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UAW Ratifies Revised GM Contract

Modifications to the GM-UAW 2007 National Labor Agreement are said to eliminate the competitive gap with import plants.

by on May.29, 2009

UAW President Ron Gettelfinger

The modified agreement includes the cost and cash savings.

GM employees represented by the United Auto Workers Union have ratified the modifications to their National Labor Agreement. The amended agreement covers approximately 54,000 hourly employees located in 46 U.S. facilities.

“The leadership demonstrated by UAW president Ron Gettelfinger and UAW vice president Cal Rapson, and the hard work from the members of the GM and UAW negotiating teams, resulted in an innovative agreement that will enable GM to be fully competitive and has eliminated the gap with our competitors,” said Diana Tremblay, vice president of GM’s Labor Relations.

“We very much appreciate the support of our employees and retirees. Their shared sacrifices will enable GM to become a stronger, more viable company that will continue to deliver world-class cars and trucks.”

The modified agreement includes the cost and cash savings in the current version of the GM Viability Plan. GM claims this will enable the company to eliminate the wage and benefit gap with its competitors. It also includes changes to the agreements regarding the Voluntary Employee Beneficiary Association (VEBA) trust for retiree healthcare. The agreement also confirms GM’s plan to use an idled assembly and stamping facility for future production of a compact/small car in the United States to meet future fuel efficiency regulations.