UAW reaches agreement with Mack Trucks -- implications for auto contracts?

https://www.reuters.com/business/autos-transportation/uaw-workers-get-19-wage-hike-under-mack-trucks-contract-deal-2023-10-05/

“Workers will receive a 19% pay hike over five years under an agreement with Volvo Group-owned Mack Trucks and the United Auto Workers, according to a summary of the tentative agreement seen by Reuters.”

“a $3,500 ratification bonus, improved retirement benefits, additional vacation for some employees and a reduction in the time needed to get to top pay. The agreement includes an immediate 10% pay hike upon ratification.”

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UAW President is on right now, announcing that GM has agreed to make their US EV battery plants UAW shops. The union was threatening to strike GM’s biggest money making plant, Arlington TX.

Steve

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Tesla will be on the agenda very soon. Give it a few months.

Well that certainly undercuts one political view that EVs will be the death knell of the UAW.

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Removing union shop content from their vehicles has been a plan for a long time. GM and Ford, in particular, made a lot of parts in house. Years ago, those parts operations were spun off as Delphi and Visteon, so that GM and Ford could switch to non-union/ChiCom parts vendors. Delphi and Visteon soon went bankrupt.

What the automakers were trying to do with the battery plants was the equivalent of building new engine or transmission plants and claiming they could be non-union. A clear non-starter with the union.

Steve

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About 73% of workers voted against the deal covering 4,000 workers in Pennsylvania, Florida and Maryland, the UAW said.

The proposed deal had included a 19% pay hike, a $3,500 ratification bonus, improved retirement benefits, additional vacation for some employees and a reduction in the time needed to get to top pay.

DB2

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The times they are a changing.

We need a well-paid workforce to build this country.