After prolonged negotiations and a monthlong strike General Motors (GM) reached a preliminary agreement with the United Auto Workers (UAW) on Wednesday about contracts.
Arthur Wheaton, an expert of the automotive industry at Cornell University’s ILR School, says that after it’s ratified, the deal will likely affect negotiations at the other two carmaker giants, Ford and Fiat Chrysler.
“This is great news. Hopefully, the UAW, Canadian and Mexican workers can get back to work soon.
“Early indications are the deal will provide thousands of dollars in a ratification bonus to help workers pay bills that were impacted by 5 weeks of lost wages. Hopefully, GM can make up some lost production and continue to support the many communities impacted by the strike.
“The tentative agreement needs to be ratified and then off to Ford and Fiat Chrysler.”