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UAW Modifies Ford Motor Contract

Changes include a no-strike clause and a six-year wage freeze.

by on Oct.13, 2009

More give backs on the way at loss making Ford.

More give backs at loss making Ford.

The United Auto Workers has finalized a tentative agreement with Ford Motor Company with additional modifications to the 2007 national labor agreement between the UAW and loss making Ford that expires in 2011.

It was the latest setback for a once proud organization that established many if not most of the benefits that the diminishing middle class holds dear. (Click here for a discussion of the current state of the union.)

The tentative agreement, if endorsed by the UAW’s Council, is subject to ratification by UAW Ford workers, said President Ron Gettelfinger and Vice President Bob King, who directs the union’s UAW Ford Department.

Ford officials said the new deal, which likely requires additional givebacks to the 2007 UAW-Ford national labor agreement, would help Ford improve its current and long-term competitiveness in the United States.

“We will not discuss details of the agreement until after the ratification process is complete,” Ford said in a statement.

The UAW and Ford reached agreement on the present four-year contract in November 2007 and agreed on modifications in February 2009, Ford spokesperson Marci Evans said.

No Dues!

No Dues!

Union sources said Ford is offering more work at various plants and $1,000 bonuses in exchange for contract changes that will bring its current labor pact in line with those implemented at General Motors Corporation and Chrysler Group LLC when they filed for bankruptcy. Both have since emerged from bankruptcy with lower labor costs.