This marks the end of weeks of strikes that have cost the three manufacturers billions of dollars.
The deal with General Motors, the company behind Chevrolet and Cadillac, among others, is largely in line with previous agreements with its rivals. For example, a 25% wage increase was agreed upon. GM's unionized workforce still must approve the agreement.
Last week, both General Motors and Ford withdrew their earnings forecasts as a result of the strikes. According to Ford, the downtime cost the company $1.3 billion (1.2 billion euros). GM said the costs of the strike had risen to $800 million.
This was the first time that employees of the three major auto manufacturers in Detroit stopped working at the same time. At Stellantis, the parent company of Chrysler and Jeep, among others, thousands of employees in Canada also went on strike.
US President Joe Biden, who supported the union's demands, said on Monday that he was satisfied with the agreement between the union and the three auto companies. He described it as a historic agreement and spoke of “good economic news.”
