UAW Sets Sunday Night Deadline For Pact With GM, Strike Possible

[Purveyor]

Source: Reuters

Sat Oct 24, 2015 5:20pm EDT

The United Auto Workers union set a Sunday night deadline for General Motors Co (GM.N) to agree to a new four-year contract, setting up a possible strike of GM's U.S. operations.

The current contract will expire at 11:59 p.m. ET on Sunday (0359 GMT Monday). The union could tell its 52,700 GM members to walk off their jobs at that time. However, if the union's negotiators believe there is progress toward an agreement, the deadline can be postponed.

GM and the union have been in talks since July and have for the last several days intensified negotiations to reach a deal. The UAW and Fiat Chrysler Automobiles NV (FCAU.N) (FCHA.MI) have a new contract that goes into effect on Monday, while Ford Motor Co (F.N) has yet to enter intensified talks with the union.

In a statement, GM responded: "We are working with them to address the issues and remain committed to obtaining an agreement that is good for employees and the business."

Read more: http://www.reuters.com/article/2015/10/24/us-autos-uaw-idUSKCN0SI0SN20151024

[Hoyt]

1. GM and UAW putting on a show before signing the new contract.

[forest444]

2. I certainly hope you´re right (and you probably are).

A protracted strike in a high profile industry like autos is the last thing Democrats need, so close to 2016.

[KentuckyWoman]

3. I love it when GM / Ford / Chrysler whine about labor costs

They tout an average hourly labor cost of $50+ an hour but fail to add that includes the rate of salary employees based on 40 hrs.


In 2014 including bonuses and stock options.....

Toyota CEO made $2.84 Million
Ford CEO made $23.2 Million
GM CEO made $16.2 Million


I remember in 2008 when GM was screaming about it's legacy costs of $5 Billion a year. They wanted to ditch hourly retiree pensions. Once the books were audited it was learned the HOURLY pension benefits were already paid for and then some. The trust that hourly legacy costs were paid from had enough in it to pay out in full for 100 years. What was killing them? Underfunded salary legacy costs.

Next thing you know the CEOs are summoned to Congress to explain themselves. As part of restructuring at GM the UAW agreed to take over the risk of retiree medical care benefits and VEBA was created. Ford joined in to get those costs off their books.

So basically, both companies were suffering because the US does not have single payer universal medical care.

[Skeeter Barnes]

4. They don't want the obscene 8 year wage progression the Chrysler workers agreed to

and I don't blame them. Damn near a third of a 30 year career waiting to reach top out pay is bullshit.

Hartman said workers at the Fort Wayne plant were pleased that the Fiat Chrysler deal ratified this week gave a clear path for workers hired after 2007 to reach top pay. But, he said, they want it to take four years not eight from hiring to reach top pay, which will be about $30 per hour by the end of the four-year Fiat Chrysler contract.

"GM being in a different (more profitable) position than Chrysler, our members are looking for a bigger pie, not a bigger piece of the pie," Hartman said, referring to words of Walter Reuther, UAW president from 1946 to 1970.

I'd vote to strike over the 8 year wage progression alone no matter what issues are still being negotiated.