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UAW Workers Reject Nexteer Contract with 97% “No” Vote

Only 80 of nearly 3,200 United Auto Workers union members at Nexteer Automotive Corp.’s factory in Saginaw, Mich., have voted to accept a proposed four-year labor contract.
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Only 80 of nearly 3,200 United Auto Workers union members at Nexteer Automotive Corp.’s factory in Saginaw, Mich., have voted to accept a proposed four-year labor contract.

Nexteer calls the overwhelming rejection “disappointing.” The company, which makes steering systems and driveline components, says the pact would have enabled it to hire employees and invest more than $300 million in new business.

Now, it says it will revisit the plant’s “strategic options” as talks continue.

Workers were underwhelmed by the size of wage increases, the prospect of more expensive healthcare coverage and an erosion of paid days off, according to Automotive News. The agreement offered raises of 6%-32% to as much as $17.25 per hour over the term of the contract.

 

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