Published: Fri, October 11, 2019
Economy | By

GM explains latest offer to striking UAW workers

GM explains latest offer to striking UAW workers

GM assembly workers picket outside the General Motors Bowling Green plant during the UAW national strike in Bowling Green, Kentucky, US, October 10, 2019.

"The strike has been hard on you, your families, our communities, the Company, our suppliers and dealers", it read, saying the latest offer increased compensation and profit-sharing, promised a path to full-time jobs for temporary workers, leaves health-care benefits intact with no cost increases to workers, and invests in the company's USA manufacturing operations. GM says in the letter that the offer commits thousands of new jobs in the U-S and billion of dollars in new investments in plants. It would increase compensation through wages and lump sum payments, preserve industry-leading health care benefits without increasing out-of-pocket costs, enhance profit-sharing with unlimited upside, and improve the ratification bonus.

On Monday, we presented another offer we felt achieved our mutual objectives.

"We have advised the Union that it's critical that we get back to producing quality vehicles for our customers".

For temporary workers, GM said its offer would create a path to permanent employment and include a ratification bonus. The importance of the "future of work" committee underlines what we have been pointing out since the beginning of this strike: "it is more about the future than about the cash". "(.) Our offer builds on the winning formula we have all benefitted from over the past several years".

The letter was sent to all hourly and salaried employees.

In a subsequently released video, the UAW's lead GM negotiator, Terry Dittes, said the union would bargain at the table and not through the media.


Scott Sandefur, GM's vice president of North American labor relations, criticized the UAW's plan to make a counter proposal only after five committees resolve a series of issues, and the automaker went public with the broad outlines of its offer.

GM's latest offer boosts wages and lump-sum payments and preserves health care benefits, Gerald Johnson, the automaker's executive vice president of manufacturing, wrote to employees October 11. It's an indication that there won't be a quick end to the almost monthlong strike by 49,000 workers that has halted production at all of GM's USA factories. "We did the exact same job - and she had a full pension".

"The cornerstone of GM's long-term strategy is to be the leader in developing an economically viable operating model that enables investments in battery electric vehicles and autonomous vehicles to be profitable and generate appropriate returns".

'Your members and our employees lives are being disrupted and they deserve our commitment to getting any remaining issues resolved as quickly as possible, ' Sandefur added.

But while the losses have continued to mount for GM, the company should have the financial resources to ride out the strike even if it continues into November, according to an analysis released by credit rating agency Moody's on Friday.

GM has announced plans to close four United States plants.

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