The United Auto Workers union denied media reports Thursday that it is close to an agreement with General Motors ( GM) and bankrupt auto-parts maker Delphi, which is trying to cut labor costs as part of its restructuring process. "The media is doing a tremendous disservice to our membership and the negotiations process by suggesting the parties are close," the UAW said in a statement posted on its Web site. "The parties are not close to working out such an agreement. There are many, many, significant issues to be resolved. Overall the situation has changed very little since our last meeting." Delphi has threatened in its bankruptcy proceedings to reject collective-bargaining agreements and cut retiree benefits. Such a move could cause a labor strike that would be calamitous for an already-shaky GM, which would have to cut production without a stream of auto parts coming from Delphi. GM, which has liabilities related to Delphi since the auto-parts supplier was originally a subsidiary of the world's largest automaker, has been locked in negotiations with Delphi and the union to help facilitate a deal. According to various reports, local union leaders are meeting in Detroit next week, with some stories suggesting that the leaders will be given details of a potential agreement. "The meeting next week is another routine meeting to bring you up to date on these complicated and difficult discussions," the union said to its members in the statement. "The suggestion that we have an outline of an agreement to review with you is unfortunately, just not true." Despite the union's denial of a pending agreement, GM shares still recently were up 90 cents, or 4.4%, to $21.32. The shares had jumped as much as 7% in earlier trading.