FAST FIVE: GM CEO Reportedly "In The Room" With UAW, Signaling Deal Could Be Close
One source said that “a lot of progress was made over the weekend.” “Clearly, things have progressed to the point that the union felt compelled to call this meeting,” the source said. The letter says the agenda will include a “contract update” and other items to be determined.
Local union leaders will be coming to Detroit from 10 different states where GM has operations. The UAW's strike has caused 46,000 workers at 34 plants nationwide to step off the job so far.
GM workers last went on strike during contract talks in 2007.
The union has been struggling to stop GM from closing plants in Ohio and Michigan while arguing that workers deserve higher pay after years of record profits.
Analyst John Murphy said this morning: “A prolonged strike could burn significant cash and bring GM to its knees, but investors likely will also react negatively if management is perceived to have caved into labor's demands and GM's long-term competitiveness is threatened.” Meanwhile, striking workers rely on weekly paychecks of just $250 while on strike.