Manufacturing

GM's first offer called for workers to pay 15% of health care tab

An engine assembly line at General Motors' plant in Spring Hill, Tenn., on Aug. 22. The company has routinely pressed the UAW and hourly workers to take on a greater share of rising health care costs. (REUTERS)
September 16, 2019 01:55 PM

DETROIT — General Motors' initial contract offer to the UAW called for workers to pay 15 percent of their health care costs — well below the national average of 28 percent but far higher than the 3 to 4 percent workers currently pay. The union balked at the proposal, and the automaker quickly walked back the proposal and offered to keep members' obligations at the level they currently pay, according to sources familiar with the talks. After the union announced Sunday it would strike, GM, in a statement, said its latest offer called for workers to "retain nationally-leading health care benefits," although it did not go into details.

Staying current is easy with newsletters delivered straight to your inbox.