Factbox: Automakers with non-union workforce race to bump pay after UAW's record deals

Forward Industries

21/11/2023 15:16

Nov 21 (Reuters) - Car companies with production
facilities in the United States are bumping up pay for their
non-union workers after the United Auto Workers (UAW) secured
record wage hikes and benefits for union workers at the Detroit
Three automakers.
   The UAW labor deals with General Motors  GM.N , Ford Motor
 F.N  and Stellantis  STLAM.MI  through 2028, include a 25%
increase in base wages, including an immediate 11% hike, and
will cumulatively raise the top wage by 33%, compounded with
estimated cost-of-living adjustments to over $42 an hour.
    The deal also eliminated wage tiers in factories and reduced
the time it takes to reach top wage from eight years to three
years. 
    The union on Monday released a video on social media,
touting the "UAW Bump," urging non-union workers to join the
UAW. It has shifted its focus towards foreign-owned and Tesla
 TSLA.O  auto plants. 
    President Joe Biden has backed the UAW in its quest to
unionize other carmakers.
   
Following is a roundup of the companies that have raised wages
in response to the UAW deal: 
   
   ** Nissan Motor  7201.T  - Will hike top wages for workers at
U.S. manufacturing plants by 10% in January, impacting about
9,000 U.S. workers in total. Nissan said it is also eliminating
wage tiers for U.S. production workers.
   ** Hyundai Motor  005380.KS  - Will hike wages for nonunion
production workers at its Alabama factory by 25% by 2028,
impacting 4,000 hourly workers.  
   ** Honda Motor  7267.T  - Will give production workers at its
U.S. facilities an 11% pay hike starting in January, adding that
it would also cut the time it takes factory workers to get to
the top-wage tier to three years from six.
   ** Toyota Motor <7203.T > - Raising the wages of nonunion
U.S. factory workers, with hourly manufacturing workers at top
pay will receiving a wage hike of about 9% effective January
2024.
    ** Subaru  7270.T  - Will raise the wages of its U.S. plant
workers in Lafayette, Indiana. The company is yet to determine
the amount of the raise. 

 (Reporting by Aishwarya Jain; Editing by Shailesh Kuber)
 ((Aishwarya.Jain@thomsonreuters.com;))