GM Shares Jump As UAW Reaches Tentative Labor Deal
Courtesy of ZeroHedge
GM shares are rallying – erasing much of the strike losses – after reports that the United Auto Workers have struck a tentative labor deal.
This is a critical step in ending the month-long strike by more than 49,000 workers that has brought more than 30 GM factories in the U.S. to a standstill.
As CNBC reports,the deal is likely at least two weeks away from being finalized by rank-and-file union members. It still needs approval from local union leaders, who are expected to be summoned to Detroit from across the country to vote on it. The local leaders will also decide whether workers will remain on picket lines or return to work during the voting process.
Investors are not waiting for ratification…
Workers left their jobs early Sept. 16, demanding a bigger share of GM's profits, job security, and a path to permanent jobs for temporary workers. Details of the newly agreed, four-year agreement have yet to be released.
“The number one priority of the national negotiation team has been to secure a strong and fair contract that our members deserve,”UAW Vice President Terry Dittes, director of the UAW GM department, said in a statement.
How long until President Trump chimes in and claims he helped.