Stellantis, the manufacturer of Jeep and Ram vehicles, reached a tentative contract agreement with the United Auto Workers (UAW) union on Saturday, while strikes against General Motors (GM) intensified with the addition of a plant in Tennessee.
The Stellantis deal, which is still subject to ratification by its members, means that GM is the only major automaker without a union agreement. In an effort to increase pressure on GM to reach an agreement, the UAW also walked out on Saturday night at a GM factory in Spring Hill, Tennessee.
The Stellantis agreement closely mirrors the one reached with Ford earlier in the week. The UAW has stated that the contract will also save jobs at a factory in Belvidere, Illinois, which Stellantis had previously planned to close.
GM expressed disappointment with the additional strike at the Spring Hill assembly and propulsion systems plant, despite the progress made in negotiations. The company emphasized that it has been bargaining in good faith and wants to reach an agreement as soon as possible.
Spring Hill is GM’s largest manufacturing facility in North America, employing almost 4,000 workers and producing vehicles such as the electric Cadillac Lyriq, GMC Acadia, and Cadillac XT5 and XT6 crossover SUVs. the manufacturer of Jeep
UAW President Shawn Fain confirmed the Stellantis agreement, and noted that the 43,000 members at the company will still need to vote on the deal.
Around 14,000 UAW workers who were on strike at two Stellantis assembly plants in Michigan and Ohio, as well as various parts distribution centers across the country, were instructed to end their strikes and return to work. This agreement marks the end of a six-week strike at Stellantis.
The contract includes provisions for a 25% increase in general wages over the next 4.5 years for top assembly plant workers, with 11% of the increase taking effect once the deal is ratified. Workers will also receive cost-of-living adjustments, resulting in compounded raises of 33%. Top-scale assembly plant workers at Stellantis will earn more than $42 per hour, up from the previous rate of around $31 per hour.
