United Auto Workers members at the General Motors and Toyota joint venture plant in Fresno, California, have approved a new labour agreement, which includes higher wages and improved pension benefits for employees, Reuters reported.
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As part of the four-year contract with New United Motor Manufacturing (NUMMI), UAW workers at the assembly plant reportedly will also get a $US3,000 up-front settlement bonus – the contract covers 4,000 hourly workers.
Reuters noted that NUMMI, established in 1984, builds the Toyota Corolla, Tacoma pickup trucks and GM’s Pontiac Vibe and produced 380,679 vehicles in 2004, including 311,453 Toyota-brand vehicles.
NUMMI is the only UAW-represented Toyota manufacturing plant in the United States, the report added.
The two automakers received only modest concessions in health-care costs from the UAW in the form of a $5 increase in ‘co-pays’ [union members’ contributions] for prescription drugs and doctor visits, Reuters said.
The news agency noted that GM has been in talks with the UAW since April to try to slash some of the health care benefits that have been blamed for its inability to compete with Asian rivals.
