After 10 days of marathon hour-by-hour overtime negotiations the UAW has set an 11:00 am deadline to strike GM. This surprising development comes after rumors of an accord to being close at hand. While no one is talking about specifics yet, the assumption is that the hang up is health care. Word had it yesterday that the two parties had agreed in principle, but that that the specific details of how to implement the new plan, which would shift the financial burden from GM to the union, being the sticking point...
If a strike were to occur, talks will continue between the two parties.
In a statement issued around 1:30 a.m., UAW President Ron Gettelfinger stated that he is "shocked and disappointed" in GM and that the automaker has failed to recognize recent sacrifices made by the union.
"Since 2003, our members have made extraordinary efforts every time the company came to us with a problem," he said, listing the landmark 2005 health care deal, last year's massive buyouts and the Delphi Corp. bankruptcy settlement earlier this year. "In every case, our members went the extra mile to find reasonable solutions. And in this current round of bargaining, we did everything possible to negotiate a new contract, including an unprecedented agreement to stay at the bargaining table nine days past the expiration of the previous agreement."
Full story here. Related story here.
Here's Inside Line's take: UAW Sets Strike Deadline for GM
In a statement issued around 1:30 a.m., UAW President Ron Gettelfinger stated that he is "shocked and disappointed" in GM and that the automaker has failed to recognize recent sacrifices made by the union.
"Since 2003, our members have made extraordinary efforts every time the company came to us with a problem," he said, listing the landmark 2005 health care deal, last year's massive buyouts and the Delphi Corp. bankruptcy settlement earlier this year. "In every case, our members went the extra mile to find reasonable solutions. And in this current round of bargaining, we did everything possible to negotiate a new contract, including an unprecedented agreement to stay at the bargaining table nine days past the expiration of the previous agreement."
Full story here. Related story here.
Here's Inside Line's take: UAW Sets Strike Deadline for GM
estreka says:
07:14 AM, 09/24/07
Why on earth is GM up 3% today? It's days like today that I'll never understand investing.
This could be crippling to GM's annual returns.