The United Auto Workers (UAW) is proud to announce that its autoworkers have officially ratified a new contract that will go into effect on September 14, 2020. The union, which represents some 160,000 autoworkers employed by General Motors, Ford, and Fiat Chrysler, has been negotiating for months to reach a deal that is agreeable to all parties.
The new contract is the result of months of hard work between representatives of the union and the Detroit automakers. The negotiations included discussions on wages, health care, job security, and other aspects of the workplace. Finally, on August 15, the UAW and the three automakers reached an agreement that both sides could accept.
The newly ratified contract will be in effect until September 14, 2021. It will provide workers with a 3% raise for each of the first two years and a 4% raise for the third year. In addition, autoworkers will receive a $9,000 signing bonus, which is double the amount offered in the previous contract. Other advances include improved working conditions and job security guarantees.
The contract is also notable for giving autoworkers protection from the potential effects of technological advances. Under the new agreement, the companies have agreed to establish a National Training Center, which will offer assistance to the employees who may lose their jobs as a result of automation.
The new contract was approved by an overwhelming majority of UAW members, with more than 90% voting in favor of its ratification. Tom Wroblewski, UAW’s president, said, “This contract provides job security, improved wages and benefits, and a path forward to a better future for our membership. Above all, it brings stability to our industry for the next four years.”
The newly ratified contract is a victory not only for the UAW, but also for the Detroit automakers as it now provides them with a stable labor agreement until 2021. This will help both sides continue to build on the progress made over the years and continue to move the industry forward.