinued $ 850,000,000.00
Minus two years of payments $ 57,307,521.78
Fund Balance with no income $ 792,692,478.22
Without a penny of dedicated dues going into the Strike Fund and two years of strike assistance payments going out the fund will have a balance of over $792 million!
At this rate, the fund would still have $735 million by the next constitutional convention in 2030 even with no additional funds invested in it!
Interest and Earnings
But wait, there is a basic fact not included in this calculation when done in the real world. In fact, there are two factors: Investment Interest and Earnings.
The interest and earnings on investments received by the International Union Strike and Defense Fund shall be allocated to the International Union General Fund or to such other purpose as the International Executive Board shall determine to be in the best interests of the union.
The words “such other purpose” are in bold to highlight the power of good decisions and the weakness of the argument that the strike fund cannot afford to treat members fairly by increasing the weekly benefit. Here are the figures…
Strike Fund Balance $850,000,000
Investment Return x 5%
Annual Earnings $ 42,500,000
Let’s start with the Strike Fund balance of 850 million dollars. Through good investment practices that honor the members’ dues dollars that balance generates a return of five percent. That would provide $42 million 500 thousand dollars in earnings and investments per year!
A Stable Strike Fund
Now, put those numbers together and we get a picture of the possibilities.
Annual Earnings and Investments $ 42,500,000.00
Minus Annual Disbursements $ 28,653,760.89
Total $ 13,846,239.11
WOW, after paying all the strike benefits for the year there is over $13 million dollars that could be allocated to the General Fund while keeping the strike fund at $850 million!
Another concern that has been expressed is the question of health insurance. More specifically, the cost of health insurance. This is a separate issue from strike pay but is an important benefit for members on strike and could be a significant expense if it is provided by the Strike Fund. However, this expense would be the same whether Strike Pay is $500 or $625.
Recent experience suggests there are alternatives. In both the 2019 and 2023 strikes the companies maintained the health insurance of members while on strike. There are many reasons for this including avoiding the chaos that would occur when negotiations are concluded with a union demand to cover the health care expenses of members before they return to work.
This is what happened at the recent 100-plus-day strike by the Machinists at Boeing in St. Louis. At the conclusion of the strike the company agreed to cover the health care expenses of strikers that occurred during the labor dispute.
Strikes Are When Gains Are Made!
Going on strike is a serious matter. In Wentzville, we have been out on the picket line 86 days over the last two contract cycles. We understand strikes are a last resort, an action taken in pursuit of important gains, life-changing gains that could not be won at the bargaining table.
Is it fair to ask these members to sacrifice financially even as they have paid more of their dues into the strike fund with each raise? Payments for a fund that is supposed to support them when they need it the most. The mission of the Strike Fund is to provide financial stability at one of the most vulnerable times in a member’s career. Denying members this support while the fund collects dust and interest is not fulfilling its mission.
Increasing strike pay to $625 will help members maintain financial stability, support stronger morale during strikes, and let the company know that members will not be “starved” into a weak contract.
