On Wednesday, the 16th of October 2019, negotiators of General Motors Co. alongside United Auto Workers union had reached a new four-year labour deal after days of tentative talks, suggesting a month-long strike of GM’s 48,000 hourly workers that had costed the leading US automaker more than $2 billion and shut down its most profitable factories in Detroit, might have been moving closer to an end.
Nonetheless, after making announcement of the deal, neither GM nor UAW had released the financial terms of the deal, while the new contract deal would be requiring a ratification from the UAW members and the entire process might take more than two weeks.
Meanwhile, industry experts had been quoted saying following the announcement of a tentative labour deal between UAW Union representing GM’s 48,000 hourly workers who had been taking stance over the picketing line since mid-September and the management board of the leading US automaker, that, a new contract would likely to involve commitments from the United States’ No.
1 automaker to invest billions of dollars in its US-based factories to manufacture next-gen e-vehicles alongside the first electric vehicle battery plant owned entirely by a US firm, nonetheless, analysts feared that a transformation to e-vehicles could shed thousands of jobs in its transmission and engine factories.
Apart from that, shares of General Motors had closed Wednesday’s (October 16th) market 1.1 per cent higher to $36.65 after spiking as much as 2.6 per cent to $37.21 during morning US trading hours.