What did Ford agree to with the UAW?
The tentative agreement includes an 11%
wage increase the first year and totals 25% over a 4½-year contract, plus a $5,000 ratification bonus and cost-of-living adjustments, according to two sources familiar with the deal but not authorized to speak publicly.
The gains in the deal are valued at more than four times the gains from the last UAW contract in 2019, and provide more in base wage increases than Ford workers have received in the past 22 years, the UAW said in a news release. The union said the tentative agreement also includes:
- Cumulatively raising the top wage by more than 30% to more than $40 an hour
- Raising the starting wage by 68%, to more than $28 an hour
- Providing a raise of more than 150% to the lowest-paid workers at Ford over the life of the agreement, with some workers receiving an immediate 85% increase immediately upon ratification
- Reinstating major benefits lost during the Great Recession, including cost-of-living allowances and a three-year wage progression
- Killing different pay rates, or tiers, for workers
- Improving retirement benefits for current retirees, those workers with pensions, and those who have 401K plans
- Including the right to strike over plant closures
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