US Justice Department investigating UAW president over corruption allegations

The US Department of Justice is investigating allegations against United Auto Workers (UAW) president Shawn Fain that he pressured another high-ranking union official to provide benefits to his fiancée and sister and later retaliated against the official who refused to approve them. On Sunday, Fain, who is running for a second term as president, called the accusations false and part of election interference.

Last month, the union's court-appointed monitor released a report alleging that Fain improperly used his authority to push for a financial bonus for his fiancée and worker's compensation for his sister, according to Bloomberg. When UAW vice-president Rich Boyer refused to approve the benefits, Fain removed him as chief negotiator with automaker Stellantis NV. The report ultimately deferred a decision on disciplinary action, and a federal grand jury subpoenaed the monitor over its report.

The independent monitor, Neil Barofsky, was appointed in 2021 by a federal court following a corruption scandal at the union. Barofsky previously oversaw the $700 billion Wall Street bailout in 2008. Fain was elected as a reform candidate in March 2023. Boyer won a union executive board position in 2022 in the first direct ballot election.

Fain alleges that the monitor has been weaponized by Boyer, his election rival, ahead of union elections beginning in August. He argued that the conflict stems from his refusal to let Boyer hire family members into union positions and from Boyer's bargaining concessions with Stellantis. Fain also accused Barofsky of holding a political grudge because the UAW called for a ceasefire in Gaza in 2023. The union's outside counsel in February 2024 accused Barofsky of a lack of integrity after he questioned the union's stance on the war. Barofsky forwarded a letter from the Anti-Defamation League critical of a UAW Local's ceasefire statement, acknowledging it was outside his jurisdiction.

The Justice Department and Boyer did not immediately respond to requests for comment. Barofsky did not respond to multiple requests for comment.