UAW Seeks To Record The Signature Bonus Of Up To $ 10,000, Report Says

The United Auto Workers union, negotiating a new contract with U.S. automakers, seeking a signing bonus of as much as $ 10,000, more than three times higher than workers pay to receive, approve the current agreement, according to four people familiar with the proposal.

Deals UAW seeks signing bonuses increased and new work in U.S. plants in exchange for not increasing the cost of labor set at General Motors Co., Ford Motor Co. and Chrysler Group LLC.

Union negotiators have proposed a signing bonus of $ 8,000 to $ 10,000, said the people, who declined to be identified revealing internal discussions.

Union contracts representing 113,000 GM, Ford and Chrysler expires September 14.

UAW President Bob King said he is open to compensation, which may include lump sum in lieu of raises, which is tied to profit-sharing and to achieve productivity goals and quality.

A signing bonus could be important to help sell the story of the members are trying to be reimbursed for the concessions that helped the U.S. automakers to survive.

"The signing bonus in this field should be some kind of attention and is meant to serve as negotiators in advance something employees want to be seen positively," said Harley Shaiken, labor professor at the University of California, Berkeley. "It 'a statement saying:" The profits of this agreement, the offers are real. "Nothing is as real as you check in early."

There may be resistance to a great victory, said a person familiar with the discussions. Signing bonus of $ 10,000 would cost about $ 470 million of GM, Ford, $ 410 million and $ 250 million in Chrysler. This large financial burden to be unsustainable, said the person, who asked not to be identified.

$ 3,000 in 2007

Signing bonuses totaling $ 3,000 for workers at GM, Ford and Chrysler last contract talks in 2007. Before that, signing bonuses had been almost $ 1000, Shaiken said.

"The signing bonus is relatively new," said Shaiken. "It 'a declaration of good faith and intends to offer an incentive" to ratify the agreement.

The size of the signing bonus is designed primarily for GM, which is taking the lead in negotiations with the UAW, said two people familiar with the pace of discussions.

Discussions at GM and Chrysler, majority owned by Fiat SpA, will continue this weekend, while meetings with Ford is scheduled only for tomorrow, said three people familiar with the plans.

Michael Martin, a UAW spokesman, denied that the Union is seeking such large bonuses.

"It is incorrect and creates false expectations," he said.

Marcey Evans, a spokesman for Ford declined to comment on. GM and Chrysler, by e-mail, also declined comment.

UAW leader's speech

King UAW said in a speech Aug. 29 at the Detroit Economic Club that would not raise labor costs attached to U.S. automakers. GM and Chrysler need government-sponsored bankruptcy in 2009 to survive and its employees have agreed not to strike in contract negotiations.

Ford employees to avoid bankruptcy, has rejected a no-strike pledge.

"We will ensure companies are competitive on the way out of these agreements," said the king in speech. "We will not harm businesses we work with. Heck, we all want a raise, but it's the best way? "

The king said that the union will not make concessions, while keeping labor costs competitive.

The king said that workers should be rewarded for the $ 7,000 to $ 30,000 in grants each gave in 2005 to help U.S. automakers.

Previous Awards include giving raises, bonuses and cost of living adjustments and accept a salary of two levels, where new recruits are paid half of the senior employees.

Now that Ford and GM are profitable, the workers said they want back what they have.

Ford workers made a "sacrifice" complaint against the manufacturer to restore raises and bonuses to employees last year.

The arbitration hearing that the dispute is planning Sept. 15, the day after the company's agreement with the UAW expires.

"A big signing bonus is not just a piece of Nice money," said Shaik. "This is a statement that said," Look, we understand what you want and you will reap the benefits of these businesses in the future. "