- The United Auto Workers union ratifies a four-year labor agreement with General Motors (NYSE:GM), after most rank-and-file GM workers voted in favor of the new contract two weeks ago.
- The new contract, which goes into effect on Monday, calls for raises for all workers and the end of the two-tiered pay system; average labor costs, of which pay is nearly half, for GM workers will be $60/hour by 2019, up from $55 now, according to a new study by labor analysts released today.
- Meanwhile, the UAW is racing to save a proposed labor deal with Ford (NYSE:F) that would mark a significant setback if rejected; a vote today at a Dearborn, Mich., plant is considered critical, and earlier plant tallies had contract opponents leading by ~1,500 votes.
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Earlier: New Ford-UAW deal in jeopardy with younger workers unsettled (Nov. 18)