Official details have just been released about the all-new labor agreement between General Motors and the United Auto Workers, revealing implications that will have nationwide effects. In short, the new labor agreement calls for a $2.5 billion investment from GM spread across four years, the addition of 5,100 jobs in the same time frame, while saving another 1,300. With numbers like those, plants are bound to re-open.
In addition, first-tier wage workers will now start at $15.78 and hour (up from $14.78) and can see a $3 an hour pay increase within four years, capping them at $19.28 an hour, along with a $5,000 signing bonus for new hires. The more privileged second-tier workers will see more health care benefits, such as unlimited doctor visits. Finally, an annual profit sharing plan will spread the wealth among UAW workers, giving them what essentially works out to be $1,000 per $1 billion in GM North American profits.