“UAW Employees in GM’s Flint Plant Reject Labor Pact”
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United Auto Workers (UAW) members at General Motors’ Flint assembly plant in Michigan have narrowly rejected a proposed contract with the automaker, as reported by the local UAW chapter. The outcome, with 51.8% of votes against the deal, suggests that approval for the agreement, which would significantly increase costs for GM, is uncertain. GM refrained from commenting during the ongoing ratification process. Following the vote, GM’s shares dropped about 1.2% to a more than three-year low of $26.30. While approximately 58% of votes across various GM facilities favored the deal, workers at other plants, including the Arlington assembly plant in Texas and Fort Wayne truck plant in Indiana, are yet to cast their votes. This voting process is part of the broader negotiations between the UAW and major automakers, including Stellantis and Ford, following a coordinated strike. The Flint assembly plant, responsible for manufacturing the Silverado heavy-duty pickup truck, plays a crucial role in these negotiations. The tentative agreements include a 25% increase in base wages until April 2028 for the 46,000 UAW workers at GM, along with a cumulative 33% raise in the top wage. This historic deal has influenced non-unionized automakers, with Honda announcing an 11% pay increase for its U.S. production workers, and Subaru planning to provide an update on compensation for its U.S. associates. In a separate development, the UAW revealed that Mack Trucks, owned by Volvo Group, considers its October 1 offer to striking workers as its “last, best, and final” offer, with a voting date tentatively scheduled for Wednesday.