Business
UAW Strike to End Following Tentative Deal with General Motors
The United Auto Workers (UAW) and General Motors (GM) have reportedly reached a tentative agreement, meaning the labor union will end its strike against the Big Three. Similar agreements had been reached by the UAW with Ford and Stellantis in recent days.
Speculation that the UAW and GM had struck a deal began to circulate on Monday. The agreement resembles many aspects of the union's contract with Ford, which calls for base pay increases of 25% through April 2028, according to the information that is currently available.
In addition, the agreement restores benefits that GM's auto workers had not received since the Great Recession, including wage progression over three years, cost-of-living allowances, and the removal of wage tiers for union employees.
The UAW's steadfast demands for increased pay for autoworkers at GM's Ultium Cells facility in Warren, Ohio, which makes batteries for electric vehicles (EVs), are arguably the most noteworthy. The auto workers were relocated to the plant, and their pay was nearly cut in half, from $30 per hour to just $16.50, as long as the union leadership continued to protest.
Ultium Cells' auto workers will receive pay increases of 11% as a result of the agreement. When positions become available, auto workers will also be able to move to EV production or battery plants.
The UAW's agreements with Ford and Stellantis also resulted in cost-of-living increases, a 25 percent base pay increase through April 2028, and an incremental right to strike for autoworkers each time an automaker closes a plant.
How auto workers will fare in the face of President Joe Biden's EV mandates for the auto industry is still up in the air.
Recently, auto executives from several companies announced that they were postponing or reversing their plans to quickly comply with the administration's green energy agenda. This decision was made because Americans are becoming less and less interested in electric vehicles.
For a while now, auto workers have been warning about Biden's quick switch to electric vehicles. Since producing EVs requires far less labor, the US is forced to rely on China for vital raw materials needed to produce the batteries for the cars.
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