UAW reaches tentative deal to end strike at GM truck axle supplier

The United Auto Workers and Dauch Corp. have reached a tentative four-year agreement at the company’s Three Rivers, Michigan axle plant, a deal that could end a 10-day strike at a key supplier to General Motors truck production.

The agreement still needs to be ratified by about 970 hourly workers at the plant. If workers approve it, the strike that began June 1 would end and employees would return to work.

Strike and deal

The Three Rivers facility produces axles and axle components for GM trucks, including the Chevrolet Silverado, GMC Sierra, Colorado and Canyon. The walkout began June 1 after workers pressed for improved wages and benefits, according to earlier reporting on the dispute.

On June 11, the UAW and Dauch announced the tentative settlement. UAW President Shawn Fain said the agreement was a major win after years of sacrifice. A Dauch spokesman said the company reached the tentative deal with UAW Local 2093 and appreciated both negotiating teams’ efforts.

Why it matters

The plant is strategically important because it supplies parts for some of GM’s most profitable vehicles. GM kept pickup production on schedule during the strike, but the axle plant remained a critical supplier.

Workers had been seeking to recover wages lost after a 2008 recession-era concession. The plant’s top wage rate for regular production workers was about $22 an hour, compared with roughly $29 an hour before those cuts.

What happens next

The immediate next step is a ratification vote. If the deal is approved, the strike should end and operations can resume at the Three Rivers plant. If workers reject it, bargaining and strike pressure could continue.