Mexican Media Brands
UAW Retiree Healthcare Trust Loses GM Board Seat
A healthcare trust representing retired United Auto Workers union members has relinquished its seat on the General Motors Co. board.
#labor #economics
Share
A healthcare trust representing retired United Auto Workers union members has relinquished its seat on the General Motors Co. board, Automotive News reports.
The VEBA (voluntary employees’ beneficiary association) acquired 87.5 million shares in GM—which jumped to 262.5 million when the stock split—as a result of GM’s bankruptcy restructuring. The deal also entitled the UAW to a board seat, provided that the fund retain at least half its originally acquired shares.
GM says the VEBA relinquished that right as the result of a stock sale in February that reduced the trust’s stake to about 100 million shares. Even so, the VEBA remains GM’s largest shareholder.
Retired UAW Vice President Joe Ashton was appointed to the VEBA seat in 2014, marking the first time the union had even been represented on GM’s board.
Ashton resigned last December amid a federal probe into the misuse of funds for a worker training center co-operated by the UAW and Fiat Chrysler Automobiles NV. Investigators also have been studying the finances of similar centers operated by GM and Ford Motor Co.
RELATED CONTENT
-
CEO Barra Steps into GM-UAW Talks
General Motors Co. CEO Mary Barra met secretly with United Auto Workers union leaders yesterday afternoon, according to the New York Post, which first reported the event.
-
EU’s Industry Commissioner: “Diesels Are Finished”
The Volkswagen diesel scandal triggered a “breakthrough moment” among European consumers about clean air that will mean the demise of diesels, says European Union Commissioner Elzbieta Bienkowska.
-
VW Workers Again Reject UAW at Tennessee Plant
Hourly workers at Volkswagen AG’s assembly plant in Chattanooga, Tenn., have again voted against having the United Auto Workers union represent them.