GM, UAW Cut Deal on Labor, Health Care

Tentative pact may save struggling auto giant more than $1B
By Wesley Oliver,  Newser Staff
Posted May 21, 2009 1:44 PM CDT
Changes to GM's labor agreement are expected to save more than $1 billion for the company.   (AP Photo)
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(Newser) – Monitored by the Treasury department, General Motors and the United Auto Workers have reached a tentative deal to modify conditions of their labor contract and retiree health care trust, which could save the flatlining automaker more than $1 billion. Still, Chapter 11 bankruptcy remains likely for GM, and union reps must approve the pact, the Detroit Free Press reports. (Read more General Motors stories.)