GM gives UAW another economic offer as strike deadline nears

General Motors Co. has upped its wage increase offer to 20% from the 18% hike that United Auto Workers President Shawn Fain criticized in a Facebook Live on Wednesday.

In an effort to avoid a work stoppage at any of its plants, GM included the sweetened wage boost in a new economic offer to the UAW Thursday morning ahead of the 11:59 p.m. contract expiration.

On Thursday afternoon, GM CEO Mary Barra provided the manufacturing team with details of the offer, which was handed to UAW leadership during negotiations at the union’s Solidarity House headquarters in Detroit.

“We’re at a crossroads on our path to building a company that can sustain all of us for decades to come,” Barra wrote. “Today, we put a compelling and unprecedented economic package on the table that reflects the significance of this critical moment.”

In a Thursday afternoon statement, Fain said: “We’re actively reviewing GM’s latest proposal, and look forward to submitting our responses. We wish they would’ve gotten this serious about bargaining six weeks ago, instead of hours before the deadline.”

Fain lambasted offers from GM, Ford Motor Co. and Stellantis NV during the Wednesday online event with members. Fain said GM offered an 18% wage increase over the life of the contract and a four-year period for workers to make top rate wages. GM’s first offer was for a 10% wage increase. Fain said Ford’s offer included a 20% wage increase and Stellantis’ offer included a 17.5% wage increase.

GM’s Thursday offer includes the 20% wage increase over the life of the agreement, with a 10% increase in the first year. GM also noted it offered to take temporary workers’ wages to $20 per hour and to cut in-progression steps to the top wage in half to four years, both of which were noted Wednesday in the Facebook Live event with Fain.

Barra, in her letter to employees, called GM’s offer “a historic proposal.”