UAW reaches tentative deal with Stellantis and GM

The United Auto Workers union has reached a tentative deal with General Motors, the last of Big 3 Detroit automakers, according to multiple reports.

The deal, announced the morning of Monday, Oct. 30, would seemingly put an end to the six-weeklong strike by the autoworkers.

The UAW reached a tentative deal with Chrysler’s parent company, Stellantis, over the weekend. Forty-four days into the UAW “Stand-Up Strike,” 14,000 Stellantis workers on the picket line returned to work.

The deal, which still needs to be voted on by 43,000 union members, mirrors an agreement between Ford and the union and includes a 25% pay increase over the next 4 1/2 years, including an 11% increase as soon as the deal is ratified.

Check out some of the details of the tentative agreement at Stellantis… 🧵 #StandUpUAW pic.twitter.com/Vktd5KcI2y

— UAW (@UAW) October 28, 2023

The union said the tentative agreement not only saves 5,000 jobs Stellantis was planning to cut, but also adds 5,000 jobs. According to the union, the deal saves jobs at a plant in Belvidere, Illinois that Stellantis had planned on closing.

The plant, which the company took steps to close in February, re-hired about 1,200 union members, and will start making a new mid-size truck, according to the union.

“Stellantis more than doubled the total value of the proposals they had on the table.”

UAW President Shawn Fain

UAW President Shawn Fain announced the tentative deal on social media on Saturday, Oct. 28.

“Once again, we have achieved what just weeks ago we were told was impossible. The power of the ‘Stand-Up Strike” cannot be understated,” Fain said. “Over the 44 days we were on strike, Stellantis more than doubled the total value of the proposals they had on the table.”

We have a tentative agreement at Stellantis. #StandUpUAW pic.twitter.com/NsVL6w77WN

— UAW (@UAW) October 28, 2023

The agreement, if ratified, would run through April 30, 2028. According to UAW Vice President Rich Boyer, the union won $19 billion worth of investments across the U.S.

Hours after the Stellantis agreement, the union expanded its strike against General Motors, added a walkout at a Tennessee plant. The expansion brought the total number of GM workers on strike to roughly 18,000.

In a statement, GM said it was disappointed in UAW’s call to expand its strike, adding that the company has bargained in good faith and hopes to reach an agreement. Just two days later, a tentative deal between the union and the last of GM was reportedly reached.

The deal with GM, yet to be ratified, includes 25% wage increases, like that of the other two tentative deals.

President Biden weighed in on the tentative agreement between the union and Stellantis on social media saying, “It’s a testament to the power of unions and collective bargaining to build strong middle-class jobs and help our nation’s most iconic companies thrive.”

I applaud the UAW and Stellantis for reaching a historic agreement that guarantees workers the dignity and respect they deserve. It’s a testament to the power of unions and collective bargaining to build strong middle-class jobs and help our nation’s most iconic companies thrive. pic.twitter.com/OkvNkLsMNA

— President Biden (@POTUS) October 29, 2023

The strikes have cost the Detroit Big Three automakers billions of dollars in lost production. On Thursday, Oct. 26, Ford declared that it alone lost $1.3 billion due to the strikes, and the new deal, if ratified, will cost the company an additional $850 to $900 in labor costs for every vehicle produced.