On Wednesday, February 10th, Auto Workers Union (AWU) announced that it had reached a tentative agreement to end the strike with Stellantis. The strike was initiated four weeks prior when AWU members refused to accept Stellantis’ proposal which called for wage and benefit cuts, as well as a reduction in pension contributions for new hires. The agreement is set to become official on February 11th, pending union members’ approval.
The agreement promises wage increases for production employees in each of the four years of the contract, as well as substantial bonuses for temporary workers and bonuses for those in the skilled trades. It also provides additional recruiting and hiring for new employees at Stellantis, including recent graduates and members of the military. Furthermore, the agreement brings back a number of benefits that were removed in the original proposal, such as healthcare coverage and vacation days.
Stellantis’ CEO Carlos Tavares expressed relief at the agreement and his hopes of a new, productive chapter between the two parties going forward. “This agreement allows us to move beyond the previous weeks of disagreement and towards a new partnership with our workforce as we work towards a path of increased productivity and job security,” he said.
AWU President Erik Loomis also expressed his satisfaction with the agreement, praising the strength and resolve of the union’s members. “This agreement honors the hard-working auto workers who stood up for their rights and sent a clear message to Stellantis that their demands for wage and benefit cuts were unacceptable,” he said.
The agreement is welcome news for both the workers and the company, as it provides an opportunity for both to move forward in a productive and beneficial manner. For many members of the Auto Workers Union, the tentative agreement is also a sign of hope that they will no longer have to endure reductions in wages and benefits.