United Auto Workers (UAW) members working at the Ultium Cells battery plant in Tennessee, have voted in favour of their inaugural union contract – GM-LG JV
United Auto Workers (UAW) members working at the Ultium Cells battery plant in Tennessee, have voted in favour of their inaugural union contract.
Ultium Cells is a joint venture (JV) between General Motors (GM) and South Korea’s LG Energy Solution.
The ratification by nearly 1,000 UAW-affiliated employees at the Tennessee plant represents a significant step forward, enhancing the terms previously established in the national contract with GM.
The contract ensures to enhance workplace conditions and aligns wages with those at another Ultium plant in Ohio.
According to the union’s negotiating committee, the agreement between the UAW and Ultium Cells not only ensures fair work practices and workplace safety but also secures fair pay and benefits.
The Tennessee plant is equipped to produce battery cells for EVs.
UAW Region 8 director Tim Smith said:
Building EV batteries is just as risky as working with combustion engines, and these workers deserve the best wages, health care and safety protections as they have in the Big Three.
“Ultium workers stood strong and won their fight. Now it’s time for Volkswagen—an even bigger, richer company—to quit dragging its feet and do right by its workers in Chattanooga with fair pay and fully paid health insurance.”
As per the contract, a one-time £3,000 ($3,850) lump sum payment will be made to each worker and sets a wage progression that starts at £26.91 per hour, reported Reuters.
It stipulates annual increases that will culminate in a £35 hourly wage by September 2027.
The UAW has identified battery plants, which are frequently established in partnership with other companies, as critical areas for unionisation, especially as the Detroit Three automakers transition towards electric vehicle production.
UAW President Shawn Fain was cited by the news agency emphasising the importance of organising these plants, which became a contentious issue during the 2023 negotiations with the Detroit Three automakers, leading to a six-week strike.
In September 2024, Ultium Cells agreed to recognise the UAW at the Tennessee plant, following a strong vote by workers at the Ohio Ultium Cells facility in 2022 to join the union.
This led to a new contract in 2024, which brought significant wage increases for the workers.
As the UAW continues to advocate for its members, negotiations are underway for a first contract at the Volkswagen plant in Tennessee, where workers voted to unionize in April 2024.
was originally created and published by Just Auto, a GlobalData owned brand,
UAW members at GM-LG JV approve first union contract
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United Auto Workers (UAW) members working at the Ultium Cells battery plant in Tennessee, have voted in favour of their inaugural union contract – GM-LG JV, source