US Automakers Haggling With Union

Posted September 23rd, 2011 at 12:19 pm (UTC-5)
Leave a comment

The United Auto Workers union is haggling with the three major U.S.-based automakers over wages and working conditions for its 113,000 members.

Talks with each company are in different stages.

The UAW says it is set to begin “high level financial talks” with Ford on Monday.

Ford is the only major U.S. automaker that avoided bankruptcy during the financial crisis. Rivals General Motors and Chrysler had to be rescued by emergency government loans. In order to win the government aid, the union had to promise not to strike GM and Chrysler.

Workers and management at Chrysler recently agreed to extend their current contract for a few weeks to allow talks to continue. Newly hired workers are paid about half the hourly wage given to veteran employees. A news report says the talks have stalled over union demands to limit the number of workers at the lower wage.

Meanwhile, General Motors' workers are voting on a tentative deal that gives them a share of profits rather than an annual pay raise.