General Motors and the United Auto Workers have come to agreement to end a two-day strike that saw 73,000 workers walk out. The two sides reached a tentative accord that could effectively allow GM to operate with a cost structure similar to Toyota and other Asian rivals.
The four-year deal relieves GM of nearly $50 billion in future health costs for retirees. “I think our retirees will be exceptionally pleased with this contract,” UAW President Ron Gettelfinger told CNN. “For active members, there will be some changes. I think overall they will be very, very pleased with the outcome of these negotiations and the job security associated with it.” Retiree health care was the centerpiece of the negotiations.
Although details of the agreement remain unknown, it should also allow GM to reduce the $25 to $30 an hour labor gap that separates the U.S. automaker from its Japanese counterparts. In return, the UAW received what Gettelfinger describes as “outstanding” job security for U.S. workers.
“This agreement helps us close the fundamental competitive gaps that exist in our business,” GM CEO Rick Wagoner said. “The projected competitive improvements in this agreement will allow us to maintain a strong manufacturing presence in the United States along with significant future investments.”
“There’s no question this was one of the most complex and difficult bargaining sessions in the history of the GM/UAW relationship,” said Wagoner. “I’d like to thank UAW President Ron Gettelfinger, UAW Vice President Cal Rapson and their bargaining team for their leadership and hard work in negotiating the agreement.”
The UAW is expected to ink similar deals with Ford and Chrysler.
“We’re proud of this tentative agreement and we look forward to getting into the field and discussing it with our membership,” Gettelfinger said.
“We reached this agreement because of the extraordinary solidarity of our membership, and through a tremendous amount of hard work by the committee they elected to negotiate a new contract,” said VP Cal Rapson.
The agreement is subject to UAW member ratification. The UAW International Executive Board and the UAW GM National Negotiating Committee — made up of elected representatives from UAW GM locations throughout the country — have unanimously recommended ratification of the agreement.



09/26, 7:54 AM
posted by:
Piablo
I would love to see the actual details of the agreement. If it’s as good as it sounds above, Bravo! With the UAW in charge of the health care, I can’t wait to see how many hands are caught in the cookie jar!
09/26, 8:11 AM
posted by:
Vertical
That’s what I was thinking, Piablo. Maybe it would make the UAW realize that GM management aren’t the bad guys. Wait a minute, I must need another cup of coffee – that would require reason.
I think GM has been putting out nice cars lately. It sounds like this might help them be even more competitive. Let’s hope so. Bring on the H4 and Camaro!!
09/26, 8:28 AM
posted by:
autonut
GM management are the bad guys, the UAW “representatives” are not any better just not compensated as lavishly. Would anyone want to buy the car build today after strike? I imagine that Monday-hangover models are of higher quality.
09/26, 8:39 AM
posted by:
RicardoHead
On the surface it sounds like GM handily kicked the UAW’s buttcheeks. 73,000 idiots walked for two days to relieve GM of $50 billion in extortion.
Such a deal!
09/26, 8:48 AM
posted by:
Deanster
….continued- COmmodore, the money you spend on a GM car does not go towards R&D for the next Malibu, no matter how high-tech and simply awesome those German-fighting rolling examples of global styling and technowizardry appear to be (LOL!!!!).
All of GM’s subdivided labor groups are part of the UAW (except for upper management and design teams), in fact it’s a mandatory thing. Only unionized employees are hired – none of the positions are nonunionized. So the union dues are taken off the top of each paycheck without their consent. I also belong to a union (albeit a weak, feeble union that does nothing for anyone and also costs virtually nothing to pay into), but I was not asked if I wanted to opt out. When I was a resident, it was MANDATORY, no questions asked.
When a company like GM, with a tremendous market cap, employs so many hundred thousand people, is responsible for half a million peoples’ healthcare, and supports a network of another million people in auxilliary industries (steel, rubber, electronics, etc), then every time they are in a spot of trouble (like this) shockwaves are sent through the economy. Furthermore, the US government is relied upon to bolster GM losses in an effort to stem the consequences of too many layoffs, which always means devaluation of currency, inflation, and spending of money to sustain something that yields nothing but appeasement of an ongoing saga.
To add insult to injury, the perpetuation of a sub-middle class of millions that is hyperunionized and refuses to do anything more for the community or economy, other than support Frito-Lay and Circuit City, is like locking an entire generation into an economic stratum that is the equivalent of a “ghetto,” in other words no one gets out.
Ultimately you and I will be responsible for floating this sinking ship with our own tax money – witness already how Bernanke had to print up $200 billion dollars to support the floundering markets after the subprime lenders started going bellyup, along with all the bonds they sold on the open market to fund their ****ing idiotic lending practices.
So the tremendous inflationary pressures, rise in prices of goods, and layoffs across America can be attributed to stupid ordinary joes – MExicans making $10 an hour who thought it was high time to take out a $350,000 loan for a brand new house, or some stupid yuppie couple making $100,000 combined who watched too many episodes of “Sell That House!” and didn’t want to be left out of the fray. You can throw unionized GM employees in that pot as well, since they are doing their part to ensure that GM goes from corporate giant to colossal beggar – the government (ie. your tax dollars and net worth) ultimately are sacrificed to bail out this mess. Good luck!
09/26, 9:06 AM
posted by:
HoosierHero
This is good news to me, even though I don’t know the details. It seems like the union is loosening their grip, and letting GM operate more like a true business. It’ll be interesting to see where this ultimately goes.
Deanster- I remember in ‘05 when the Big 3 asked for help, but I don’t remember much coming out of it. I don’t believe the government can/will bail any of them out. They’ll let them sink or swim. As for subprimes, well, let the banks that were doing the raping and people who didn’t have the sense to realize that they can’t afford that $300,000 house get what they deserve- bankruptcy. Whether it’s Capital One or GM, each has something called fiscal responsibility. You have to make more than you spend. If that means not doing subprimes when they were fashionable or cutting off the union, then do it. They made their beds and not must sleep in them.
09/26, 9:18 AM
posted by:
RicardoHead
Deanster is pretty much spot on with every thing he said. Although I don’t think unions will bring on the economic collapse of the USA, it is a fact that We The People are bailing out the efftards on Wall Street, the efftards who issued and took on bad and ill-advised loans, and every other political constituency possible via direct or indirect payment and a massively devalued currency.
09/26, 9:20 AM
posted by:
Piablo
Deanster, perhaps your best post. I’m impressed. However, the only question I find myself asking is, are you a male nurse???
09/26, 9:24 AM
posted by:
Commodore
Thank God!! Can’t wait for the details! Toyota better watch out because this sounds like a good deal and GM will be better able to compete with the imports because of it.
09/26, 9:25 AM
posted by:
jdasch1
As predicted…GM wimped out. Now the other weak two (Ford and Chrysler) will follow and just sign. So sad for us all. Take two plant tours…A UAW domestic plant and a foreign stateside plant…ITS Remarkable how different the plants are. The UAW plants are dirty, dark and the people just don’t want to be there. The foreign plant was happy and clean, with workers changing jobs every two hours, chefs in large resturant style eating areas, everybody singing and laughing. At the end of the assembly line there was 3 parking spots. I asked what are they for. They said for rejected cars. There were no cars parked there. In the same UAW plant, at least 100 cars were parked at the end for repairs before shipping. I asked the plant manager at the UAW plant what was his biggest headache here at this massive plant…figuring it was probably the huge welding machine or something…he said number one it was the UAW! I was shocked but I could see what he meant. I asked the same question to the plant manager at the foreign plant, and she said…well I have never been asked that before…we just fix the problems when they come up. WOW, I was impressed. On site health clubs, free day care, free auto service on site ( their brand only), full health care,and flexible work schedules are standard at non-UAW plants these days. The big three are doomed with the UAW hovering over like a dark nasty cloud. Just remember the parking spaces at the end…rejects 0 vs 100’s. WE PAY IN THE END!
09/26, 9:33 AM
posted by:
RicardoHead
So does anyone believe jdasch’s BS?
09/26, 10:04 AM
posted by:
1487_GM_SALES
A happy union is a healthy union.
09/26, 10:05 AM
posted by:
dmbpearl
Nope, I don’t believe the BS. Hey jdasch1… maybe the three spots were empty because they allowed all those Honda Civics to just go out to the dealers with defects? Ever think of that? It’s like that article the newspapers print at least once a year where they’re dumbfounded as to why crime is going down but the prison population is still rising.
I design software for a living, and if the QA test team tells me there are no defects and I did my job to perfection, I know one thing for certain… they’re full of ****!
Good job GM. Keep up the good work. I can’t wait to pick up my 2008 CTS in two months.
09/26, 10:05 AM
posted by:
1487_GM_SALES
A healthy union means a better GM
09/26, 10:06 AM
posted by:
1487_GM_SALES
We owe our lives to GM. Anyone who doesn’t support them is an UnAmerican A-hole who need to find a new country to live in.
09/26, 10:07 AM
posted by:
1487_GM_SALES
This is OUR Country
09/26, 10:13 AM
posted by:
dmbpearl
Hey guys, I followed jdasch1’s advice and quickly visited a GM plant and a Toyota plant this morning. I’m a changed man.
The GM plant had men with large whips giving the workers lashes while they worked in knee deep raw sewage. They were forced to eat small portions of stale bread for their two minute lunch breaks and their children were sold into slavery if they didn’t build at least 20 cars a day. I cried as they beheaded two workers for being late to work.
The Toyota plant was filled with rivers of milk and honey. The men built cars on clouds made of sweet snow you could eat while beautiful strippers danced for them during their two hour lunch break. Their children were receiving Ivy League educations during work hours too. As they left the factory each worker was given a sack full of gifts and prizes and money and eternal happiness. Jesus showed up and healed a few folks too. It was amazing.
F*CK YOU GM!!!!!
09/26, 10:27 AM
posted by:
Fletch
The #1 issue at the plants I have been around is attendance (illness, FMLA, laziness). The problem is the union contracts often protect the habitual offenders, instead of firing them and hiring people who are willing to work.
09/26, 10:28 AM
posted by:
autonut
Since I seen the same picture at 2 out of big three and pretty decent Japanese plants, I concur with jdasch1. However, all the UAW stupidity does not add up to big three management luck of professionalism. They simply lost their way in building cars. There are bright spots here and there on management landscape, but the overall picture is bleak. Start with hideous looking cars from design studio that no one has manhood to call ugly to poorly developed components and even names of cars are confusing. Look at Ford: what is their main sedan is it 500 or Taurus? How long it took for GM to figure out that Ions are plain ugly? Do you really need to be an expert to see that? Who can name next great GM car/truck or anything with wheels? Volt? When it will be ready? Is it beautiful? I don’t think so, but lets wait till it comes out and endorsed by public.
Deanster, great post, albeit above average comprehension level.
09/26, 10:29 AM
posted by:
RicardoHead
“A happy union is a healthy union.” … A healthy union is a bankrupt employer.
.
And 1487_GM_Sales is a retard.
09/26, 10:33 AM
posted by:
e46Ne90
uhhh multiple personality syndrome dmbpearl?
09/26, 10:45 AM
posted by:
Piablo
JDasch’s comment (although sounding very sarcastic)reminds me of a company in the Carolinas called SAS. They’re a software developer with less than a 1% employee turnover rate. They pay average market rate salaries, but the CEO treats his employees like the gold they are. On site day care at a heavily reduced cost. On site doctors for free check ups and prescriptions for common ailments. Free on site auto service for detailing and oil changes. On site chefs, etc… Whether or not Toyota employs this type of benefits package, I don’t know. But it is the new way of business. Google has very similar practices. I just don’t see how comparing a Toyota plant and a GM plant in the way he did explains his view of GM wimping out.
09/26, 10:54 AM
posted by:
Piablo
Either way, this is a big temporary win for GM. I say temporary because I see a scandal of Enronian proportions, perhaps larger, in the near future. The struggle in 4 years will be rejecting the UAW’s request for a massive wage increase to counteract the pilfering and mismanagement of the fund. However, in the meantime they’ll be more nimble without the burden of a $50Billion parasite effecting business decisions.
09/26, 11:13 AM
posted by:
1487_GM_SALES
Heathy, happy unions are the ones building the only good automobiles in this country pal. Non-union labor can’t build a quality car to save their life. Look at the Foriegn garbage from Japan and Europe for example. They tried to build crap here in the states without union labor and they’re all notorious for being complete ****boxes. Meanwhile GM vehicles built by skilled union workers are building cars that run forever and never have problems.
09/26, 11:31 AM
posted by:
Commodore
GM SALES – shut up with your healthy union bull****.
No union means a happy, healthy, profitable American auto industry
09/26, 11:39 AM
posted by:
Deanster
“Deanster, perhaps your best post. I’m impressed. However, the only question I find myself asking is, are you a male nurse???
Comment by Piablo, posted on September26 at 9:20 am ”
Thank you, and no I’m not a male nurse. I’m a physician, although no one believes it on this board. I couldn’t care less, though. As long as your collective moms love my humungous ****, I’m cool with anything!!!
09/26, 11:59 AM
posted by:
400horseSS
**** GMinsidenews and 1487 stop trying so hard, deanster funny as hell as always, at least leftlane lets me give my opinion without removing me from the discussion.and fellas it feels great to get back to work
09/26, 12:03 PM
posted by:
400horseSS
and how the hell is $3000 a lump sum this **** will not pass the membership we want our money up front for this to pass all 60k
09/26, 12:17 PM
posted by:
Jazz
400horseSS – so what is the general climate on the shop floor? Do most people agree with you?.What is the 60K for ? The depreciation of the pension plan?
09/26, 12:54 PM
posted by:
400horseSS
60k is the bonus money over time, im not at work yet but i saw the details on the freepress site, 3000 bonus and 3-4-3% of your salary as a bonus over 3 years thats garbage,if they take all raise and cola away at least give all the bonus up front………..joke contract that junk will be voted down saturday
09/26, 12:59 PM
posted by:
1487_GM_SALES
We owe out lives to GM and our deepest thanks to the union workers for building our cars and trucks. Without them we’d all be forced to drive second rate import junk built by those high school dropout degenerates and anti-American slobs.
09/26, 12:59 PM
posted by:
1487_GM_SALES
This is OUR country…
09/26, 1:07 PM
posted by:
1487_GM_SALES
RIck Wagoner is a hero. He will go down in history as a martyr and a genius in General Motors history. Combined with a healthy UAW, GM remains the pinnacle of Automotive excellence by which all other scum gaze upon in awe and jealousy.
09/26, 1:16 PM
posted by:
jackjimturkey
Piablo: I think rank-and-file should find a trustworth third-party to manage this healthcare money. This is an embezzlement waiting to happen
Hoosier, R-Head: I’m against bailing out lenders. Or people who bring home a combined $5,400 a month and think they can afford a $600K house. I say “let the market take care of it.”
dmbpearl: That new CTS is beautiful! That was a funny account of your plant tours. I’ve got some thories on another eastern manufacturer
http://www.leftlanenews.com/honda-recalls-182756-civic-sedans.html
deantj: Measure in inches, not centimeters. Nine is not humoungous
GMSales: Non-union labor can’t build a quality car to save their life. What about the old GM plant in OKC? Or the otrher GM plants without unions?
I don’t think people who own high-quality cars made by non-union labor are going to buy that argument
09/26, 1:24 PM
posted by:
Veda
400horseSS, you’re making 60K for bolting screws all days? Anyone who didn’t finish elementary school can do that…
09/26, 1:27 PM
posted by:
Veda
Seriously this single topic has made everyone sober and posts all kinds of rational constructive arguments all the sudden. WTF…
09/26, 1:49 PM
posted by:
Htay5500
gmsales: but those non-unions aren’t babies and aren’t ignorant like those Uneducated Ass Wipes.
09/26, 2:03 PM
posted by:
1487_GM_SALES
A healthy union is a happy union. GM is better off continuing the teamwork rather than promote conflict. Together they will continue to dominate the Automotive landscape
09/26, 2:10 PM
posted by:
jackjimturkey
Veda: you’ve simplified Auto-manufacturing work to “bolting screws.” Just repeating that back. You clearly don’t work in a factory
09/26, 2:38 PM
posted by:
Elvio
GM_SALES….unfortunately, you are not ina good health, need to see a doctor.
09/26, 2:56 PM
posted by:
400horseSS
good call jackjim, and my job is scheduling steering knuckles(50-130lbs) and front springs, and i dont know of anybody just “bolting screws”
09/26, 3:05 PM
posted by:
1487_GM_SALES
GM and the UAW’s commitment to quality should be in the minds of all true Americans when they make their next purchase. Wonder why GM never has any recalls? Wonder why GM vehicles continue to have a bulletproof reputation for quality and reliability?
Try doing that with those degenerate scumbags from those “other factories”.
09/26, 3:11 PM
posted by:
400horseSS
and like i was saying earlier —–**** GMINSIDENEWS—– WHEW I GOTTA GO TO WORK FELLAS
09/26, 3:11 PM
posted by:
400horseSS
TRUE 1487 TOYOTA HAS ANOTHER RECALL
09/26, 3:23 PM
posted by:
1487_GM_SALES
Maybe you guys could teach those goons how to build a flawless car for once?
Wait, never mind. Let those foreigners continue to build unreliable crap. It will only further hurt their image here in the US and folks will be showing them the door faster than you can say “Cobalt”. They’re not American and neither are the people who buy them so let those punks suffer the consequences of their trechery.
Meanwhile GM continues to pump out flawless product to true Americans.
09/26, 5:34 PM
posted by:
tripleonefive
GM- Get Mexicans
I’m watching the news now and the Professor at teh University of MD said that GM and Ford do not a have superior products to Toyota You import haters can deny it all you want but who is struggling and who is on top ???HMMMM
09/26, 6:06 PM
posted by:
Commodore
Aside from GM SALES, we are not import haters. I am fair. I consider Japanese cars such as the Mazda 6 when buying a midsize car and the Lexus GS430 when shopping for luxury and from there I buy the best car. You on the other hand begin by crossing off every non-Japanese car from your shopping list and then you go from there. That is called BIAS
09/26, 6:40 PM
posted by:
Piablo
JackJim – You’re not kidding. There’s a reason why that strike stopped in two days. That reason: $50 BILLION.
Autonut – Are you in the IT field? Not many are aware of SAS. I forgot exactly what state they were in, but I’ve read a few articles on them. They are certainly not the norm, I agree. However, that will most likely change in the next 10 years. The retiring of the baby boomers will will change industries across the board just as they changed when the boomers entered the work force. An estimated 12 million jobs will go unanswered by the year 2020. Businesses will adapt to maintain retention.
400Horse – Too funny. Talk about hypocrisy. You want your bonus upfront?! I won’t even get into $60k, fackin ludicrous. Boohoo! Isn’t that one of your biggest gripes, execs getting bonuses during poor performance? Way to stand for values and what is right. Sounds like the UAW promised you something they couldn’t come through with. Well my friend, they got $50 Billion, they’re pretty happy. I’d start to re-think your stance on the union, while you are still young, and get out while you still can.
09/26, 7:41 PM
posted by:
jackjimturkey
College professors are now authorities on car quality?
What a reach
09/26, 7:47 PM
posted by:
1c3d0g
Praise the Lord!
Now let’s get back to work, ’cause a lot of damage has been caused by this stupid strike.
09/26, 9:12 PM
posted by:
Piablo
JackJim – I know you have better reading comprehension. I mentioned studies about what makes workers across all industries happy… job satisfaction. I did not mention anything about car quality.
09/26, 10:49 PM
posted by:
Veda
jackjimturkey: Don’t put words in my mouth. I wasn’t referring to the whole factory. I was talking specifically about what 400horseS’s position probably is given his salary of 60K. And yes I don’t work in a factory but I know exactly what those workers are doing having gone extensive yearly tours to Mercedes, Suzuki, and Toyota plants since I own one of their dealerships. Most of those workers don’t need a college degree to do what they do.
400horseS: “scheduling steering knuckles(50-130lbs) and front springs”. My bad, a 30 year old high school graduate can do that. Exactly why you’re stupid enough to ask for a bonus upfront. If you don’t have a union mafia to back you up, you’d be gone a long time ago.
09/27, 12:06 PM
posted by:
jackjimturkey
Piablo. that comment was for the Fluffer, who brought up some guy from UMd.
09/27, 12:09 PM
posted by:
400horseSS
why does education and degrees always come up, sounds too me someone spent too much on college and got nothing in return, and i did go to college
09/27, 12:27 PM
posted by:
mujician
This was a sad day for not only GM and soon Ford and Chrysler, but the american economy in general. Let’s just give up and give the **** tards what they want. Just to end the argument. What a ****in joke. Has anyone else noticed were the american economy has been going for the past 5 or so years. This is absolute bull****. GM had the chance to turn things around not only for them selves, but the rest of the american auto industry.
09/27, 2:15 PM
posted by:
jackjimturkey
400SS: I think there’s some jealousy on the part of people whose jobs consist of neither making nor doing anything.
Not everybody needs to go to college, but everybody deserves to make a living — if he’s willing to work for it
Mujician: What?
09/27, 5:34 PM
posted by:
mujician
I for one am sick of seeing somone get compensated for doing a half ass job. While their may be some people out their that work for a union and actually deserve their pay, their are also many people that take advantage of the system. The UAW forces these companies to pay their employees for a job were they do not have to prove their performance. Their paycheckes are guaranteed, if not the UAW takes that company to court. To me this is bs and unfare not only to the company, but also their county and even me. That is why I’m so pissed. GM had the chance to stand up for what they are. Yeah, it would have been a hefty blow. At the same time, they could have washed their hands of the UAW.
09/28, 10:40 AM
posted by:
1487_GM_SALES
A healthy union is a happy union.
09/29, 4:15 PM
posted by:
BLISS
GREAT….BACK TO NORM