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GM Authority

GM UAW Workers To Receive Slightly Lower Profit-Sharing Checks In 2024

Back in January 2023, GM Authority reported that General Motors’ hourly workers received a profit-sharing check of $12,750 per worker, the highest in The General’s history. Now, workers represented by the UAW union will receive another near-record profit-sharing check, albeit just slightly lower than last year.

According to a report from Detroit Free Press, approximately 45,000 U.S. hourly workers will receive a profit-sharing check of up to $12,250, before taxes. This stands as the second-highest payout since 2016, when it amounted to $12,000 per employee.

Photo of GM Renaissance Center.

For reference, the formula for determining the amount of money granted to GM workers is $1,000 for every $1 billion in annual earnings before interest and taxes, or pre-tax profits in North America. Checks will start being sent out in late February 2024.

In order to be eligible for the full payout of $12,250, hourly employees must have accrued 1,850 compensated hours or more over the course of the 2023 calendar year.

It’s worth noting that The General’s UAW-represented temporary employees, along with those at battery facilities across the United States, are now eligible for profit-sharing checks for the first time ever under the new national agreement the union has with General Motors.

As a reminder, GM and the UAW union reached a tentative agreement back in October 2023, and ratified the same contract the following month. Over the course of the union-wide strikes, it’s estimated that the Detroit-based automaker lost $1.1 billion, and had a loss of production amounting to roughly 95,000 units, with the vehicles like the Chevy Colorado, GMC Canyon, Chevy Traverse, and Buick Enclave bearing the brunt of the impact.

As such, General Motors issued revised earnings guidance for the 2023 calendar year, as well as a $10 billion accelerated share repurchase program intended to increase the company’s common stock dividend by 33 percent.

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As a typical Florida Man, Trey is a certified GM nutjob who's obsessed with anything and everything Corvette-related.

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Comments

  1. Chevrolet Making America great again!

    Reply
  2. Well,when you raise the price of vehicles, to pay for a higher UAW contract,you sell less and also make less profit DUH !

    Reply
    1. The prices have been rising for almost a decade way before this contract, the contract has nothing to do with the price of your vehicle.

      Reply
      1. It’s weird how the price of UAW produced vehicles seem to be exponentially increasing in price over the last two decades and yet non-union companies, like Tesla, don’t reflect this trend.

        The slow-bureacratic process of managing a company in concert with unions simply hurts their ability to adjust. Most of these large UAW manufacturers went towards whatever the opposite of vertical integration is and I’m sure a lot of that had to do with keeping certain things outside of the grasp of the UAW.

        Reply
  3. Well, lets think about this for a minute. The UAW went on strike & SHUT DOWN production, which pushed back the 2024 model year! Don’t you think that might effect the profit sharing? Less profits = less sharing!
    Sure, GM still made a boat load of money, for the year. That doesn’t mean that the striking UAW should not have their profit sharing checks effected. They should be thrilled their checks didn’t suffer that much because of it.

    Reply
    1. Why would they suffer? It just said the formula is a 1000 for every billion, GM and the UAW still made money.

      Reply
  4. So thats 12.5k on top of what average salary?

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  5. Something tells me they are way ahead with the raise. The loss was 500 on profit sharing. I thought the raise was in the thousands, plus the raise will be there for years to come. UAW did a good job negotiating, they got quite a bump. And the non-union shops should send chocolates, as they all got raises because of the UAW raise. Union bashing in 3… 2…. 1….

    Reply
    1. I had 35 years service when I retired in 2006 and I receive $1200 a month, GM overpaid me and they are taking it back each check, the employees profit sharing check is almost as much as I get all year.
      The 450,000 retires are a forgotten group by GM, the other union shops and especially their union. We should all forget about buying their products. No raises of any kind, no COLA, and no profit sharing…..oh sorry I did get $500 this year, the only money since 2006. Like big dummy I have never driven anything but GM

      Reply
      1. Wow shame on you for being loyal to a profit hungry company. Hopefully you start shopping around and buy something besides a GM Vehicle. 🫣🫣

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        1. All companies are profit hungry, that’s the main job..make money!!

          Reply
      2. Join the club! Virtually all retirees are forgotten once we’re out the door. If we’re lucky enough to have a pension, the lack of COLAs plus the health care costs going up reduce the pension so much, you barely scrape by. Throw in all the other crapola going on, & it’s no wonder people are pizzed off!!!!!!

        Reply
  6. GM has to pay for the new contract.

    Could be like UPS who got a new big deal and now 12,000 are being cut.

    Reply
    1. Yeah all due to the Teamsters screwing them over.

      Reply
  7. They should share profits with those working at dealers who have to fix the subpar work they do building them.

    Reply
  8. Just under last years record profit? Looks like the UAW contract isn’t going to bankrupt the company after all. GM doesn’t struggle to adapt due to dealing with the UAW. It’s called poor management.

    Reply

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