General Motors Plans To Raise Wages By 20%
General Motors has released details of its most recent offer to the UAW, as the automaker continues to bargain in the midst of the union's historic strike against the Big Three.
Under the new offer, most employees will receive a 20 per cent wage boost throughout the duration of the agreement, with a 10 per cent increase in the first year. Furthermore, at the end of the agreement, practically all UAW employees at the automaker will be paid $39.24 per hour (or $82,000 per year) in basic wages.
In addition, beginning in year two, the cost of living adjustment would be reestablished for members earning the maximum pay.
Employees in the company will receive two weeks of paid parental leave, up to five weeks of vacation, and Juneteenth. Healthcare premiums will remain unchanged. The most recent offer from the corporation includes a faster path to maximum compensation. The progression steps would be reduced to four years in length.
Once ratified, all active full-time temporary workers engaged for one year will be converted to Step-1 in-progression employees. Temporary workers' salary will also be raised to $20 per hour.
For active in-progress employees, GM's contribution would rise from 6.4 to 8 per cent of earnings and contribution for healthcare in retirement increased from $1 to $1.25 per hour. According to GM, a $1,000 payment will be issued to active conventional employees' defined contribution plans.
The UAW went on strike against Ford, GM, and Stellantis after they were unable to reach an agreement before their contracts expired at 11:59 p.m. on Thursday, 14 September 2023.
