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The UAW ratifies a contract...and labor’s road ahead in the EV transition
By Katie Myers - Grist, November 20, 2023
Members of the United Auto Workers have overwhelmingly approved a contract that will deliver higher wages, assure them of a role in the EV transition, and possibly lead toward greater unionization of the auto sector. With all of the benefits the pact provides, tens of thousands of people will immediately see their pay rise more than 40 percent, the union said.
The union’s ratification of the pact, by a margin of 64 percent, with Ford, General Motors, and Stellantis followed a two-month strike. Though the electric vehicle transition was never an explicit part of bargaining, it ran as a simultaneously tense and hopeful undercurrent through the walkouts, pickets, and negotiations. This contract, analysts say, will allow the union’s 150,000 members to maintain their quality of life as the nation decarbonizes the transportation sector.
“Those are all huge wins,” said Albert Wheaton, director of the Cornell Institute for Labor Studies. “The biggest wins by far have been for the lower paid workers.”
Under the contract, the base wage paid to workers will increase 25 percent, while the top wage will climb 33 percent. It also provides cost-of-living adjustments and eliminates the two-tiered wage system that saw new hires permanently earn lower wages than veterans. Temporary workers will see their pay jump 150 percent, and the pact cuts from eight to three the number of years required to reach the top pay level.
The agreement with Stellantis also provides for the reopening of a plant that the automaker had planned to close in Belvidere, Illinois, and will add 1,000 jobs at an EV battery plant in the same town.
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