- Tentative agreement includes raises for all union workers
- UAW to disclose details to members before votes on approval
Fiat Chrysler Automobiles NV will pay UAW members $3,000 bonuses if they ratify a new contract in the coming days, said people briefed on the matter. While that’s a smaller payout than workers received for approving the previous contract four years ago, the union won raises for all members.
Union members will receive hourly wage increases of as much as a dollar an hour, said one of the people, who asked not to be identified because the details haven’t been explained to members yet. Senior assembly workers, who now make about $28 an hour, would get raises in two steps that could bring their hourly wage to almost $30, said the person. The newer, or second-tier workers, could earn as much as $25 an hour after eight years of service, said the person.
Getting raises for both groups of assembly workers was a key goal for UAW President Dennis Williams in these negotiations. Senior workers at Fiat Chrysler hadn’t had a raise in nine years, while their counterparts at Ford Motor Co. and General Motors Co. hadn’t had one in a decade. Union locals will present the details to members before they vote, and Williams will proceed to reach similar -- though presumably more lucrative deals -- with GM and Ford.
“We believe we have met the goals,” Williams said Tuesday night. “But ultimately our membership will make the final decision.” He and Fiat Chrysler Chief Executive Officer Sergio Marchionne declined to reveal specifics of the contract -- even its length -- before members were presented with the details.
Jodi Tinson, a spokeswoman for Fiat Chrysler, and Brian Rothenberg, a spokesman for the UAW, declined to comment on the details. The Wall Street Journal earlier reported that newer workers’ hourly pay would ultimately rise to $25.
For the previous contract in 2011, Fiat Chrysler workers received $3,500 ratification bonuses, while UAW members at GM got $5,000 and those at Ford were paid $6,000.