A deal to end the 9-week old American Axle employee strike is being produced, but the end of the strike is not yet in sight, Friday reports find. The UAW is fighting proposed wage and benefit cuts proposed by American Axle, as the company aims to make operations competitive with similar businesses. The latest deal would see two of five North American Axle factories shut down, while workers’ pay would be reduced from nearly $28 per hour to $17.
GM recently announced it will cut nearly 140,000 vehicles due in part to slowing SUV and truck sales, which would affect American Axle production as well. The cuts will give American Axle further arguments as to the plant closures, which include Detroit and Tonawanda parts forging plants in New York State and would affect about 300 jobs, according to The Detroit News.
The UAW is not in a bargaining position, and UAW Local 235 President Adrian King said the union is evaluating the company’s latest proposal.
Officer elections took place on Thursday at UAW Local 235, during which Vice President Bill Alford Jr. took the President title from King.
GM announced the ongoing strike cost the automaker $800 in the first quarter of 2008.
