GM has released a new proposal in the ongoing labor contract negotiations with the United Auto Workers (UAW). Highlights include a 16-percent wage increase, additional paid time off, and other benefits. In response, however, UAW President Shawn Fain called the proposal “insulting.” The current labor contract is set to expire September 14th.
GM released the latest labor contract proposal on its website dedicated to detailing progress in the ongoing contract negotiations. The proposal announcement included a brief video presented by GM Executive Vice President, Global Manufacturing, Gerald Johnson, as well as GM President Mark Reuss.
Highlights of the proposal include are as follows:
For All Employees:
- Recognition of Juneteenth as a paid holiday (16 to 18 paid holidays annually)
- $5,500 ratification bonus
For Temporary And In-Progress Employees:
- 56-percent wage rate increase for current entry-level in-progress employees
- 20-percent wage increase ($20 per hour) for current temporary employees
- Elimination of two progression steps, reducing time to max wage by 25 percent, provides double-digit wage increase for in-progression employees at beginning of contract
For Most Employees (at max wage rate):
- 10-percent increase in wages, with two additional 3-percent lump sum payments for a total increase of 16 percent
- $6,000 one-time inflation-recognition payment
- $5,000 in inflation-protection bonuses over the life of the agreement
“I’d like to say this to our team members in closing – we want this offer and the dialogue that follows with our UAW bargaining committee to send a clear signal that the goal remains the same – an agreement that moves us all forward as a unified, motivated, and competitive team,” Johnson states in the most-recent proposal video.
In response to GM’s proposal, UAW President Shawn Fain issued a statement published to the UAW website.
“After refusing to bargain in good faith for the past six weeks, only after having federal labor board charges filed against them, GM has come to the table with an insulting proposal that doesn’t come close to an equitable agreement for America’s autoworkers,” the statement reads.
The UAW filed an unfair labor practice charge against GM last week.
Fain added that “GM either doesn’t care or isn’t listening when we say we need economic justice at GM by 11:59 p.m. on September 14th. The clock is ticking. Stop wasting our members’ time. Tick tock.”
UAW members voted overwhelmingly in favor of strike authorization last month.