The surprises keep coming in the ongoing labor talks — and strikes — between the Detroit Three automakers and the UAW. After securing a deal with Ford a few days ago, it was rumored General Motors would be next, but it turned out to be Stellantis.
Just days after reaching a deal with Ford, the UAW reportedly finalized a tentative agreement with Stellantis Saturday. The two sides haven’t made a formal announcement yet.
The deal is a bit of a surprise as the betting money was on General Motors being next to get contract done. However, it appears Stellantis offered something GM isn’t — and doesn’t have — reopening a plant.
Reportedly, Stellantis agreed to the same 25% wage increase over the life of the deal that Ford did; however, the company also agreed to reopen its Belvidere Assembly plant in Illinois with a new product. No word on what that would be, but Stellantis seems to be centralizing its EV operations in Indiana and Belvidere in neighboring Illinois could become part of that “universe.”
Stellantis said this week that it proposed a nearly 50% increase in its contributions to the retirement savings plan and will offer additional job security protections, reported Automotive News.
The deal leaves only GM without a deal with the union. Now that the other two are done, that may accelerate the process — or it could mean the two sides were farther apart on a pact than expected.