The National UAW-FCA Council voted to send the proposed hourly and salary tentative agreements with FCA for a ratification vote of UAW members.
The council consists of FCA local leaders nationwide.
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Local unions will now proceed with informational meetings and ratification votes at all FCA local unions to be held beginning Friday, 6 December.
“This pattern agreement lifts all current full time employees to top pay in four years; provides parity on health care for all in progression employees; provides a pathway to full time status and eventually top pay for all temporary employees; prescription drug coverage for temporary employees; a US$9,000 signing bonus for traditional members and a $3,500 signing bonus for temporary members; enhanced the profit sharing formula by 12.5% and created over 7,900 jobs from over $9 billion in investment – including $4.5 billion in newly announced projects,” said Cindy Estrada, UAW vice president and director of the UAW-FCA department.
Estrada said the agreement reflects the strength of FCA’s profits in North America.
“UAW FCA members continue to grow in numbers due to the quality and innovative products they produce,” said Rory Gamble, acting president of the UAW.
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By GlobalData“This contract continues a strong pattern that allows for continued growth – including a new Detroit plant – while rewarding members for their role in the companies’ success.”
CNBC noted the deal, which was patterned off recently ratified deals with General Motors and Ford, offered ratification bonuses the same as for Ford workers but $2,000 less than what GM workers received after a 40-day strike against the automaker.
Unlike the recent UAW contracts with GM and Ford, Fiat Chrysler was not expected to close any US plants under the terms of the contract. However, the automaker does plan to end a joint venture of an axle plant with a German auto supplier in Michigan. The union expects the supplier, ZF Friedrichshafen, to continue operating the plant. Current employees are expected to be offered jobs at other Fiat Chrysler facilities or at the facility with the supplier.
Voting is expected to end on Wednesday, two days ahead of previously expected, according to the union.
The rushed voting, according to the union, is an attempt to get ratification bonuses to union members before the Christmas holidays, if the deal is approved.
CNBC noted ratification of the deal was not guaranteed. Fiat Chrysler workers four years ago set a new precedent by voting down an initial leadership-approved deal during the last round of talks.
