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2024-09-08 Update From: AutoBeta autobeta NAV: AutoBeta > News >
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The workers' union (UAW), which has lasted nearly three weeks, has eased the GM strike and the two sides are close to reaching an agreement, leaving negotiations on salaries and pensions, according to people familiar with the matter quoted in the media.
Since the strike broke out on September 16, the United Auto Workers Union (UAW) launched a nationwide strike of 49000 workers due to the failure to reach a consensus on employee posts, pay and benefits, which brought many GM plants to a standstill.
According to people familiar with the matter, the two sides have agreed on most key issues, including health care reform, which does not count as the biggest impact of the strike. At present, there are still two main sticking points, one is the employee pension plan and shortening the time it takes for junior employees to earn $28 an hour. In addition, the biggest problem facing GM is how to get temporary workers to find a solution to the problem of full-time jobs.
GM has responded by offering substantial offers, including higher wages and factory investment, which will increase factory investment by $7 billion, create 5400 new jobs, provide higher profit sharing, and provide leading national health benefits. And $8000 per person in contract rescheduling compensation.
As a result of the ongoing GM strike, about 10,000 non-union workers in North America have lost their jobs, resulting in the closure of 33 manufacturing plants and 22 parts distribution warehouses in nine states.
The jobs of more than 3700 GM's non-union employees have been suspended. More than 1200 other non-union workers were also temporarily laid off in the United States and Canada, including about 525 hourly workers in Ohio and 700 hourly workers in Canada.
October 2 news, the impact of the strike on General Motors is still expanding. Some factories have been shut down because of a lack of parts from striking factories. GM also plans to suspend production at a plant in Mexico and temporarily lay off more than 6000 workers.
Wages, job security and pensions are still being negotiated, Terry Dittes, vice president of the UAW, said in a letter on Friday. However, the two sides reached broad consensus on many issues that need to be finalized.
The strike will cost GM up to $100 million a day in production costs. According to analysts, the strike has cost GM more than $1 billion, and even if the strike is coming to an end, GM will not be able to recover it in the fourth quarter.
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