General Motors and the United Auto Workers union reached a deal Sunday night, minutes before the union’s midnight deadline, averting any strike for now, according to the automaker.
The deal will be sent to the union’s UAW National GM Council for discussion and vote on Wednesday. The union’s national council is composed of local leaders. If approved, the agreement would head to workers for ratification.
Neither the UAW or GM released specific details of the agreement.
“We believe that this agreement will present stable long-term significant wage gains and job security commitments to UAW members now and in the future,” UAW President Dennis Williams said in a statement. “We look forward to presenting the details of these gains to local union leaders and the membership.”
The United Auto Workers union could make its first real break into the southern U.S. by unionizing 165 “skilled trade” maintenance workers at Volkswagen’s Chattanooga plant, reported the Associated Press (via The Detroit News).
UAW Local 42 represents some workers at Volkswagen Chattanooga but does not have exclusive bargaining rights at the plant. A new election for union representation, which is being requested by maintenance workers at the plant, would give Local 42 exclusive bargaining rights for those workers.
The effort is part of a “renewed collective bargaining push” unrelated to the diesel emissions scandal, union officials told the AP.
The last election saw the UAW defeated in a 712-626 vote.
Well that didn’t take long.
According to the United Auto Workers’ Facebook page, General Motors will be the target for the union’s next negotiations. The automaker’s fat profits and long-delayed raises for veteran workers will likely be targets for the union when it heads to the table to negotiate.
The union may also look to bring up wages for newer-hired Tier 2 workers at the automaker. Roughly 20 percent of the workforce is paid at the lower, hourly scale — less than Fiat Chrysler Automobiles’ 40 percent and Ford’s 27 percent.
The union represents 52,700 workers at GM.
United Auto Workers at Fiat Chrysler Automobiles plants voted to overwhelmingly approve a contract with the automaker three weeks after turning back its first proposal, the union reported.
According to a statement posted on the UAW’s website, 77 percent of hourly production, 72 percent of skilled trades and 87 percent of salaried bargaining unit workers approved the contract.
Fiat Chrysler Automobiles may double the amount of temporary workers it uses under a new deal negotiated with the United Auto Workers, Bloomberg reported (via Automotive News).
The negotiated terms include a provision for the automaker to use the workers any day of the week, instead of the previously allowed Monday, Friday and weekend shifts.
According to the report, the terms may have been negotiated as a way to keep labor costs lower and offer more workers raises. Temp workers are hired at rates lower than any of the tiered-pay scales. Temp workers can be terminated at any time by the automaker.
United Auto Workers at Fiat Chrysler Automobiles facilities will vote next week on a newly proposed contract to cover 40,000 workers, the Wall Street Journal reported.
Workers will have until Oct. 20 to review the proposed deal, which was reached last week before a threatened strike. According to the report, workers will vote on the deal Oct. 20-21. Roughly 65 percent of workers reportedly voted down the first deal between the automaker and the UAW because of concerns over its tiered pay structure, health care co-op and lack of communication from union leadership. (Read More…)
Bloomberg reported (via Automotive News) Thursday that a proposed contract brokered Wednesday night between the United Auto Workers and Fiat Chrysler Automobiles would raise Tier 2 workers’ pay to $29 per hour, up from $25 per hour, after an eight-year, “grow-in” period.
The separation between the two classifications of union employees — veteran Tier 1 and more recently hired Tier 2 — was a major point of contention for the workers, who voted down the proposed contract last week by a margin of nearly 2-to-1.
Roughly 40 percent of FCA’s union employees are Tier 2 workers, a much higher proportion than General Motors and Ford. On average, those employees are paid $9 to $12 less per hour less than workers hired before the recession. The proposed contract, according to the report, would not eliminate the tiered system, but instead bring closer the two pay scales. The contract also wouldn’t cap the number of Tier 2 workers hired by the automaker.
… it’s probably dead.
The Detroit Free Press reported that the deal appears to be mathematically impossible after several large locals voted down the proposed contract this week.
The margins of defeat have been growing since Mopar and axle operators workers voted down the proposal by just over 50 percent and 65 percent last week, according to reports. Workers in Toledo, which builds the Jeep Wrangler and may lose the Cherokee to Sterling Heights, Michigan in order to build more Wranglers, voted overwhelmingly against the proposal; 87 percent declined the contract according to the Free Press.
Union workers at Fiat Chrysler Automobiles plants say that the contract, which does not specify production sites or moving plans — such as shifting truck and car production — doesn’t assuage concerns that more jobs will be lost to Mexico.
Hourly employees at FCA’s stamping facility in Sterling Heights and parts operation in Warren, Michigan aren’t exactly thrilled with the deal they’ve been presented.
According to The Detroit News, more than half of hourly workers at the two locations have voted “no” to the new contract.
Detroit parts and axle operations workers Wednesday voted against a four-year contract proposed by the United Auto Workers and Fiat Chrysler Automobiles, the Detroit News reported.
About 700 Local 1248 workers in Warren, Michigan, turned down the proposal and said Wednesday that the contract created a third, unfair pay tier for Mopar workers that would cap their wages at a lower rate than Tier 1 and Tier 2 workers at FCA.
Under the proposed contract, veteran Tier 1 workers could receive pay raises up to $30 an hour, and newer, Tier 2 workers’ pay could go up to $25 an hour. Parts and axle operations workers pay would top out at $22 and $22.35 per hour, respectively.