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Delay in UAW-GM deal stirs tension between workers

In a statement released Friday, UAW President Dennis Williams said that based on the feedback from skilled trades members, he has “determined that further discussion with the company was needed”.

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The agreement closely mirrors the UAW’s contract with General Motors Co., which was approved by a majority of workers but is being held up by opposition from skilled-trade employees. “Estrada understand this really has been a long and hard procedure, but it’s significant we address these significant problems raised by the skilled trades”. “We remain committed to obtaining an agreement that is good for employees and the business”. However, the attempt stalled in the day when additional clarification was sought by the union on contract language from GM over skilled trades workers’ concerns.

UAW Local 900 President Bill Johnson said 81 percent of those who voted at the MI Assembly Plant in Wayne supported the new four-year contract.

Management also in the past four to eight years has been able to assign skilled trades workers to the production line.

This is the second time since 2011 when skilled trades rejected a national agreement that a majority of all workers at a Detroit automaker approved. It’s likely that GM workers wanted this number to be greater given GM’s larger size and profitably. It has deferred implementation of raises in their hourly wages, but spokespeople for both GM and the UAW, said workers will not lose money once the matter is resolved. During a conference call Thursday, Estrada told local union officials that she was going to ask the board to ratify the tentative agreement, assuring them that many of their objections could be worked out locally, according to two people who were on the call. The process has already delayed payment of a $8,000 signing bonus to each of about 52,700 hourly workers at about 40 GM locations. The tradespeople are also upset that they are ineligible for a $60,000 early retirement incentive that is being offered to senior production workers.

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The labor deal, which must be ratified by union rank-and-file workers, will result in new vehicles, engines, and transmissions, plus a commitment from Ford for 8,500 new or secured jobs. For instance, entry level production workers now paid between $15.78 and $19.28 per hour would see their wages increase to between $17 and $22.50 per hour and would eventually earn about $29 per hour.

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