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    FCA and UAW Reach A Tentative Deal, Avoid Strike


    • Before the deadline, FCA and UAW Announced They Have Agreed to Another Deal

    Last night was a tense time for Fiat Chrysler Automobiles as the clock was ticking to a 11:59 PM deadline before the contract extension for 40,000 UAW workers would end. But FCA and the UAW announced this morning they have reached another tentative agreement. The deal now heads to members to be voted on.

     

    “We heard from our members, and went back to FCA to strengthen their contract. We’ve reached a proposed tentative agreement that I believe addresses our members’ principal concerns about their jobs and their futures. We have made real gains and I look forward to a full discussion of the terms with our membership,” said UAW President Dennis Williams in a statement.

     

    Details of new contract are not being talked about at this time since members have to vote on it. But Bloomberg reports that entry-level workers - second-tier - will now have a top wage of $29 per hour. In the previous contact, second-tier workers had a wage cap of $19.50 per hour.

     

    The wage cap increase for entry-level workers addresses was one of main reasons why the first proposed contract for union workers was voted down.

     

    Source: The Detroit News, Bloomberg

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