Ford Workers Ratify New Contract With United Auto Workers

The deal was ratified by 51.3 percent of production workers and 52.4 percent of skilled-trades workers, the United Auto Workers said in an e-mailed statement.

“Our UAW members have ratified the national agreement after a long process and much debate”, said UAW president Dennis Williams in a statement.

Union leaders had warned that they might not get a better deal from Ford if workers rejected the agreement.

The deal gives UAW’s traditional workers their first wage increase in 10 years, while also creating a path for newer employees – those hired after 2007 – to have their wages reach parity with more seasoned co-workers by 2020.

“Ford will continue to work with our U.A.W. associates to execute the deal, and employ our workers in enhancing the company and building great vehicles for our customers”, the statement said.

UAW-GM membership voted in favor of the tentative agreement – 55.4 percent in favor versus 44.6 percent against – the skilled trades membership voted against ratification.

“Following discussions with GM, the parties agreed to changes that protect core trades classifications and seniority rights”, the UAW said in a news release.

GM joins Fiat Chrysler Automobiles in striking a new four-year nationwide agreement with the UAW.

The Ford proposal, which covers more than 50,000 workers, is considered the most generous of the three deals.

There is not any higher authority that union membership, which through a democratic and fair process the members of the UAW-Ford have delivered new job security and solid economic gains for their many families and our communities.

The review of skilled trades workers concerns found they had issues pertaining to local contract agreements, reclassification of trades, numbers of apprentices, concern over outsourcing or loss of jobs and the absence of cost of living increases and buyouts. More than 92 percent of Ford’s salaried workers under the UAW also voted in favor. Approval of a contract with GM was delayed after skilled-trades employees voted it down, but the UAW declared it ratified earlier Friday.

The four-year contract includes $9 billion in US product commitments and 8,500 jobs created or retained. Retirees also will receive a $500 gift card.

“There was a lot of pressure for more raises and to get rid of the second tier even faster”, said Kristin Dziczek, director of the labor and industry group at the Center for Automotive Research in Ann Arbor, Michigan.

The terms of the Ford contract have not been disclosed.

GM declined to comment on the external labor cost estimates. The UAW targeted Fiat Chrysler first, and an initial agreement was rejected by workers by about 2-to-1.

Settles and other UAW leaders had held a press conference last week to urge members still waiting to vote to approve the agreement.