UAW RELEASES GM CONTRACT DETAILS (24 Pages pdf)

[Perian]

Source: Wall Street Journal - Automotive News

Automotive News Special Email Alert:

DETROIT -- UAW officials today distributed details of their tentative agreement with General Motors to local union presidents.

During a press conference at UAW headquarters here after those meetings, UAW President Ron Gettelfinger said the agreement has “unprecedented product guarantees” and a moratorium on outsourcing.

Here are official details on the tentative agreement between the UAW and GM:


GM agrees to new-vehicle programs at 16 U.S. plants.


GM would initially fund the UAW’s health care trust fund with $29.9 billion with an additional $5.4 billion in future years.


GM would provide the trust an additional backstop of as much as $1.6 billion over the next 20 years.


Workers get a $3,000 signing bonus to approve the contract.


Instead of pay raises, UAW rank and file get bonuses equal to 3 percent, 4 percent and 3 percent of their annual pay during the second, third and fourth years of the contract.


New hires in noncore, nonproduction jobs would get paid between $14 and $16.23 an hour.


New hires get a 401(k) plan instead of the traditional UAW pension plan.


GM agreed to bring in-house 3,000 jobs that now are outsourced to contractors.


GM agreed to hire 3,000 temporary workers as full-time hourly employees.


The Wall Street Journal:

http://online.wsj.com/public/resourc...0928_terms.pdf

[Michael_S]

I see two bits of especially good news:
"GM would provide the trust an additional backstop of as much as $1.6 billion over the next 20 years."
I interpret that to mean if the Union screws up managing VEBA (and I hope they do not, for the sake of the rank and file members), GM must only provide a relatively small $1.6 billion in additional funding. That's fantastic.

and
"New hires get a 401(k) plan instead of the traditional UAW pension plan."
I wish everyone could have a solid pension, 30 years and then a comfortable retirement with full health benefits. But that's an unrealistic burden on future management and employees by having to cover the costs of retired people - especially since health costs are increasing incredibly fast. A 401k makes more sense for the future of the company, because the person covers their own retirement. This won't really pay for itself any time soon, but if GM manages to last another thirty or forty years, retiree costs won't be an issue. (What will GM be selling then? Electric cars? Flying cars?)

[AH-HA]

Forget that stuff, check out the jackpot on page 11!

[vanshmack]

Originally Posted by AH-HA

Forget that stuff, check out the jackpot on page 11!

"Global Delta Volt beginning 2010"

There ya go folks! It's really happening!

[likearock00]

Originally Posted by AH-HA

Forget that stuff, check out the jackpot on page 11!

Yeah, way to give away the entire ballgame right there! The 900's will only last until 2013??

[Sal Collaziano]

Interesting.. Especially the news on the Chevy Volt..

[iamwin]

Page 11 owns. Maxx replacement, an MPV!!, and verification of CTS Wagon/Coupe!

[BrickTamland]

Page 11 is a goldmine. Lambda replacements in 2012, Solstice and Sky continue at least through 2012, Corvette and XLR replacements in 2012. Wow!

[DuSpinnst]

Originally Posted by likearock00

Yeah, way to give away the entire ballgame right there! The 900's will only last until 2013??

Next version then, that's 6 years into this product cycle.

[DuSpinnst]

Originally Posted by BrickTamland

Page 11 is a goldmine. Lambda replacements in 2012, Solstice and Sky continue at least through 2012, Corvette and XLR replacements in 2012. Wow!

Remember those are Calendar Years.

C7 is a MY2013 as I've been saying.

[Saturn69]

Originally Posted by vanshmack

"Global Delta Volt beginning 2010"

There ya go folks! It's really happening!

Oh coolness! My Ion will paid off by then. And to think I was considering a used Prius. Oh Chevy, I'm so sorry!

[Michael_S]

Originally Posted by Saturn69

Oh coolness! My Ion will paid off by then. And to think I was considering a used Prius. Oh Chevy, I'm so sorry!

Tell me about it! We have one car payment right now, it will be finished in 2011. I would love to get a Volt!

[vcs2600]

Here's the juicy stuff, as far as I'm concerned. Anyone have any information about these?

Detroit Hamtramck

Global Delta MPV7 beginning 2009
Global Delta Volt beginning 2010


Fairfax Kan

Chevrolet large 4-door notchback beginning 2010


Lansing Mich Grand River

Cadillac CTS wagon and coupe beginning 2009
Zeta products (two styles) beginning 2011


Lordstown Ohio

Global Gamma 4-door notchback beginning 2010
Global Alpha (2 styles) beginning 2011

[tgagneguam]

This seems to be a relatively rich contract for UAW members (and for GM's competitors, vis-a-vis page 11). My guess is that none of this really came about in the last 72 hours. I'm a bit disappointed with some of the things to which GM agreed, though the health care trust fund and 401K for new hires is quite reasonable, both for the workers and the Company.

Nonetheless, GM can hopefully re-focus on moving all of the new, class-leading products detailed within the contract off the drawing board and onto the road.

[jlmartin99]

Originally Posted by vcs2600

Here's the juicy stuff, as far as I'm concerned. Anyone have any information about these?

Detroit Hamtramck

Global Delta MPV7 beginning 2009
Global Delta Volt beginning 2010


Fairfax Kan

Chevrolet large 4-door notchback beginning 2010


Lansing Mich Grand River

Cadillac CTS wagon and coupe beginning 2009
Zeta products (two styles) beginning 2011


Lordstown Ohio

Global Gamma 4-door notchback beginning 2010
Global Alpha (2 styles) beginning 2011

Greetings vcs2600,

Yes, this was the information I took note of. Specifcally Lancing Mich Grand River and two Zeta styles, mmmmm. And the Bowling Green Kentucky Corvette and XLR until 2011, very good news from my point of view.

JLM

Bowling Green, Ky. — Corvette and Cadillac XLR continue until 2011, Corvette and XLR replacement product beginning 2012.
Lansing, Mich., Grand River — Cadillac CTS, Cadillac STS and Cadillac SRX continue through 2009, Cadillac CTS wagon and Cadillac CTS coupe beginning in 2009, Zeta products (two styles) beginning in 2011.
Detroit/Hamtramck, Mich. — Buick Lucerne and Cadillac DTS continue until 2010, Global Delta MPV7 beginning in 2009, Global Delta Volt beginning in 2010, Global Epsilon Chevrolet beginning in 2012.