Maybe it was the Detroit Tigers decisive win in game three of the American League Championship Series, but something put the United Auto Workers and Chrysler negotiators in the mood to compromise last night. The Detroit News is reporting that the union announced a deal just before 7:00 AM today.

Chrysler is the last of Detroit's traditional "Big Three" automakers to come to terms with the UAW, as negotiations had been rockier than those with the other car companies. Last month Chrysler CEO Sergio Marchionne accused UAW President Bob King of playing favorites with General Motors, and putting his own political agenda ahead of the interests of union members. The UAW then skipped past Chrysler to negotiate with Ford, reaching an agreement last week.

What effect this gamesmanship had on the contract remains to be seen, however, The Detroit News says that the agreement with Chrysler is expected to resemble those reached with GM and Ford. Those contracts call for replacing wage increases with a revamped profit-sharing system. But the Chrysler deal might have some substantial differences due to Chrysler's weaker financial health, says the report.

Chrysler has 26,000 hourly employees in the U.S., but that number should go up under the new deal. The UAW says the agreement would add 2,100 new jobs by the end of 2015. Other sources told the newspaper that new workers are likely to be paid more, as well, with one of the key provisions of the contract being a raise for second-tier employees, to $19.28 an hour.
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Chrysler Group LLC and the UAW Reach a Tentative Agreement

October 12, 2011 , Auburn Hills, Mich. - Chrysler Group LLC and the UAW have reached a tentative agreement on a new national labor contract, covering approximately 26,000 represented employees. The agreement is subject to UAW member ratification. At this time, we cannot discuss the specifics of the agreement pending a ratification vote - an internal UAW process.


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  • 13 Comments
      akb69z
      • 3 Years Ago
      Listen you idiots that think that 500 cars a day in an 8 hour shift are built by pressing buttons! Where do you work? A car wash? People die in here and an assembly plant is physical labor! Every 47 seconds another car is at your job station, weather you drop one of the 5 parts or 9 bolts to put the parts on, the next car has to be started in 47 seconds. The line doesn't wait for you to pick up bolts. I've seen people like you work here 4 hours, go to lunch and never come back, because its 95 outside and 125 inside no windows, and nothing to keep your sanity except the reward of a good paycheck. So try it before you act like you know something!
        whofan
        • 3 Years Ago
        @akb69z
        I believe we have some educated pencil pushers here. Theres lot`s of physical repetetive labor in building cars. Factory work day in day out can be Hell. I worked for a sort time in a plastics plant. Very hot in the summertime.
      B
      • 3 Years Ago
      This a good step forward for unions. I'd like to see more union agreements that trade job security for profit-sharing and bonuses based on company performance. Companies would get flexibility, workers would get good pay, and both sides would have an incentive to make the company more profitable.
        kevsflanagan
        • 3 Years Ago
        @B
        I wouldnt say profitable but rather incentive to make a great reliable high quality cars. Some would say only caring about profit is what lead to Chrysler being in the spot it was for the bailouts.
          bobmarley
          • 3 Years Ago
          @kevsflanagan
          You would think if some cares about profit they would know how to make it (with quality products).
      Schira
      • 3 Years Ago
      Some day people will realize why some companies want you to agree to be in the union before they will offer you a job.
      • 3 Years Ago
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      kevsflanagan
      • 3 Years Ago
      Personally I love how Sergio called out King. Without knowing all the details seems it was give and take on both sides. Though I'm still dumbfounded by the fact that some workers will be making $19hr for what equates to pushing a button over and over again for 8 hours.
      Ace Convoy
      • 3 Years Ago
      $20 an hour..... I don't want to hear anymore complaining from these clowns.
      redgpgtp97
      • 3 Years Ago
      No that's for new hires as of late. The regular guys make 28-29 an hour before overtime.
      Myrtle Griffin
      • 3 Years Ago
      Figure out why they differ in price from one place to the next. http://bit.ly/rgThno
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