{"id":40877,"date":"2023-03-29T10:54:09","date_gmt":"2023-03-29T10:54:09","guid":{"rendered":"https:\/\/www.my-equipment.com\/blog\/?p=40877"},"modified":"2023-03-29T10:54:29","modified_gmt":"2023-03-29T10:54:29","slug":"caterpillar-and-unionized-workers-agree-on-new-contract","status":"publish","type":"post","link":"https:\/\/www.my-equipment.com\/blog\/2023\/03\/caterpillar-and-unionized-workers-agree-on-new-contract\/","title":{"rendered":"Caterpillar and Unionized Workers Agree on New Contract"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">On March 13, Caterpillar workers who are members of the United Auto Workers union unanimously approved a new six-year contract with the company. To prevent a strike, discussions began in early January, and a preliminary deal was struck in the first week of March. The agreement&#8217;s parameters are binding immediately and apply to 7,000 workers at Central Illinois as well as York, Pennsylvania&#8217;s parts distribution facility.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.my-equipment.com\/blog\/2023\/03\/caterpillar-and-unionized-workers-agree-on-new-contract\/#Compensation_and_Benefits_in_the_New_Contract\" >Compensation and Benefits in the New Contract<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.my-equipment.com\/blog\/2023\/03\/caterpillar-and-unionized-workers-agree-on-new-contract\/#Equalizing_Wages_for_All_Workers\" >Equalizing Wages for All Workers<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.my-equipment.com\/blog\/2023\/03\/caterpillar-and-unionized-workers-agree-on-new-contract\/#Agreement_on_Plant_Closures\" >Agreement on Plant Closures<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.my-equipment.com\/blog\/2023\/03\/caterpillar-and-unionized-workers-agree-on-new-contract\/#Comparison_to_Other_Recent_Labour_Disputes\" >Comparison to Other Recent Labour Disputes<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"Compensation_and_Benefits_in_the_New_Contract\"><\/span><b>Compensation and Benefits in the New Contract<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Employees will get a $6,000 ratification bonus, a 19% salary raise, 8% in lump sum bonuses, additional night-shift premiums, and increased company contributions to retirement benefits per the new contract. The United Auto Workers union will provide its members 7% immediate pay rise in addition to 4% general income growth in March 2025, 2027, and 2028. In March 2024 and 2026, 4 % lump-sum payouts will be made.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Equalizing_Wages_for_All_Workers\"><\/span><b>Equalizing Wages for All Workers<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">According to the corporation, employees recruited after 2005 will be subject to an identical pay schedule as those hired before 2005 by the contract&#8217;s conclusion. Employees covered by the two-tier salary and benefit schedule previously received varying pay rates under the prior contract for the same job.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Agreement_on_Plant_Closures\"><\/span><b>Agreement on Plant Closures<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Over the course of the agreement, Caterpillar promised not to close any plants with union representation. In 2017, the business shut down its Aurora, Illinois, facility, shifting manufacturing there, and firing hundreds of employees.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Comparison_to_Other_Recent_Labour_Disputes\"><\/span><b>Comparison to Other Recent Labour Disputes<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">It should be noted that it was only after CNH Industrial, the manufacturer of Case, and New Holland construction and agricultural machinery finally resolved their issues with their workers and ended the 9-month strike, that a few months later their new agreement came to pass. After this strike the new CNH contract assured the workers of shift premium increases, classification upgrades and other improvements apart from the pay raises.<\/span><\/p>\n<blockquote><p><span style=\"font-weight: 400;\">There was also a five-week strike by the unionized workers at Deere and company in 2021 and it was only resolved after the employees received 10% raises and better retirement benefits. <\/span><\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>On March 13, Caterpillar workers who are members of the United Auto Workers union unanimously &hellip; <a href=\"https:\/\/www.my-equipment.com\/blog\/2023\/03\/caterpillar-and-unionized-workers-agree-on-new-contract\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Caterpillar and Unionized Workers Agree on New Contract&#8221;<\/span><\/a><\/p>\n","protected":false},"author":3,"featured_media":40878,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[126],"tags":[611,219],"class_list":["post-40877","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-caterpillar-workers","tag-united-auto-workers"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Caterpillar and Unionized Workers Agree on New Contract - Heavy Equipment Market Insights | News | Guides &amp; 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