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UAW, Ford near deal on concessions

By Bloomberg News
October 14, 2009

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SOUTHFIELD, Mich. - The United Auto Workers reached a tentative accord with Ford Motor Co., as the automaker seeks contract concessions similar to those the union agreed to with the company’s US competitors.

UAW local leaders were considering the proposed changes yesterday. Should those leaders back the agreement, the 41,000 UAW members at Ford would vote on it. Terms weren’t disclosed. The accord includes a six-year ban on some strikes and a wage freeze for new hires, two people familiar with the details said last week. Those provisions would match concessions the UAW granted earlier this year to General Motors Co. and Chrysler Group LLC.

To entice workers to vote for the givebacks, the agreement also includes a $1,000 bonus tied to quality goals and a promise of new production in at least two suburban Detroit factories, according to the people.