UAW provides details of pact with GM

[Deep Gloss Auto Salon]

DETROIT -- UAW officials today distributed details of their tentative agreement with General Motors to local union presidents.

During a press conference at UAW headquarters here after those meetings, UAW President Ron Gettelfinger said the agreement has “unprecedented product guarantees” and a moratorium on outsourcing.

Here are official details on the tentative agreement between the UAW and GM:

GM agrees to new-vehicle programs at 16 U.S. plants.

GM would initially fund the UAW’s health care trust fund with $29.9 billion with an additional $5.4 billion in future years.

GM would provide the trust an additional backstop of as much as $1.6 billion over the next 20 years.

Workers get a $3,000 signing bonus to approve the contract.

Instead of pay raises, UAW rank and file get bonuses equal to 3 percent, 4 percent and 3 percent of their annual pay during the second, third and fourth years of the contract.

New hires in noncore, nonproduction jobs would get paid between $14 and $16.23 an hour.

New hires get a 401(k) plan instead of the traditional UAW pension plan.

GM agreed to bring in-house 3,000 jobs that now are outsourced to contractors.

GM agreed to hire 3,000 temporary workers as full-time hourly employees.
I am really excited for the future of the domestic OE's with this "tentative" GM agreement...

I honestly hope that they can become healthy and play on "equal ground" with the imports.

I have been on the line and now sit behind a desk (in the automotive industry) so I understand the "ups and downs" of each

[ScottB]

they gave alot more than initially thought ... it is likely to show with lower values on stock in the short term. I do feel they are on the right track and starting to make the playing ground more even with "other" companies. Now keep up the strong new products, keep customer service and build quality up and we might see a company truly become quite solid during the following years.