UAW Wary of DC Health Care Pact

Labor-cost relief granted recently to General Motors Corp. and Ford Motor Co. will not be automatically applied to the Chrysler Group, the United Auto Workers union says. The UAW first must be satisfied those measures, which cancel pay raises, are warranted, suggests President Ron Gettelfinger. His remarks come after he calls on Washington to help Detroit auto makers by exploring national health care,

February 1, 2006

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Labor-cost relief granted recently to General Motors Corp. and Ford Motor Co. will not be automatically applied to the Chrysler Group, the United Auto Workers union says.

The UAW first must be satisfied those measures, which cancel pay raises, are warranted, suggests President Ron Gettelfinger.

His remarks come after he calls on Washington to help Detroit auto makers by exploring national health care, revising trade policies and providing incentives to develop alternative-fuel technology.

In the spirit of pattern bargaining, a time-honored UAW tradition that has compelled Detroit auto makers to adhere to the same pay scale, Chrysler has said it expects the same breaks the union has given its rivals. To do otherwise would give Ford and GM an unfair advantage, Chrysler claims.

But while Ford and GM are implementing radical restructuring strategies, Chrysler's fortunes are improving. Its market share increased last year, and forecasts suggest 2005 financials will return a profit.

Gettelfinger says the UAW is in the early stages of talks with Chrysler. There is no deadline for a decision, and Gettelfinger cautions the process could take months.

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2006

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