DEARBORN, Mich. (WXYZ) — Hundreds of UAW members rallied in solidarity with laid-off workers from the former Rouge Steel plant in Dearborn, where Cleveland-Cliffs has cut 600 jobs amid uncertainty in the auto industry.
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The company announced the layoffs in March, with 500 of those affected being UAW members. Cleveland-Cliffs cited weak automotive production as the reason for scaling back operations at the plant that produces steel for the auto industry.
Bobby Atanasovski, one of the laid-off workers, described the personal impact of the job cuts.
"I gotta start over again, and I got five to 10 more years of work, it's a blow," Atanasovski said.
For many workers, the sudden unemployment has created significant financial strain.
"I don't have a partner to help me with the bills, with the rent, my mortgage, the car payment, food, health insurance. What happens in six months when I don't have any of that?" Melanie Johnson said.
The rally also focused on pressuring Cleveland-Cliffs to honor commitments made in a 2024 labor agreement to invest $300 million into the plant.
"I think Cleveland-Cliffs is using this very political situation, which is unstable, and they're using this moment to basically repeal some of the promises they made," Congresswoman Rashida Tlaib said.
"In 2024, Cleveland-Cliffs agreed to invest $300 million in the Rouge. Today we're seeing them going back on that word. Instead of making these investments, they’re laying off 500 members of our union family," UAW President Shawn Fain said.
Cleveland-Cliffs maintains it has already invested $125 million a year and two weeks into the deal and plans to invest the remaining $175 million over the next three years.
UAW Local 600 leaders remain optimistic their members will eventually return to work, though the timeline remains unclear.
In a statement, Cleveland-Cliffs explained: "We need to have production of vehicles back in the United States in order to bring back the full capabilities to produce automotive-grade steel to the United States. Section 232 tariffs are working, and we are starting to see the trend taking shape."
The company also indicated that jobs will return once there is sufficient volume to ensure production.
Sam Fiorani, Vice President of Global Vehicle Forecasting from AutoForecast Solutions, provided industry context for the situation.
"The automotive industry does not like change, and there's a lot of change at the moment. So we're waiting for more stability to happen before you can have that increased demand for this steel from Cleveland Cliffs. Getting back to that position next year is possible, but tariffs, increased prices and slow demand," Fiorani said.
The union has been in ongoing discussions with Cleveland-Cliffs and reports that while some grievances have been addressed, negotiations are far from complete.
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