Fiat Chrysler Automobiles and the United Auto Workers union have reached a tentative deal on a new labor contract.
CNBC reports that the UAW Bargaining Committee agreed to a deal with FCA that will add $4.5 billion in investments, set to translate into 7,900 jobs over the course of the four-year deal. This $4.5 billion comes on top of a previous $4.5 billion investment pledge from the car manufacturer.
It is reported that a final agreement is likely at least a week or two away from being approved or rejected by rank-and-file union members. The UAW-Fiat Chrysler National Council is set to go over the finer details of the deal during a December 4 meeting. If the green light is given, the agreement will go to Fiat Chrysler’s hourly and salary workers for a ratification vote scheduled to begin on December 6.
UAW acting president Rory Gamble thanked FCA for their cooperation:
“FCA has been a great American success story thanks to the hard work of our members. We have achieved substantial gains and job security provisions for the fastest-growing auto company in the United States. During the previous four-year agreement, FCA added over 6,400 new UAW members.”
It is understood that the deal will share many of the same terms as the union’s recent contracts with Ford and General Motors that included 3 per cent raises or 4 per cent lump-sum bonuses each year of the contract, retention of roughly 3 per cent of out-of-pocket health care costs, and a path for temporary workers to become full-time employees.