Sunday, November 19, 2023

Ford Workers Approve Labor Deal, Ending Major Bargaining Round for Top Auto Makers


A majority of union members at General Motors and Stellantis had previously ratified their labor deals


Published 11/17/23
William Gavin

A majority of union autoworkers employed by Ford Motor Co. have ratified a new labor contract, closing the curtains on the United Auto Workers's contentious negotiations with the Detroit Three automakers.

General Motors workers narrowly approved their pending agreement on Thursday and workers for Dodge-Jeep-Chrysler owner Stellantis followed suit on Friday, according to the UAW's preliminary voting results.

Of the 57,000 union autoworkers employed by Ford, just 34,600 production workers and skilled trades workers voted, according to preliminary results posed by the UAW on Friday afternoon. More than 68% of those members, about 23,600 people, voted to ratify the deal, while just 11,000 cast their ballot against the proposal.

Although some smaller facilities have not yet finished tallying votes, there aren't enough workers at those locations to close the gap and prevent ratification.

Just two local chapters of the UAW voted against the agreement — a small parts facility in Florida and Ford's sprawling Kentucky Truck Plant — as of Friday afternoon. Notably, the roughly 8,700 autoworkers at Kentucky Truck went on strike on Oct. 11 as part of UAW President Shawn Fain's strategy to put more pressure on the automaker.

A majority of union members employed by Ford Motor Co. have voted in favor of a new four-and-a-half year labor contract.
Scott Olson/Getty Images

Roughly 78% of the 3,400 workers at the company's Dearborn Truck Plant in Michigan voted in favor of ratification, pushing approval over the edge, according to the UAW's vote tracker.

The historic four-and-a-half-year labor contract adds more value for employees in each year of the deal than the "entirety" of the UAW's 2019 contract, according to the union. The UAW has also said the wage increases included in the contract provide greater wage hikes than all raises offered by Ford since 2001.

The union won general pay raises of 25% over the life of the contract, and 11% wage hikes during the first year of the deal. Ford also agreed to restore the cost-of-living adjustment formula it suspended after the 2007-2008 financial crisis, which will boost wages for most members by over 30%.

Temporary workers — who currently start at $16.67 per hour — will get a 150% raise through the agreement and workers at the Sterling Axle facility and Rawsonville Components plant in Michigan will receive an immediate 85% wage hike once the deal is officially ratified.

"Thanks to the power of our members on the picket line and the threat of more strikes to come, we have won the most lucrative agreement" in decades, UAW Vice President Chuck Browning said in a video message on Oct. 25.

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