Latest Automotive News

Subscribe in a reader

Chrysler and UAW reach contract agreement after brief strike

Email   small font medium font large font


The United Auto Workers union reached a tentative four-year contract agreement with Chrysler LLC on Wednesday after a brief strike that sent thousands of workers to the picket lines.

Details of the agreement weren't immediately available.

But UAW President Ron Gettelfinger said Wednesday afternoon, just hours after the strike began, that workers should report for their next available shift.

``This agreement was made possible because UAW workers made it clear to Chrysler that we needed an agreement that rewards the contributions they have made to the success of this company,'' Gettelfinger said in a statement.

UAW members at 19 of 24 U.S. Chrysler factories and several other facilities left their jobs for the picket lines at 11 a.m. Wednesday.

Among the major issues in the Chrysler talks were funding for a union-run trust that would handle future retiree health care bills; contracting out parts-trucking jobs; promises that future products will be built at U.S. factories; and parity with health care concessions that were given to Ford Motor Co. and General Motors Corp. two years ago.

The UAW also announced Wednesday that its members have ratified a four-year agreement with General Motors. The two sides reached the deal on Sept. 26 after a two-day strike.

Ford will be the final automaker to bargain with the UAW.

A strike by Chrysler workers in the United States, if it were prolonged, threatened to entangle two of the automaker's assembly plants in Canada.

Chrysler Canada spokesman Ed Saenz said Wednesday that a lack of U.S.-sourced parts would likely hit the 5,000-worker minivan plant in Windsor, Ont., within 24 hours and the 4,000-employee sedan plant in Brampton, Ont., within 48 hours if the UAW strike continued.

It was not immediately clear what, if any, impact the brief disruption on Wednesday would have on Chrysler Canada and its suppliers.

However, Canadian industry analyst Dennis DesRosiers said before the tentative agreement was announced that the UAW deal could have a long-term impact on Chrysler's autoparts suppliers if they follow a pattern set at General Motors.

``The GM agreement sets the stage for considerable parts in-sourcing. We had been in, for the last two decades, out-sourcing of components,'' DesRosiers said.

He added ``there's a lot of speculation that suppliers could see a fairly serious long-term negative from these contracts.''

Receive the latest automotive news by email!

Enter your email address:

Related news
The settling of a short strike by Chrysler workers in the United States on Wednesday was good news for the auto company's two Canadian assembly plants, which could have been shut down ...
Negotiators for the United Auto Workers union and Chrysler LLC bargained through the night and continued talks Wednesday morning with just hours to go before a strike deadline. The UAW set an 11 ...
Local union leaders voted overwhelmingly Monday to recommend approval of a tentative four-year agreement between the United Auto Workers and Chrysler LLC, paving the way for a vote by members, UAW president Ron ...
United Auto Workers members have ratified a four-year contract with Ford Motor Co. that sets lower pay for some newly hired workers and puts the company's huge retiree health care debt into a ...
Ford Motor Co. and Chrysler LLC are negotiating with the United Auto Workers over the amount they would put into a retiree health care trust and may not contribute as much as ...
SEOUL (AP) _ Hyundai Motor Co. and its labour union tentatively agreed Wednesday to end a month-long strike that had driven South Korea's largest automaker to suspend exports, a company spokesman said. The two ...
Workers at three more United Auto Workers local unions have rejected a tentative contract agreement between the national union and Chrysler LLC, casting doubt on whether the deal will be ratified. Members at locals ...
The tentative deal between the United Auto Workers and Chrysler LLC was hailed as a historic step forward for the company just a couple of weeks ago. Many rank-and-file members, however, have rejected ...

Best Investment Newsletter

- 46% in 2008

- invest in the best performing US stocks only and sell them when the uptrend is over

- very easy to follow, simple buy/sell signals

- no need to have investing or trading experience

Find More Now!

Chrysler and UAW reach contract agreement after brief strike
> © 2006-2017 except where otherwise noted