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UAW Reaches Settlement Agreement with Chrysler, Fiat


UAW Reaches Settlement Agreement with Chrysler, Fiat

by James Parks, Apr 27, 2009

Just days before a federally imposed deadline, the UAW announced last night it had reached a settlement agreement with Chrysler, Fiat and the U.S. Treasury Department.

After rejecting Chrysler’s viability plan in February, President Obama gave Chrysler workers and the company a second chance, union officials said. This concessionary agreement, while painful, takes advantage of this opportunity, the union said.

The settlement agreement, subject to ratification by UAW members at Chrysler, meets the requirements of U.S. Treasury Department loans to the company. It includes modifications to the union’s 2007 collective bargaining agreement and the Voluntary Employee Beneficiary Association trust.

“We recognize this has been a long ordeal for active and retired auto workers, and a time of great uncertainty,” said UAW President Ron Gettelfinger.

The patience, resolve and determination of UAW members in these difficult times is extraordinary, and has made it possible for us to reach the agreement we will present to our membership.

In the face of incredibly trying circumstances, UAW Chrysler members have risen to the occasion, day in and day out, building top quality vehicles in a productive manner.

UAW Vice President General Holiefield, who heads the union’s Chrysler Department, says the ratification process must be finished by April 29. He says every stakeholder must step up to save the company.

Once again, our active and retired members are being asked to make extraordinary sacrifices in order to help Chrysler return to viability. In order for the company to have a sustainable future, all stakeholders will have to show the same willingness to contribute to the common good that has been demonstrated repeatedly by our membership.

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