The United Auto Workers made a counter proposal to General Motors Co. that would end a nearly monthlong strike if the automaker agrees.
. While GM publicly released details of its first formal offer to the union on Sept. 15 — the day the UAW called the strike — the company had until this week limited public criticism of union leaders, who themselves are dealing with aGM was raising the pressure on UAW brass Friday in a bid to clinch an agreement before the strike enters a fifth week.“GM is frustrated with the pace of negotiations,” said Art Schwartz, a former GM labor negotiator who’s now a consultant in Ann Arbor, Mich.
GM shares rose 2.6% on Friday, paring their decline since the strike began to 8.5%. While credit-rating companies initially warned of risk to the automaker if the walkout lasted more than a couple weeks, they’ve“GM has adequate liquidity to contend with a strike of this duration,” Bruce Clark, lead U.S. auto analyst for Moody’s Investors Service, wrote in a report Friday. The carmaker would start to forgo significant earnings if the walkout extends into late November, he said.
Earlier Friday, GM released a broad outline of the offer made at the beginning of the week, saying it would boost wages and lump-sum payments while also preserving healthcare benefits. Gerald Johnson, GM’s executive vice president of manufacturing,the automaker was prepared to enhance profit-sharing, including by lifting the cap on how much is paid out based on the company’s earnings.
UAW members also would receive bigger ratification bonuses than in 2015, when each worker was paid an $8,000 signing bonus. And the offer gives“The strike has been hard on you, your families, our communities, the company, our suppliers and dealers,” Johnson wrote to employees. “We have advised the Union that it’s critical that we get back to producing quality vehicles for our customers.”
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