Chrysler will pay workers represented by the United Auto Workers (UAW) the second half of the US$3,500 ratification bonus on 21 December, waiving a condition outlined in the collective bargaining agreement signed last year requiring payment in the first quarter of 2013.
UAW members were originally to receive the bonus in two equal payments with an initial payment of $1,750 on ratification followed by another $1,750 if agreed financial goals were met for four consecutive quarters. The company is waiving that requirement in acknowledgment of the dedication shown by its hourly workforce.
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“This waiver of the four-quarter requirement is made in recognition of the tremendous contribution you have all made to the performance of our facilities and to the revival of Chrysler,” Sergio Marchionne, Chrysler Group chairman and CEO, said in a letter to employees.
About 26,200 workers qualify for the second $1,750 payment which comes on top of a minimum $500 quality bonus that will be paid to US employees on 7 December. Workers at several plants will receive more – $1,000 in one case.
