Chrysler Workers Ratify Labor Contract Adding 2,100 New Jobs

October 27 00:00 2011

New York, October 27 ( – On Wednesday, officials of the United Automobile Workers (UAW) announced that the workers of Chrysler had ratified the four-year agreement that it had previously signed with the management. The contract, which will add 2,100 new US jobs, was approved by 55 percent of Chrysler’s 23,000 hourly workers.

As per the terms of the contract, Chrysler workers will get $3,500 signing bonus but only half that sum will be paid upon ratification. The balance half will be paid when the company is more financially stable in 2012. They will get less than what workers of Ford and General Motors will get, both of which are more profitable and further along on their turnaround plans.

Ford workers will get their full $6,000 signing bonuses and GM employees will get their entire $5,000 payments next month. General Holiefield, U.A.W.’s chief negotiator with Chrysler said, “It’s not everything our members deserve, but we did the best we could in these uncertain times.”

The voting at Chrysler was closer than at Ford or G.M. with only 44 percent of the skilled trade workers comprising about 5,000 electricians and other specialized employees, approving the deal. The union said that the reasons “were predominantly economic and not unique to skilled trades’ members. Accordingly, the International Executive Board declared the agreements ratified.”

UAW’s president, Bob King attributed the smaller margin at Chrysler to concerns over bonuses because their counterparts in Ford and GM were getting more.