UAW Ratifies Contracts with all Detroit 3 Automakers

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Filed under Automotive, Ford, GM

The United Auto Workers (UAW) has successfully ratified contracts with all three major Detroit automakers, namely Stellantis, Ford, and General Motors. However, the level of support for the contracts varied among the automakers, with Stellantis and Ford receiving broader approval from workers compared to General Motors.

The ratification process saw Stellantis and Ford agreements garnering significant support, with both contracts leading by a substantial margin—68% to 32%. Notably, Ford’s Dearborn Truck Plant and Rouge Electric Vehicle Center in Michigan reported an overwhelming 78% approval from workers, resulting in a considerable lead of more than 12,000 votes.

Similarly, the Stellantis deal was ahead by 9,653 votes, reflecting over 70% support from workers at the automaker’s two Detroit assembly plants. However, it’s worth noting that some local unions, particularly those associated with Mopar parts depots slated for closure and the Toledo Assembly Complex in Ohio, rejected the contract.

In contrast, the UAW’s contract with General Motors faced more resistance, ultimately passing with a narrower margin of 55% to 45%. The GM agreement saw opposition from the majority of workers at seven out of its 11 U.S. assembly plants.

All three contracts share common elements, including a 25% pay raise through April 2028. Upon ratification, most workers receive an 11% raise and a $5,000 bonus. Additionally, the contracts reinstate cost-of-living adjustments, coupled with the raises, contributing to an expected overall increase in worker pay of more than 30%. These deals also bring about significant changes, such as reducing the time required to reach top wages from eight years to three, eliminating lower pay tiers for certain workers, increasing vacation time, and boosting retirement contributions.

UAW leaders emphasized that the value embedded in each year of the newly ratified agreements surpasses that of the entire four-year contract signed in 2019. As part of the negotiated deals, the union also secured some back pay for members who participated in strikes.

The ratification process unfolded in chronological order, with Ford being the first to reach a tentative agreement on October 25, followed by Stellantis on October 28 and General Motors on October 30. Notably, Stellantis reportedly increased the value of its contract offer significantly after a strike initiated on September 15.

As the contracts have been ratified, the UAW, Stellantis, and Ford declined to comment until all votes were tallied, signifying a significant milestone in labor negotiations within the automotive industry.


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