UAW rejects concessions to Ford contract, CAW approves

The United Auto Workers overwhelmingly rejected new proposed concessions Ford had said that it needs to stay competitive with domestic rivals General Motors Company and Chrysler Group LLC. However, the Canadian Auto Workers on Sunday accepted the cuts to retain jobs.

While an official UAW tally is not yet available, it is reported that workers voted against the concessionary deal at most of Ford’s U.S. assembly plants. The CAW union voted 83 percent in favor of an agreement that freezes wages for some 7,000 workers into Sept. 2012 in exchange for protecting factory jobs in Canada.

Both votes come came before Ford reported a surprise net profit in third quarter earlier this morning.

– By: Stephen Calogera

Source: Reuters