Businesses feeling the pinch following the GM strike

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FLINT (WJRT) (9/17/2019) - While workers on strike scrape by workers in other fields are beginning to feel the impact. That's because each GM job is tied to 7 other spin-off jobs. Each day that passes -- deals a bigger blow to the Michigan economy.

“We could literally see if this goes more than a couple of weeks we could see a minor recession,” Northwood University Professor Dr. Tim Nash said.

As the UAW - GM strikes enters day two Latina's Restaurant which just a couple blocks down from the automaker's Flint plants is already feeling the impact from the strike.

"The second shift usually takes their lunch break 8 o'clock and usually we have a ton of orders at 8 o'clock and we've had none today that's a big effect,” Latina Manager Maurice Bonner said.

Already the restaurant has had to make adjustments due to the walkout by closing a dining and cutting back employees hours.

"You know hopefully go back to work soon. That's all we are asking and praying for,” Bonner said.

Nash says the longer the strike the bigger the fallout this could have on Michigan's economy.

"Once that strike goes to a second week you're going to start to see the suppliers shut down,” Nash said.

Nash says a majority of GM's plants and suppliers are in Michigan. So, this strike could cause a ripple effect on everyone working in the Great Lake state and even possibly setting up the state for a minor recession.

"The fact that those suppliers their employees are not going to the restaurants, retail stores as often. You may see mortgages that are getting into trouble. So, you could have some difficulty in the banking industry,” Nash said.

Nash says he's worried this strike could push the market to seek other automobile companies not based in Michigan.