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Workers reject new contract at major GM parts supplier

Dec 7, 2015

UAW workers at a major General Motors parts supplier have resoundingly rejected a new contract.

Nexteer Automotive's plant in Buena Vista Township
Credit Steve Carmody / Michigan Radio

Nexteer is based in Saginaw County.   The company employs more than 3,000 employees.  Almost all of them voted against the contract.

The results of Sunday’s voting: 3103 against to 80 for.

Union leaders are meeting this morning to discuss what to do next.

Nexteer supplies steering and driveline systems to General Motors.   It also supplies parts to Ford, Fiat Chrysler and Toyota.

Nexteer issued a statement on the union vote:

"Nexteer was informed today that the tentative agreement reached between the company and UAW Local 699 was almost unanimously rejected by our workforce.  While this is disappointing, it is a clear message from our employees and one we are considering as we evaluate the strategic options for the Saginaw facility. 

This agreement included $300 million in new business, $50+ million in new wages, health care insurance for $0 employee-contributions and the immediate full time hiring of 300+ temporary workers.

This tentative agreement was designed to provide stability for our workforce and allow for future growth and investment in Saginaw.  We stand ready to continue the dialog with our union representatives.”