DETROIT — General Motors first wage-and-benefit offer to the United Auto Workers on Thursday falls far short of the union’s initial demands.
The offer comes just a week before the UAW’s national contracts with GM, Stellantis and Ford expire, and even though both sides are far apart, it’s a sign of movement on economic issues.
But the union is threatening to strike against any automaker that hasn’t reached a tentative agreement by the time contracts expire at 11:59 p.m. on Sept. 14. A strike against one or more automakers is a real possibility.
GM said in a letter to workers that it’s offering a 10% wage increase during a new four-year contract, plus two more 3% one-time payments. It’s also offering a $6,000 inflation payment, $5,000 more in lump sums to protect against inflation during the contract, and a $5,000 contract ratification bonus. The company wouldn’t say when the pay raises or most of the lump sums would be effective.