GM Workers Approve New Contract

GM (GM) workers have approved a new four-year contract by a two-to-one majority.

The United Auto Workers said Wednesday that 65% of production workers and 63% of skilled trades workers approved the tentative agreement signed Sept. 16. More than 48,000 workers are covered. The union did not immediately disclose how many workers voted. The contract takes effect immediately.

See if (GM) is in our portfolio

"The UAW and GM entered into this set of bargaining as America struggles with record levels of unemployment and an economy that shows little sign of improvement," said union president Bob King, in a prepared statement. "Because of President Obama's and the American taxpayers' backing of our jobs and our companies, we were determined to work together with GM management to grow jobs in the U.S. and to get more Americans back to work and we are doing just that," he said.UAW Vice President Joe Ashton added: "When GM was down, our members sacrificed and saved GM."Now that GM is posting strong profits, our members, as a result of this agreement, are going to share in the company's success," Ashton said. The contract will create 6,400 new GM jobs in the U.S., as work is called back from other parts of the world. The union said those GM jobs could lead to the creation of 57,600 jobs at suppliers and other vendors. The contract also provides a $5,000 signing bonus, improved profit sharing, and up to $4,000 in inflation protection and other lump-sum payouts. >To follow the writer on Twitter, go to http://twitter.com/tedreednc.>To submit a news tip, send an email to: tips@thestreet.com.

>To order reprints of this article, click here: Reprints