FCA and United Auto Workers Nearing 4-Year Deal

December 3rd, 2019 by

FCA Plant Kendall Dodge

Photo credit: FCA

Fiat Chrysler Automobiles (FCA) has received word on a tentative agreement with union members from the United Auto Workers (UAW) on a four-year deal. The contract has a total of $9 billion towards investments with the last remaining part of the deal being worked out. The final say will come down to the adoption of the deal by the workers. A bonus of $9,000 for workers is one item being discussed along with a commitment to preserve all current factories where FCA vehicles are made for the next four years. The current FCA plant in Belvidere, Illinois must also be among the plants that must stay running. 

Next Steps For Fiat Chrysler Automobiles 

The UAW Bargaining Committee and FCA had worked on this deal for months. FCA had already agreed to invest $4.5 billion into a new plant in Detriot, Michigan and upgrade other auto plants to make them ready for the new three-row Jeep SUV currently in the works. The announcement of 7,900 jobs and an additional $4.5 billion towards investments is a large reason this deal was able to get done. Workers are going to see gains in average salary, benefits, and job security over these next four years as FCA has big plans ahead. Not all automotive companies have been able to secure their union workers into a deal, but FCA knows their greatest strength is their people. 

“Our UAW Bargaining Committee worked diligently, over many months, during the General Motors strike and Ford negotiations to maintain productive negotiations with FCA. Out of respect for our members, we will refrain from commenting any further or releasing full details of the agreement until the UAW-FCA Council leaders meet and review the details,” said UAW Vice President Cindy Estrada, director of the UAW-FCA Department.

Final Agreements To Be Voted On This Week

FCA has announced a merger to continue working on their electric vehicle goals in the next decade. Since the last four years, UAW added 6,400 new members to their union and is working to see productivity and long-term work provisions added to deals like the one they just formed with FCA. The formal agreement is expected to be voted and signed on December 6, 2019, after the UAW and FCA National Council meet this week on December 4th, 2019 to decide on. Should everything go according to plan, FCA can tell its shareholders and customers everything is going according to plan for continued success in the next decade.

“FCA has been a great American success story thanks to the hard work of our members. We have achieved substantial gains and job security provisions for the fastest-growing auto company in the United States,” remarked Rory Gamble, the acting president of the UAW.

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