Academic journal article Monthly Labor Review

Settlement Reached in GM Parts Plants

Academic journal article Monthly Labor Review

Settlement Reached in GM Parts Plants

Article excerpt

The International Union of Electronic Workers (IUE) announced membership approval of a 3-year contract for 24,000 employees of nine General Motors Corp. (GM) plants.

Terms were similar to those in GM's settlment with the United Auto Workers (see Monthly Labor Review, December 1984, pp. 46-49), except that the IUE agreement provides for more paid time off, which the union said was a high priority for the workers employed by GM's Delco, Packard Electric, and other parts plants. Under the IUE agreement, the paid absence allowance was increased to 9 work days in the first contract year and 8 in the second. In the third year, the employees will receive 5 paid absence days, the same as in each year of the prior agreement, which had a 2-year term. (In contrast, the new 3-year UAW-GM contract continued to provide for 5 paid absence days per year.) In exchange for the improved paid absence provision, the IUE agreed to offsetting changes in other provisions: the initial wage increase (2.25 percent) was not retroactive to the September 14 termination date of the prior agreement; 11 cents of the existing cost-of-living allowance was not rolled into base rates; 14 cents will be diverted from future cost-to-living adjustments for the contract duration; and increased company payments into a training fund and establishment of a legal services plan were deferred to 1987. …

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