Fiat-Chrysler Not Throwing More Money At UAW Contract

Fiat-Chrysler Automobiles isn’t willing to spend more money on a better contract for UAW workers after the union voted overwhelmingly against a tentative agreement, The Detroit Free Press reports.

The automaker’s initial contract proposal included a $3,000 signing bonus, 3% percent pay increases in the first and third year of the contract for workers hired before 2007, 4% lump sum bonuses for those same workers in the second and fifth years of the contract and a wage increase for all unionized employees, among other things.

The workers voted against the agreement over uncertainty about where future products will be made. They also feel lied to as a 25% cap promised in 2011 on the number of workers under the two-tier pay system was not mentioned in the contract.

Experts believe the union has to give FCA a chance to go back to the drawing board and come up with a new proposal, however the automaker is unlikely to offer workers the wage increases they are looking for. The initial proposal included wage increases and was still turned down, but UAW President Dennis Williams remains confident about further discussions.

“What I love about our organization most of all is that no matter what we do, what action we take, the ultimate decision and the power of the union is our members and they make the final decision,” he said statement.

“We will gather the issues together; notify FCA that further discussions are needed.”

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