More than six weeks into a strike, General Motors Co (NYSE: GM) has reached a tentative deal with the United Auto Workers that would put an end to collective bargaining talks.
What To Know: According to a Bloomberg report citing people familiar with the matter, General Motors and the UAW reached a tentative agreement Monday, putting an end to a series of strikes that have hamstrung U.S. auto production for the last month-and-a-half.
General Motors is the last of Detroit's big three automakers to reach a deal with the union. The deal is reportedly similar to the agreements reached with Ford Motor Co (NYSE: F) and Stellantis N.V. (NYSE: STLA) and includes a 25% hourly pay increase and cost-of-living allowances over the four-and-a-half-year contract.
Pay and benefits for GM workers are expected to amount to anywhere from $28 an hour for those just starting out to more than $40 an hour at the top of the range.
Last week, GM reported third-quarter financial results, beating analyst expectations on the top and bottom line, but pulled its full-year earnings guidance, citing headwinds related to the ongoing UAW strikes.
With a deal now in place, it shouldn't be long before we get more clarity on the impacts associated with the strikes, which initially began in mid-September.
GM Price Action: General Motors shares were down 1.15% at $26.93 at the time of publication, according to Benzinga Pro.