At 7 a.m., 4,000 unionized workers initiated a strike, further exacerbating the ongoing labor unrest in the automotive industry, which has affected all three major Detroit automakers, according to the United Auto Workers (UAW).
Mack Trucks is a major producer of heavy-duty trucks, medium-duty trucks, and exclusive engines and Mack transmissions in North America. One of the top producers of diesel, natural gas, and electric trucks, buses, construction machinery, marine engines, and industrial engines worldwide is the Volvo Group, which includes Mack. They are known for their durability, reliability, and performance in various applications, such as construction, mining, logging, and highway transportation.
In a letter addressed to Volvo Trucks, the parent company of Mack, UAW President Shawn Fain conveyed that 73% of workers had voted against the proposed agreement, as confirmed by the results tallied on Sunday.
Stephen Roy, president of Mack Trucks, said,“The UAW called our tentative agreement ‘a record contract for the heavy truck industry,’” he said in the statement. He said the company assembles all of its trucks and engines for the North American market at US plants and that it “continues to compete against products built in lower-cost countries.” “We are committed to the collective bargaining process and remain confident that we will be able to arrive at an agreement that delivers competitive wages and benefits for our employees and their families, while safeguarding our future as a competitive company and stable long-term employer.”
According to the statement, the company is committed to collective bargaining and is sure that both parties will come to an agreement that provides competitive salaries and benefits while securing the company’s future.
The UAW represents Mack employees in Pennsylvania, Maryland, and Florida, and their union leaders had previously reached a tentative agreement on October 1st. The terms of the deal encompassed a 19% wage increase throughout the contract’s duration, with an initial 10% raise upon ratification. Additionally, the agreement offered a $3,500 ratification bonus, maintained weekly healthcare contributions at their current level, increased annual lump sum payments for retired workers, and included a $1,000 annual 401(k) lump sum to help cover healthcare expenses for employees who do not receive health insurance post-retirement.
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