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GM, UAW Reach Tentative Agreement That Could End Strike

By
Chris Morris
Chris Morris
Former Contributing Writer
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By
Chris Morris
Chris Morris
Former Contributing Writer
Down Arrow Button Icon
October 16, 2019, 12:04 PM ET
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General Motors and the United Auto Workers have reached an agreement that could end the month-long strike.

The deal, which likely won’t be finalized for weeks, reportedly would see the union’s 48,000 members receive raises and bonuses. Exact details were not released. Also unclear is when workers will begin returning to their jobs. Union officials say they will decide Thursday whether to resume work or stay on strike until members ratify the treaty.

There have been signs in the past few days that the two sides were getting close to a deal.

The UAW says it has been trying to stop the closure of four plants in Michigan, Ohio, and Baltimore. It also wanted pay raises for entry-level workers. And it has said health care is a priority for workers. The union was also looking for paths for temporary workers to become permanent and to close the wage gap between them and permanent employees.

GM, at the offset of the strike on Sept. 16, said it had offered the union over $7 billion in investments and pledged to add another 5,400 jobs. It also said it was offering wage increases for all four years of the deal, an $8,000 signing bonus per member, an improved profit sharing formula and “solutions” for two assembly plants that are scheduled to close.

The deal, if approved, is expected to be a model for upcoming UAW talks with Ford and Fiat-Chrysler. The UAW hasn’t said which company it will begin bargaining with next.

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About the Author
By Chris MorrisFormer Contributing Writer

Chris Morris is a former contributing writer at Fortune, covering everything from general business news to the video game and theme park industries.

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