General Motors agrees to 10% pay increase with union at GTO plant

General Motors has agreed to a 10% pay raise for workers at its pickup truck manufacturing facility in Silao, Guanajuato, following negotiations with Mexico’s National Independent Union of Automotive Industry Workers (Sinttia).

The above-inflation salary hike — one of the biggest recent auto worker raises in Mexico auto manufacturing — will go into effect on March 25.

A white 2023 Chevrolet Silverado.
The Silao facility manufactures pickup trucks for the Mexican market. (General Motors)

“The agreement represents a historic achievement, as it overcomes the two-digit barrier that has not been reached in the automotive industry in many years,” Sinttia said in a statement.

The union added that General Motors had agreed to give additional salary-leveling rewards to some workers with more than 20 years at the company, including a weekly bonus of 5.6% and 15 retirement packages per year.

“[The deal] allows recovery of purchasing power for the workers of GM-Silao as it is above inflation, and gives recognition to the longest-serving workers in the factory,” Sinttia said.

When added to the 8.5% raise and bonuses agreed at the plant last year, the latest deal provides a 26.3% total raise over the last 10 months, the union said. Headline inflation in Mexico currently stands at 7.62%.

Workers at the Silao plant elected Sinttia in February 2022, after ousting their former representatives from the Miguel Trujillo López union, affiliated with the Mexican Workers Confederation (CTM).

At the time, U.S. officials hailed Sinttia’s win as a victory for workers in both Mexico and the U.S. — opening the way for higher pay for Mexican workers and countering a tendency for companies to undercut U.S. wages by moving jobs offshore.

The vote was the first time an independent union had triumphed at the factory, thanks in part to new labor protections afforded under the United States-Mexico-Canada Agreement (USMCA). Historically, Mexico’s labor movement has been dominated by national unions that were criticized for colluding with corporations to suppress wages.

Pay increases are happening across the auto manufacturing sector in Mexico. Over the last six months, independent unions have negotiated pay raises of 9.4% at Audi, 9% at Volkswagen and 9% at Nissan.

With reports from Reuters and Expansión

Have something to say? Paid Subscribers get all access to make & read comments.

Former governor of Guerrero arrested on Ayotzinapa-related charges

4
Ángel Aguirre was governor during the 2014 kidnapping and presumed murder of 43 students from the Ayotzinapa Rural Teachers College that sparked international outrage. He is accused, among other things, of concealing evidence.
Cardinal Pietro Parolin presides at Mass at the Basilica of Our Lady of Guadalupe in Mexico City on Wednesday.

Vatican envoy prays for Mexico’s missing at CDMX Basilica Mass

0
Cardinal Pietro Parolin met with President Sheinbaum to discuss a papal visit invitation before presiding at a Mass calling for prayers for Mexico's missing persons and "searching mothers."
US officials with a poster displaying the CJNG leaders and associated rewards for their capture

Reward for CJNG’s new leader jumps to $25 million after ‘El Mencho’s’ death

0
Washington also raised rewards for six other CJNG leaders and revoked visas for 65 relatives and associates tied to sanctioned traffickers.
BETA Version - Powered by Perplexity