CAW is trying to make a deal with Ford

Posted on Friday, 21 September 2012 , 15:09:12 byIulia

Filed under cawfordgmchryslersalesproductionFordAmericanGMChrysler

CAW is trying to make a deal with Ford

Apparently a deal was made between Ford and the Canadian Auto Workers union. For those of you who do not know, the workers want to sign a new four-year contract with the automaker. If no solutions will be found, they will start a strike at the beginning of next week. No final solution was found and the deal still needs to be checked by the union members. It includes creating 600 new jobs, paying CAW members $9.234 in bonuses over the life of the contract, modifying the two-tier wage system and also eliminating guaranteed cost-of-living wage increases. The new people hired will make to receive $21 per hour at the beginning and receive a full wage of around $35 an hour after ten years and not six.

The CAW members have decided to offer GM and Chrysler and extension of the current contract for an indefinite period. This way they will have more time to assess the Ford deal. Anyway, CAW presided said they will give them a 24-hour notice before the strike starts. By reaching a deal with CAW, Ford ensures a well continuation of the production process. If the CAW members do decide to go on a strike General Motors will be in big trouble. They will have to deal with the fact that their best-selling passenger cars and SUV model will have a lot to suffer. Of course, there is also the other problem, the launch of the XTS which is also scheduled to take place soon.

Chrysler will also have to face the fact that the Grand Caravan and Town & Country have a current inventory of 27 and 49 days respectively and are some of their high-volume models. By stopping the production process, the carmaker will loose a lot of money and credentials. Unfortunately, this is all we know on the matter.

CAW is trying to make a deal with Ford image CAW is trying to make a deal with Ford image
CAW is trying to make a deal with Ford image