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Harley-Davidson’s Union Negotiations: Potential Risks and Impacts on Future Operations

Harley-Davidson’s Union Negotiations: Potential Risks and Impacts on Future Operations

Harley-Davidson (HOG) has disclosed a new risk, in the Employment / Personnel category.

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Harley-Davidson faces significant business risks due to its reliance on unionized labor for its motorcycle operations. The company’s current collective bargaining agreements with unions such as the International Association of Machinists and Aerospace Workers and the United Steelworkers of America are set to expire in 2027 and 2029. There is uncertainty surrounding the negotiation of new agreements, which could impact the company’s competitiveness and lead to potential labor disruptions. Failure to secure favorable terms may result in adverse effects on Harley-Davidson’s operations, including the possibility of relocating production facilities or experiencing work stoppages.

Overall, Wall Street has a Moderate Buy consensus rating on HOG stock based on 3 Buys and 4 Holds.

To learn more about Harley-Davidson’s risk factors, click here.

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