General Motors is to undertake pay negotiations this summer as unions look to flex their muscles following a bumper series of profitable quarters.
The US automaker declined to reveal specific details of its talks with labour organisations, but maintained “both sides were going in the same direction” to allow employees a share of the new prosperity.
“The current agreement expires in September and it is different in different years,” a GM spokesman in Michigan told just-auto. “The UAW has new leadership in Bob King and Joe Ashton so we don’t know how that will go – we have ongoing dialogue with them on a regular basis.
“Some months there are…preliminary agreements but as with many unions they get pretty serious nearer the deadline.”
GM recently said its strong business results are expected to generate upwards of US$4,000 per employee for the GM plan and US$3,000 for staff of the GM Component Holdings plan.
A final average payout per employee will be with GM’s full year results due out on 24 February. The automaker has 45,000 eligible employees.
The UAW was not immediately available for comment.