(WXYZ) — The UAW-GM contract has been ratified and the strike has officially ended on day 40.
United Autoworkers members have ratified a new four-year contract that covers employees at 55 UAW-represented sites across the U.S. Union and management inside the GM world headquarters in Detroit are watching the numbers and the union is reporting out two votes – production and skilled trades.
"We delivered a contract that recognizes our employees for the important contributions they make to the overall success of the company, with a strong wage and benefit package and additional investment and job growth in our U.S. operations," said Mary Barra, GM Chairman and CEO. "GM is proud to provide good-paying jobs to tens of thousands of employees in America and to grow our substantial investment in the U.S. As one team, we can move forward and stay focused on our priorities of safety and building high-quality cars, trucks and crossovers for our customers."
Big assembly plants in other states have been influencing the vote, with most leaning toward "yes."
“General Motors members have spoken,” said Terry Dittes, UAW Vice President and Director of the UAW-GM Department. “We are all so incredibly proud of UAW-GM members who captured the hearts and minds of a nation. Their sacrifice and courageous stand addressed the two-tier wages structure and permanent temporary worker classification that has plagued working class Americans.”
Workers at the Orion Assembly plant were among the last to have informational meetings and vote Thursday.
We've reached an agreement with the UAW that recognizes our employees for the important contributions they make to the success of the company. Our new four-year labor agreement provides employees with a world-class wage, benefit & profit-sharing package. https://t.co/KijJWZKIRo pic.twitter.com/LfJHOzuof8— General Motors (@GM) October 25, 2019
They will get wages increases, lump sums, the cap on profit sharing lifted, a path for lower-paid workers to reach the top tier and a signing bonus to more than makeup for lost wages.
Details of the agreement include:
- 3% wage increases or 4% lump sum payments in each of the four years of the contract
- Retention of world-class health care coverage, preserving the current 3% cost to employees
- An $11,000 contract signing bonus for regular employees, and $4,500 for temporary employees
- Enhanced employee profit-sharing, including no cap on our employees' ability to share in the company's profits
- A clear path for temporary employees to transition to permanent employment after three years of service, beginning in January 2020 for eligible employees with accrued time.
GM's planned investments of $7.7 billion in the U.S. include:
- The opportunity to bring an all-new electric pickup truck assigned to Detroit-Hamtramck Assembly – securing the future of the plant and creating the potential for future new products to be built in the city of Detroit.
- More than $4 billion for additional vehicle programs and existing facility improvements across its U.S. plants.
Additionally, GM is moving forward with opportunities for future investments and job growth in Mahoning Valley in Ohio. These investments are outside the national agreement:
- An opportunity to bring battery cell production to the area, which would create 1,000 manufacturing jobs
- The sale of the GM Lordstown complex to Lordstown Motors Corp., a new company that plans to build electric pickups for commercial fleet customers. Lordstown Motors Corp. plans to create 400 manufacturing jobs initially.
GM will still close three plants out of the four it intended to close.
Detroit-Hamtramck will remain open and eventually build an all-electric truck and van. Workers here have produced the Chevy Volt.
A group of @UAW workers outside the Warren Tech Center get the news via phone the 40 day strike at @GM is officially over. “It’s time to go home” they say. They’re back at work on Monday @wxyzdetroit pic.twitter.com/4IN2EEx611— Jenn Schanz (@JennSchanzWXYZ) October 25, 2019
GM will invest $3 billion and the transformation could mean the plant is idle for some time.
“This is good news for our working families and our economy,” Gov. Gretchen Whitmer said in a news release. “Michiganders are some of the hardest working people in this country, and they deserve to be treated with respect. I was proud to stand with the UAW as they negotiated for more American jobs, better wages, and good benefits, and my administration is committed to continuing our work to close the skills gap and protect hardworking Michigan families.”
Some workers will begin back at work this weekend, while others will start back on Monday.