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UAW and FCA reach new labor deal

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#1 · (Edited)
UAW and FCA Open 2019 Contract Talks


July 16, 2019 , Auburn Hills, Mich. -

UAW President Gary Jones (left) and FCA Chief Operating Officer Mark Stewart opened 2019 contract talks with a ceremonial hand shake during an event today at the Company’s Auburn Hills complex with members of both organization’s leadership teams in attendance.

In his remarks, Stewart talked about the need to find innovative ways to prepare the Company for the next four years and beyond.


“Our industry is undergoing a massive transformation – one more profound than any since cars for the masses burst on the scene more than 100 year ago,” he said. “It is a transformation driven by disruptive technologies and by society’s realization that we need to protect the environment for the next generation.”

Stewart referenced his personal experience across a variety of industries as having shown him how disruption can be an opportunity to create value for all stakeholders.
“I encourage all of us to think about this new disruption in the automotive business,” Stewart said.

He acknowledged the hourly workforce for embracing World Class Manufacturing, the Company’s production system, and fostering a culture of safety, flexibility and efficiency.

“Every day, our employees demonstrate creativity in finding solutions and rising above challenges to better themselves, support their colleagues, and provide for their families and their loved ones,” he said.

But Stewart cautioned that it is important to remember the lessons learned in bankruptcy.

“We cannot and will not repeat the actions that put us in that dangerous financial position,” he said. “We cannot return to the old ways of doing business or we risk seeing the same result.

“We are committed to negotiating an agreement that will enable continued investment in our future together and create opportunities for our employees, their families, and the communities where we live and work,” Stewart said.

The ceremony marks the official start of bargaining on a new four-year agreement, which expires at 11:59 p.m. on Sept. 14.
 
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#3 · (Edited)
UAW extends labor contracts with Fiat Chrysler

Sept. 13, 2019


Fiat Chrysler Automobiles NV and Ford Motor Co. have signed indefinite contract extensions with the United Auto Workers, according to letters dated Friday from the international union sent to local UAW leaders.

With General Motors Co. identified as the lead company in labor talks, the extension is a typical step leading up to expiration of contracts. GM's contract was not extended past the 11:59 p.m. Saturday deadline, UAW spokesman Brian Rothenberg confirmed.

LINK
 
#5 ·
No Deal: Auto workers strike against GM in contract dispute
September 16 at 1:23 AM

More than 49,000 members of the United Auto Workers walked off General Motors factory floors or set up picket lines early Monday as contract talks with the company deteriorated into a strike.

Workers shut down 33 manufacturing plants in nine states across the U.S., as well as 22 parts distribution warehouses.

It wasn't clear how long the walkout would last, with the union saying GM has budged little in months of talks while GM said it made substantial offers including higher wages and factory investments.



It's the first national strike by the union since a two-day walkout in 2007 that had little impact on the company.

GM workers joined striking Aramark-employed janitors on the picket lines Sunday night at a sprawling factory on the border between Detroit and the small town of Hamtramck.

Worker Patty Thomas said she wasn't scheduled to picket, but came out to support her colleagues at the car plant, which GM wants to close.



She's heard talk that GM may keep the factory open and start building electric pickup trucks there, but she's skeptical.



"What are they going to take away?" she asked. "That's the big issue."

She said workers gave up cost-of-living pay raises to help GM get through bankruptcy, and workers want some of that back now that the company is making profits.

Striking GM employees were joined on the picket lines by workers from Ford and Fiat Chrysler, who are working under contract extensions.

Night shift workers at an aluminum castings factory in Bedford, Indiana, that makes transmission casings and other parts shut off their machines and headed for the exits, said Dave Green, a worker who transferred from the now-shuttered GM small-car factory in Lordstown, Ohio.

LINK
 
#6 ·
No Deal: Auto workers strike against GM in contract dispute
September 16 at 1:23 AM

More than 49,000 members of the United Auto Workers walked off General Motors factory floors or set up picket lines early Monday as contract talks with the company deteriorated into a strike.

Workers shut down 33 manufacturing plants in nine states across the U.S., as well as 22 parts distribution warehouses.

It wasn't clear how long the walkout would last, with the union saying GM has budged little in months of talks while GM said it made substantial offers including higher wages and factory investments.



It's the first national strike by the union since a two-day walkout in 2007 that had little impact on the company.

GM workers joined striking Aramark-employed janitors on the picket lines Sunday night at a sprawling factory on the border between Detroit and the small town of Hamtramck.

Worker Patty Thomas said she wasn't scheduled to picket, but came out to support her colleagues at the car plant, which GM wants to close.



She's heard talk that GM may keep the factory open and start building electric pickup trucks there, but she's skeptical.



"What are they going to take away?" she asked. "That's the big issue."

She said workers gave up cost-of-living pay raises to help GM get through bankruptcy, and workers want some of that back now that the company is making profits.

Striking GM employees were joined on the picket lines by workers from Ford and Fiat Chrysler, who are working under contract extensions.

Night shift workers at an aluminum castings factory in Bedford, Indiana, that makes transmission casings and other parts shut off their machines and headed for the exits, said Dave Green, a worker who transferred from the now-shuttered GM small-car factory in Lordstown, Ohio.

LINK
 
#7 ·
FCA Statement in Response to UAW-FCA Negotiations Update


Bargaining between FCA and the UAW continues with the goal of reaching an agreement that will allow us to continue investing in our future while creating opportunities for our employees, their families and the communities where we live and work. We thank all of our employees for their continued hard work and dedication.
 
#8 ·
UAW Reaches Tentative Labor Deal With GM
10/17/2019

The United Auto Workers struck a tentative labor deal with General Motors Co. GM -1.06% on Wednesday, a critical step in ending a monthlong strike that has brought more than 30 GM factories in the U.S. to a standstill.


Union and company bargainers have been working for months to settle on a new labor contract for more than 46,000 UAW-represented factory workers at dozens of GM plants and facilities across the country.


The nationwide strike, the company’s longest since 1970, will continue for now as union-hall leaders travel to Detroit to decide whether to end the walkout immediately or continue it until the contract is ratified by rank-and-file workers—a process that could take a week or two. That decision is expected to come Thursday morning.

With U.S. auto-industry sales expected to decline in coming years, the resulting four-year contract will be pivotal in determining how both GM and the UAW navigate the market slowdown, with each side angling to lock in financial gains ahead of time.

The Detroit auto maker, the nation’s largest by sales, is coming off one of its most profitable periods in history but is cutting costs and restructuring its business to prepare for an uncertain future and hefty investments in new technologies, such as electric and self-driving cars.

The UAW wants to ensure its members not only share in GM’s recent fortunes through improved pay and other benefits, but also have a place in GM’s longer-range bet on electric cars, which require fewer parts and workers to build.

Shares of GM rose 1.1% on Wednesday, to $36.65. The stock has dropped about 6% since the strike began.

If GM workers approve the tentative deal, UAW bargainers will then turn full attention to talks at Ford Motor Co. and Fiat Chrysler Automobiles FCAU -2.30% NV, using the GM contract as a template.

SOURCE
 
#9 ·
10/25/19

Ford Motor Co. is next up to negotiate a new contract with the United Auto Workers.

UAW officials are moving to main table negotiations with the Dearborn automaker after General Motors Co. members — following a six-week strike — voted to ratify a contract that would set the pattern for UAW members at Ford and Fiat Chrysler Automobiles NV.
 
#10 ·
Ford, auto workers reach tentative deal; Fiat Chrysler talks on tap
10/31/19



Ford and the United Auto Workers have reached a tentative agreement, the union and company announced Wednesday evening after three days of negotiations.

The proposed deal includes salary and benefits gains for workers and secures $6 billion for investments at Ford’s facilities in the U.S. The union didn’t immediately release specifics on the deal.

LINK
 
#11 ·
UAW 'making progress' with Fiat Chrysler ahead of Ford ratification deadline
Nov. 12, 2019


he United Auto Workers is "making progress" in talks with Fiat Chrysler Automobiles NV, the union's FCA Department director said Tuesday in a letter to local union leaders.

The update from UAW Vice President Cindy Estrada comes ahead of a ratification vote deadline of Friday at Ford Motor Co. Ford would be the second Detroit Three automaker to ratify a contract. Once it does, the union will focus its efforts on Fiat Chrysler.

"We are making progress and if UAW Ford ratifies, Acting UAW President Rory Gamble and the President's office staff will join us next week and work to finalize the UAW FCA bargaining," Estrada wrote. "While we intend to press forward to reach an agreement it is impossible to forecast how long this will take."

Fiat Chrysler's 2015 agreement has been extended indefinitely, though either party can submit a three-day termination notice.

SOURCE
 
#12 ·
Statement Regarding UAW Moving to FCA for Bargaining


November 15, 2019 , Auburn Hills, Mich. - FCA welcomes the opportunity to move our discussions with the UAW forward in order to reach an agreement that will allow us to continue investing in our future and create opportunities for our employees, their families and the communities where we live and work.
 
#13 ·
UAW workers ratify Ford contract securing $9K signing bonus, pay raises, new product

Nov 16, 2019

DETROIT After two weeks of voting with little drama or controversy, UAW workers ratified their four-year contract with Ford by 56.3% of the vote, the UAW announced Friday evening.

The union announced the percentage without specific numbers after members finished casting votes nationally at 7:30 p.m. Eastern.

"Every Ford employee and temporary employee will be at the top-rate for full-time status at the end of this four-year agreement," said acting UAW President Rory Gamble, who is Director of the UAW-Ford Department, in a prepared statement. "This is a life changing contract for many and provides a template for all future Ford UAW members to a full-time, top-rate status. There will be no more permanent temporary situations and no more permanent tiers."

He added, "Ford's commitment to job security and assembly in the United States is a model for American manufacturers."

LINK
 
#14 ·
Fiat Chrysler near UAW deal - Bloomberg
Nov. 29, 2019 2:46 PM ET|About: Fiat Chrysler Automobiles ... (FCAU)|By: Jason Aycock, SA News Editor

Fiat Chrysler (NYSE:FCAU) is close to a deal with the United Auto Workers, Bloomberg reports, and it could come as soon as tomorrow.

The deal would match ratification bonuses of $9,000 that Ford Motor paid, according to the report, and Fiat Chrysler would agree not to close assembly plants during the contract.

It will also assign new product to a plant in Belvidere, Ill., whose fate had been up in the air after the company eliminated a third shift there.

A deal that ended a 40-day strike against General Motors included signing bonuses of $11,000.

Shares are up 3.2% after hours.

LINK
 
#15 ·
Fiat Chrysler, UAW reach new tentative labor deal

11/30/2019


Key Points
  • Fiat Chrysler and the United Auto Workers have reached a tentative deal on a new labor contract amid tumultuous times for both sides.
  • The UAW Bargaining Committee agreed to a deal with Fiat Chrysler to add $4.5 billion in investments, translating to 7,900 jobs over the course of a four-year deal, according to a UAW statement.
  • The deal comes days after resignations of two high-ranking union officials connected to an ongoing federal probe into corruption of the union that started with Fiat Chrysler.
Fiat Chrysler Automobiles NV clinched a new tentative labor contract with the United Auto Workers by agreeing to double up on a major investment in U.S. production announced earlier this year.



The Italian-American carmaker, which said in February it would spend $4.5 billion to boost output of Jeep sport utility vehicles and Ram trucks, will invest another $4.5 billion over the course of the next four years, Cindy Estrada, a UAW vice president and head of the union’s Fiat Chrysler department, said in a statement. The company will add 7,900 jobs during that span, according to the union.




Fiat Chrysler made the spending and job commitments to the union in the midst of negotiating a merger with Peugeot maker PSA Group. The companies have won over the French state in part by assuring that they can generate synergies without closing any plants. Adding production capacity amid a global slowdown in vehicle sales could be a risky gambit for the combined carmaker.




In a statement, Fiat Chrysler confirmed it had reached a deal with the UAW and said further details will be provided later. The union said its national council will meet Dec. 4 to review the tentative agreement and decide whether hourly and salary members should start voting on ratification beginning Dec. 6.



The UAW and Fiat Chrysler were close to reaching a deal that included $9,000 signing bonuses, people familiar with the negotiations said on Friday, matching what Ford Motor Co. recently agreed to pay senior workers. The union secured $11,000 ratification bonuses from General Motors Co. following a 40-day strike that ended last month.


Fiat Chrysler agreed not to close assembly plants during the life of the contract and to invest in its factory in Belvidere, Illinois, that makes Jeep Cherokee SUVs and employs almost 3,700 hourly workers, people familiar with the talks said earlier. The fate of the facility had been a subject of speculation because the company eliminated a third shift there earlier this year, dismissing more than 1,300 workers.

SOURCE
 
#16 ·
Statement Regarding FCA and the UAW Reaching Tentative Agreement


November 30, 2019 , Auburn Hills, Mich. - FCA confirms that the Company and the UAW have reached a tentative agreement on a new four-year contract. Further details will be provided at a later date.
 
#18 ·
UAW, Fiat Chrysler tentative agreement offers health-care, profit-sharing gains

Dec. 4, 2019


A tentative labor agreement reached between Fiat Chrysler Automobiles and the United Auto Workers includes health-care gains for lower-paid employees, profit-sharing increases and pathways to top wages.

The deal would help to bridge some gaps in benefits between Fiat Chrysler employees and those at Ford Motor Co. and General Motors Co., according to a union summary of the agreement obtained by The Detroit News. Local union leaders making up the UAW-FCA council are meeting Wednesday to decide whether to send the deal to the membership for ratification.

It would provide the same health insurance, including dental and vision, to lower-paid, full-time employees as top seniority employees receive, according to the summary. That means the workers would not have to pay deductibles or monthly premiums.

Temporary employees would receive prescription drug coverage. Autoworkers already pay some of the lowest total health-care costs, which is on average about 4% at Fiat Chrysler compared to 28% for the average American household.

But approval of the contract by rank-and-file members still could prove a challenge, experts have said. UAW-FCA members turned down an initial tentative agreement in 2015. Votes could begin as early as Friday.

"We are pleased to announce, thanks to your solidarity and sacrifice, we have achieved gains toward all of these bargaining priorities," acting UAW President Rory Gamble and UAW Vice President Cindy Estrada wrote in a message to UAW members. "The contract presented to you today creates a template for continuing growth and prosperity for UAW FCA members and FCA."

Health-care was a priority for leaders ahead of walking into the council meeting: "We first want to make sure it's maintained," said George Vazquez, president of Local 946 in Virginia. "We have pretty good health care. I'd like to see if we have any better benefits."

In addition to health-care gains, a cap has been removed on profit sharing. A cap also was removed in GM's contract; Ford's was removed in 2015. The agreement also would increase the profit-sharing formula — by $100 per 1% of profit margin in North America — to $900.

Like the contracts already approved this fall at Ford and GM, all seniority employees would earn top wages by the end of the agreement's four-year term. Temporary employees will have a pathway to full-time status and top wages. They will have the chance to be hired-in prior to the company hiring workers off the street, according to the summary.

These changes could be expensive to Fiat Chrysler: Lower-paid production employees represent a larger percentage of its 37,200 UAW-represented employees than at its crosstown rivals.

Seniority autoworkers would receive $9,000 signing bonuses, and temporary employees would receive $3,500 bonuses — the same as Ford's employees. After a 40-day strike, GM seniority employees received a record $11,000 bonus, while temporary workers received $4,500. In 2015, Fiat Chrysler's top seniority employees received $4,000 bonuses and lower-paid, full-time workers received $3,000.

Fiat Chrysler has committed to an additional $4.5 billion in investments and 1,400 new jobs as a part of the four-year deal, the UAW previously said. That is on top of the February announcement of $4.5 billion into five Michigan facilities, which included transforming its Mack Engine Complex on Detroit's east side into a new Jeep assembly plant. Those projects were expected to create 6,500 new jobs.

The investment is larger than Fiat Chrysler's $3.4 billion commitment in 2015 that was expected to create 103 jobs. Ford Motor Co.'s newly ratified contract includes more than $6 billion in investments that would create or retain 8,500 jobs. The Dearborn automaker will close Romeo Engine Plant. GM plans to invest $7.7 billion into its facilities, which would create or retain 9,000 jobs, according to its contract. It also was able to sell Lordstown Assembly in northeast Ohio and shutter transmission plants in Baltimore, Maryland, and Warren.

With the Italian American expanding its footprint, no assembly plants will close during the term of the contract, two sources previously told The Detroit News. No additional closures of components facilities are expected.

Like contracts at Ford and GM, skilled trades employees also would receive two $1,000 tool allowances. A retirement package of $60,000 also is being offered to employees hired prior to 2007 at Belvidere Assembly, Marysville Axle, Mount Elliott Tool & Dye and a Mopar parts and distribution center in Milwaukee.

The UAW and Fiat Chrysler struck a tentative deal Saturday, almost two weeks after discussions intensified with the automaker and after a number of "distractions," as UAW Vice President Cindy Estrada called a series of recent events related to a federal corruption investigation into the UAW that has identified Fiat Chrysler as a co-conspirator.

The deal came after General Motors Co. filed a racketeering case last month against Fiat Chrysler, but not the UAW, claiming its late CEO Sergio Marchionne had orchestrated a conspiracy, including bribes, to corrupt bargaining in 2009, 2011 and 2015 that hurt GM. Fiat Chrysler has called the claims "groundless."

The same day the lawsuit was filed, the UAW's executive board filed Article 30 charges under the UAW constitution in a move to remove UAW President Gary Jones and Region 5 Director Vance Pearson from the union. Both were on paid leave at the time and have since resigned their positions and memberships. Jones has been implicated in the federal probe, but not charged. Pearson has been charged with embezzlement of union funds, mail and wire fraud, and money laundering.

When Jones went on leave on Nov. 3, Rory Gamble, UAW vice president and director of the Ford Department, replaced him as acting president. The UAW International Executive Board is scheduled to vote on a permanent replacement Thursday.

Meanwhile, Fiat Chrysler also is in discussions to merge with French automaker Groupe PSA to create the fourth-largest automaker in the world. Talks are on track to have a memorandum of understanding in early December.

The companies have said no plants will close as a result of the merger. Most of PSA's trade unions in Europe have shared a favorable opinion on the combination, though the UAW has not commented publicly on a proposed deal reached in October.
SOURCE
 
#19 ·
New UAW-FCA Collective Bargaining Agreement Expands Commitment to U.S. Manufacturing Operations With Investment and Jobs

    • New agreement builds on Company’s success with $9 billion in investment and creates 7,900 new or secured jobs
    • FCA has created more UAW-represented jobs than any other OEM and exceeded investment commitments since 2015 agreement


December 11, 2019 , Auburn Hills, Mich. - FCA confirmed today that its UAW-represented workforce has ratified a new four-year collective bargaining agreement that builds on the Company’s commitment to grow its U.S. manufacturing operations by providing for total investments of $9 billion and the creation of 7,900 new or secured jobs.

“We wouldn’t be the company we are today without the contributions of our UAW-represented workforce, and this contract recognizes and rewards their dedication in helping us achieve that success,” Mark Stewart, Chief Operating Officer, FCA North America, said. “Working with the UAW, we are pleased to have reached a new agreement that allows us to continue our record of adding good-paying UAW-represented jobs, building strong families, investing in our communities and offering exceptional vehicles to our customers.”

Over the past four years, FCA has created 6,500 new UAW-represented jobs, more than any other OEM, and invested more than $8 billion in its U.S. operations, exceeding its 2015 commitments.

As part of the new agreement, FCA has committed to further expand its manufacturing capacity in the U.S. with $9 billion in total investments.

The Company is doubling up on the $4.5 billion investment it previously announced in February 2019, which included investments in five existing Michigan facilities and the construction of a new state-of-the-art, sustainable assembly plant in Detroit. These investments will support the production of two new Jeep® brand vehicles and the next-generation Jeep Grand Cherokee, as well as electrified models. In total, the company will add nearly 6,500 new jobs at these facilities, including 5,000 in the city of Detroit.

The additional $4.5 billion will support upgrades to products or processes across FCA’s U.S. manufacturing footprint in Michigan, Ohio, Indiana and Illinois, increasing employment by another 1,400 jobs.

The new collective bargaining agreement covers more than 47,000 UAW-represented employees at 22 FCA manufacturing facilities, as well as 17 Mopar Parts Distribution Centers across the country.
 
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