UAW reaches historic labor agreements with Big Three automakers

Union leaders will vote to forward the deal to the entire membership on Nov. 3.

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Photo Credit: REUTERS/Rebecca Cook/File Photo

The United Autoworkers Union announced it reached a labor agreement with the Big Three automakers two days after the union broadened its strike to General Motors Spring Hill Assembly Plant in Tennessee. The “historic” agreement will end the two-tier worker system and increased wages.

The agreement was reached on Oct. 30.

“Over the recent weeks, many thought our demands were excessive,” Shawn Fain, president of UAW said. “Despite the criticism, we stood firm, resulting in a contract win reminiscent of the 1930s sit-down strikes.”

The agreement includes:

  • UAW workers to receive an immediate 11 percent raise.
  • Reintroduction of the cost of living adjustment COLA, which was abandoned in 2009.
  • Substantial pay increase for lowest-paid employees.
  • Starting wages for assembly workers will increase 70 percent, adjusted for the projected cost of living.
  • Top earners will receive an increase of about 33 percent during the contract’s tenure. 
  • An end to the two-tier worker system.

Union leaders will vote to forward the deal to the entire membership on Nov. 3.

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