The United Auto Workers (UAW) and the Ford company reached an agreement in principle this Wednesday that will mark the end of a nearly six-week strike at this company if a simple majority of the 57,000 employees ratifies it, as expected.
Although General Motors and Stellantis (formerly Chrysler), the other two companies that form the so-called 'Big Three' of Detroit, the three largest in the sector along with Ford that initiated the strike, are still continuing with the protest, this agreement announcement, With a 25% increase in salary, it can pave the way for the other two firms to also resolve the labor conflict.
This salary increase would be part of a four-year agreement, as well as other benefits in pensions and job security, as well as the right to strike due to plant closures. There was a call for Ford employees to return to work immediately while awaiting ratification of the agreement.
Shawn Fain, president of the union, explained in a Facebook broadcast that the agreement will be presented to the UAW council that oversees relations with Ford at a meeting to be held next Sunday. If they approve it, the terms of the contract will be sent to the workers for their verdict. “We have made history,” Fain stressed.
Ford issued a statement in which it stated that “we are pleased to have reached this principle of agreement with the UAW to cover all of our operations in the United States.”
The union continues its negotiations at GM and Stellantis, which have seen pressure increase following this news of the agreement. When this first pact was announced, some 45,000 workers from the three companies, out of a total of almost 150,000, were on strike throughout the country. The strike at the plants was carried out in stages.
The companies argue that they are making a strong investment to convert themselves into manufacturers of electric vehicles, an issue that complicates the options of facing substantial salary increases. The union initially demanded a 40% increase over the next four years.
“This agreement in principle provides a record raise for auto industry workers who have sacrificed so much to ensure that our iconic 'Big Three' companies can still lead in quality and innovation,” said President Joe Biden after announcing the pact. between the UAW and Ford. Biden made history by being the first US president to participate in a picket line of strikers at the beginning of this protest.
