Reuters
reported Monday that Delphi Corp. has given the UAW a new proposal for wage and benefits cuts, in a last gasp attempt to come to an agreement before its March 31st deadline. If the deadline passes without an agreement, Delphi has said that it will ask the bankruptcy court to terminate its current labor contracts - which could well lead to the outcome feared by GM, a UAW strike.

A Detroit News article suggests that the new proposal is much more union-friendly than previous versions, featuring a gradual reduction in wages and benefits following an initial wage cut to about $22 per hour (from the current average of $27). The paper also reports that a parallel agreement with GM is in the works that will give Delphi some assistance on the wage front.

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