The Detroit Big Three are expected to hand out a record-setting $800 million in profit sharing checks to 130,000 hourly workers, providing an economic boost in states laden with UAW-represented workers. Last year, 125,000 workers shared in $780 million in profits, which was the previous record.
The economic impact in Michigan alone exceeds the combined impact of Super Bowl XL in 2006, Major League Baseball’s All-Star Game in 2005 and the National Hockey League’s recent Winter Classic: all events that metro Detroit has hosted in recent years, according to the Detroit News. Other states, such as Ohio and Texas, are also expected to see a significant uptick as well due to the significant number of UAW employees there.
While individual amounts given to each worker are expected to exceed last year’s totals, not all employees are pleased with the results because the automakers’ earnings are expected to take a big jump this year compared with last year. (more…)