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  • Drew Dowdell
    Drew Dowdell

    UAW Votes To Ratify Contract

      ...GM strike is ending...

    The UAW has announced that their membership has ratified the new 4-year contract deal with General Motors 23,389 to 17,501.  Roughly 46,000 union members will receive an $11,000 ratification bonus while temporary workers will get $4,500. 

    According to GM, work is to resume Monday with the first shift, however GM was attempting to get volunteers to start production earlier on Saturday and Sunday at Flint Assembly and Fort Wayne Assembly where the GMC Sierra and Chevrolet Silverado are built. 

    The strike, which lasted roughly 6 weeks, cost the company $450 million per week. 

    The new agreement includes:

    • No increase in healthcare contribution, retaining the current 3% rate
    • 3% wage increases or 4% lump sum payments each of the 4 years of the contract
    • $11,000 signing bonus to union employees, $4,500 for temporary employees
    • $7.7 billion in investments in U.S. manufacturing plants, including Detroit-Hamtramck, a plant originally slated for closure
    • Enhanced employee profit sharing with no cap
    • A clear path for temporary employees to become permanent after three years of service beginning January 2020.

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    Wow.  The UAW gets all this, at a cost to GM of nearly $3 Billion.  Most workers outside of the UAW would kill for half of this.  If GM is smart, they will dump the UAW for a union-free workforce after this contract (preferably during a nasty recession).

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    40 minutes ago, Drew Dowdell said:

    It does seem like the UAW got pretty much everything they wanted.

    Almost.  At least GM can shutter a few plants, including Lordstown OH and the one in Tonodowanda NY.

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