In return, the contract allows GM to proceed with factory closures in Lordstown, Ohio, Warren, Michigan, and near Baltimore.
The Detroit Hamtramck plant which GM wanted to close will stay open and a new electric pickup truck will be built there. The deal also shortens the eight years it takes for new hires to reach full wages and gives temporary workers a full-time job after three years of continuous work. Workers hired after 2007 who are paid a lower wage rate will hit the top wage of $32.32 per hour in four years or less.The deal now will be used as a template for talks with GM's crosstown rivals, Ford and Fiat Chrysler.
GM and the union have been negotiating at a time of troubling uncertainty for the U.S. auto industry. Driven up by the longest economic expansion in American history, auto sales appear to have peaked and are now heading in the other direction. GM and other carmakers are also struggling to make the transition to electric and autonomous vehicles.
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