General Motors and UAW reach provisional agreement to end strike

After Ford Motor Company and Stellantis reached a tentative agreement with the United Auto Workers (UAW) to end the strike, the third manufacturer involved in the work stoppage has done the same. General Motors (GM) has provisionally agreed with the union to end the strike that began on Sept. 15, although it still needs the approval of union representatives.

Although there is still no official confirmation, two sources familiar with the matter assured Reuters that the agreement reached between both parties is similar to those between Ford Motor Company and Stellantis. Salary increases will exceed 30% between the nominal salary increase and additional supplements corresponding to the current cost of living. The pay raises will be implemented during the four years and eight months that the deal between GM and the UAW will be in force.

The agreement reached does not satisfy the initial demands of either party. The UAW wanted a 40% pay increase plus a reduction to a 32-hour work week and improvements in working conditions, while the manufacturer initially offered a 20% pay increase. The deal ultimately saw both parties meeting halfway in respect to their original position.

Following Ford and Stellantis

Ford Motor Company inaugurated the round of provisional agreements with the UAW last Thursday. Three days later, Stellantis followed in Ford's footsteps. In both cases, there was official confirmation from both the manufacturers and union leadership.

Since Sept. 15, around 57,000 employees at the three manufacturers have gone on strike, led by the UAW. The union demanded a salary increase and a reduction in the working day for its representatives from the beginning.