General Motors Co. Chairman and CEO Mary Barra and GM President Mark Reuss met with United Auto Workers officials at the bargaining table on Oct. 15 as the two sides near a deal that could end the nearly month-long strike, The Wall Street Journal reported, citing people familiar with the matter.
GM reportedly offered to shrink the eight-year period that a new hire must work to receive top wage, which is about $30 an hour, according to the Journal. The automaker also proposed raising workers' pay each year of the four-year labor contract through wage increases and bonus payouts, according to the report, adding that the proposal offers a 3% wage increase in two of the contract's four years and 4% lump-sum bonus payments in the other two years.
A UAW spokesperson confirmed in an email to S&P Global Market Intelligence that Barra and Reuss met with UAW officials but did not indicate that the meeting occurred during the bargaining process. The spokesperson added that the two sides have not reached a tentative deal.
GM declined to comment on the report.
On Oct. 9, Barra reportedly met in private with UAW President Gary Jones and senior union negotiator Terry Dittes.
More than 48,000 UAW-represented GM workers went on strike Sept. 16 after the automaker and union failed to reach an agreement on a new four-year contract. The strike caused a shortage of auto parts for GM in North America, prompting temporary layoffs of more than 10,000 non-UAW workers, according to CNBC.
The Center for Automotive Research said the strike has cost GM approximately $450 million a week and the UAW about $12 million a week from strike pay costs. On Oct. 12, the UAW increased GM workers' weekly strike pay to $275 from $250. Other experts estimated losses from $50 million to $100 million per day of the strike for GM.
Shares of GM were up 2.4% at $36.35 during afternoon trading on Oct. 15.