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CAW keeps up talks with GM and Chrysler

WINDSOR, Ontario, Sept. 19 (UPI) -- The Canadian Auto Workers union said it was forging ahead with negotiations with Chrysler and General Motors, despite the passing of a strike deadline.

"We're not there yet, but as long as we keep making progress at the bargaining table, we will continue to negotiate," CAW President Ken Lewenza said.

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Canada.com reported Wednesday the deal with Ford that union leaders are presenting to rank and file was likely to serve as a template for deals with GM and Chrysler.

The strategy -- called "pattern bargaining" -- is meant to prevent one company from gaining an unfair advantage over the others with its labor contract. Once one contract is presented to rank and file for ratification, the other two contracts normally fall into place quickly.

Lewenza said negotiations were making more progress with GM. Chrysler, in turn, would not comment on the talks, except to say that negations were continuing.

"On anything core at all, the CAW will not accept any deviation from the pattern by the Ford deal," said Tony Faria, a marketing professor at the University of Windsor.

"I think you can declare a winner and the winner in this contract is the CAW," Faria said. "They essentially gave up nothing."

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Auto companies were pressing the union to accept a two-tiered wage system in which new hires would accept a smaller hourly wage and a separation of wages would remain in place until older workers leave the company.

The union countered that it would accept a longer period in which new hires worked their way up to full wages, but not a system in which lower wages were permanent.

The contract with Ford says new hires will start at 60 percent of full wages and take 10 years to get to the top wage scale, instead of six years, which was the previous waiting period.

The top wage is $34 per hour, about $6 more than U.S. autoworkers earn.

CAW members will get $2,000 in cost-of-living adjustments the second, third and fourth years of the contract. If the contract is accepted, they will receive a $3,000 ratification bonus.

Technically, the deadline for a deal was midnight Monday, but the union agreed to keep talking as progress appeared likely.

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