Nov 16 (Reuters) – About 3,900 of its members working at Mack Trucks have ratified a new five-year contract, the United Auto Workers (UAW) union said on Wednesday, ending a month-long strike at Volvo Group (VOLVb.ST). -Owned company.
The move comes after unionized workers overwhelmingly rejected an initial deal in October that included a 19% pay increase and a $3,500 endorsement bonus, complaining that the raise was too small to keep up with inflation.
Under the new contract, the average pay increase over five years will be 36%, with an average immediate increase for all covered employees of approximately 15%, Mack Trucks said.
The company said in an email statement on Thursday that for employees who have not yet reached the top rate, which represents nearly half of the total workforce, the average pay increase over five years will be 55%, with the average increase Immediate wages exceeding 20%. .
“After 39 days on strike, UAW members at Mack Trucks voted 93% to ratify their new contract with significant local improvements,” the union said in a post on messaging platform X, formerly known as Twitter.
Mack Trucks said the new contract includes its employees at facilities in Pennsylvania, Maryland and Florida.
The deal comes as the UAW holds worker certification votes at Detroit’s Big Three automakers, where workers have been on strike for more than six weeks demanding better wages, working conditions and cost-of-living adjustments.
GM’s tentative labor agreement with the union moved closer to ratification after votes were counted Wednesday. Voting at Ford (FN) and Stellantis (STLAM.MI) is still ongoing, and insiders at both companies favored certification by a comfortable margin.
Mack Trucks, acquired by Volvo in 2000, is one of the largest manufacturers of medium- and heavy-duty trucks in North America.
(Reporting by Maria Ponizath, Shubham Kalia and Mrinmay Dey in Bengaluru – Reporting by Muhammad for the Arabic Bulletin) (Reporting by Gokul Pisharody and Paranjot Kaur – Additional reporting by Gokul Pisharody and Paranjot Kaur) Editing by Varun Hong and Anil D’Silva
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