GM brass is breathing a little easier this morning, as American Axle workers at the company’s biggest Detroit plant voted in favor of a four-year contract that slashed their wages late last night, effectively ending the crippling three month strike. In all the plants, 78 percent approved the deal, according to a statement released by the UAW yesterday.
One of the biggest strikes in the UAW’s 73-year history, the American Axle debacle was a tough one for workers to end, though the slowing truck and SUV market was a main driving force. “Our members have had to make some tough decisions for themselves and
their families and have done so with careful deliberation,” said UAW President Ron Gettelfinger, in an Automotive News report.
The strike left many ripples in its wake, including numerous layoffs and plant shutdowns of GM’s other suppliers. GM itself lost an estimated $800 million in just one month, March, and paid $218 million to help the company pay workers off.
Under the new agreement, two American Axle plants will close, with nearly 2,000 of the company’s 3,650 jobs eliminated.
