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Big Three Pattern

UAW members ratify new Guide contract


Some 2,700 UAW members at automotive lighting plants in Indiana and Louisiana have ratified a new four-year agreement that mirrors contracts the UAW negotiated at General Motors, Ford, DaimlerChrysler, and American Axle.

The new contract with the Guide Corp. was ratified by a 95-percent margin. It provides economic gains of more than $29,900 for a typical production worker represented by UAW Local 663 in Anderson, Ind., and Local 1977 in Monroe, La.

"This overwhelming ratification margin is proof positive that UAW members at Guide are satisfied with the work of the leadership team that negotiated this fine contract," said UAW President Stephen P. Yokich.

"I’m pleased that our members at Guide will continue to enjoy wages, benefits, and workplace improvements that track the pattern established in last year’s national auto contracts," said UAW Vice President Richard Shoemaker, who led the UAW bargaining team.

Guide workers, who make headlights and signal lighting for Big Three vehicles and other companies, get a $1,350 up-front bonus and three-percent wage increases in each year of the national agreement. They will also gain from an improved cost-of-living (COLA) formula. Profit sharing is maintained.

Job security is strengthened with Guide required to hire new employees if employment levels drop to specific target levels for any reason. Previously, new hire obligations were triggered only by net outsourcing decisions during the life of the agreement.

Historic pension gains were won for current and future retirees. The base pension rate for current retirees is raised $7.45 per month per year of credited service. Surviving spouse benefits are raised from 60 percent to 65 percent of the retiree’s benefit. Retirees will get lump-sum payments in December 2000, 2001 and 2002. Thirty-and-out monthly benefits for UAW members who retire before age 62 increase $435 over the life of the contract--from $2,295 to $2,730 per month.

UAW bargainers won health insurance improvements in the Medicare Part B premium, prescription drug program, dental care, young dependents care, and other coverage.

Holidays are increased to 69 over the four years, including federal election days in 2000 and 2002.

Tuition assistance for dependent children is improved, and a new Dependent Care Spending Account is established to pay for services with pre-tax dollars, saving money on taxes.

New contract language restricts temporary outsourcing, and UAW members gain increased involvement in product development. A letter on corporate citizenship will be sent to Guide suppliers aimed at protecting workers who seek union representation at supplier plants.

Other improvements include increased health and safety protections, 38 new skilled trades apprentices, and gains in quality processes, legal services, education and training, civil rights protection, diversity initiatives, and COLA for new hires.

The agreement covers about 2,000 UAW Local 663 members and 700 Local 1977 members. Guide is a spin off from GM.



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