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DETROIT - Ford has reached a tentative labour deal with the United Auto Workers union, capping an historic round of bargaining between the union and the embattled American car industry.
Ford, the last of Detroit's "Big Three" carmakers to reach a contract, said the tentative four-year deal included the establishment of an independent health care trust to take over its costly obligation for retiree health care. Both sides declined to disclose details of the contract, which now faces a ratification vote by Ford's 58,000 UAW-represented workers.
"Though we will not discuss the specifics of the tentative agreement ... we believe it is fair to our employees and retirees and paves the way for Ford to increase its competitiveness in the United States," the company's chief negotiator, Joe Lamon, said.
The UAW has concluded new four-year contracts with General Motors and privately held Chrysler. Ford and the UAW had said those cost-saving contracts provided a framework for Ford's parallel deal with the union.
- Reuters
