United Auto Workers (UAW) members ratified a new five-year collective bargaining agreement with Mack Trucks late Wednesday, ending a 39-day work stoppage at Mack Trucks facilities in Pennsylvania, Maryland and Florida.
Employees will report back to work Monday, Nov. 20 for their usual shift. The strike at Mack began on Oct. 9.
“The new agreement guarantees significant wage growth and delivers excellent benefits for our employees and their families,” says Mack President Stephen Roy. “At the same time, it will safeguard our competitiveness and allow us to continue making the necessary investments in our people, plants and products.”
There are 3,900 UAW members employed at Mack's three plants. UAW leadership had agreed to a tentative deal with Mack in early October but the agreement was shot down by 73% of UAW members. Wednesday's package was passed by 93% of members.
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UAW leaders called the Oct. 1 tentative deal a "record" win for its membership. Even as negotiations dragged on Mack held tight to those benchmarks, offering an average wage increase over five years of 36%, with an average immediate wage increase for all covered employees of nearly 15%. For employees not yet at the top rate (nearly half the total workforce) the average increase over five years would be 55%, and the average immediate wage increase would be more than 20%. Most employees already at the top rate would receive an immediate wage increase of 10%, and up to 20% compounded over five years, even though company research shows that these employees are already above market rates, Mack Trucks said.
Premiums for the company’s healthcare coverage, which have not increased in more than six years despite a 66% increase in the company’s costs over the last decade, according to Mack Trucks, remain unchanged for five more years.
