The U.S. strike against General Motors is officially over.
The Detroit-based automaker confirmed Friday afternoon that its American-based employees, represented by the United Auto Workers (UAW), have ratified a new four-year contract. The previous contract expired in mid-September, and the 48,000 union workers walked off the job in the first U.S. strike against GM since 2007.
The Detroit Free Press reported a total of 40,890 UAW members participated in the vote, and 57.2 per cent of them said yes, thus ending the 40-day walkout, which was the longest in GM's history since 1973.
"We delivered a contract that recognizes our employees for the important contributions they make to the overall success of the company, with a strong wage and benefit package and additional investment and job growth in our U.S. operations," said GM CEO Mary Barra in a statement posted on GM's corporate website. "GM is proud to provide good-paying jobs to tens of thousands of employees in America and to grow our substantial investment in the U.S. As one team, we can move forward and stay focused on our priorities of safety and building high-quality cars, trucks and crossovers for our customers."
Terry Dittes, UAW vice-president and director of the UAW-GM department, said he was proud of the way the employees carried themselves during the strike.
"We are all so incredibly proud of UAW-GM members who captured the hearts and minds of a nation," said Dittes. "Their sacrifice and courageous stand addressed the two-tier wages structure and permanent temporary worker classification that has plagued working-class Americans."
The new contract includes wage increases or lump sum payments in each of the four years, keeping the current health care package at a three per cent cost to employees, and an $11,000 signing bonus for regular employees, with $4,500 for temporary employees. The deal also includes no-cap employee profit-sharing and a way for temporary employees to become full contract workers after three years of service, starting in January 2020 for eligible employees.
Over 5,000 people in Canada were on temporary layoff as a result of the U.S. strike. The Oshawa Assembly plant, slated for closure by the automaker, was hit hardest with 2,100 workers on furlough. Two-thirds of the workforce at GM’s St. Catharines Engine Plant was also laid off. There were no strike-related layoffs at the CAMI plant in Ingersoll.
The UAW also announced Friday that Ford will be the next target for negotiations.