Auto Components News

Panasonic auto parts plant union in Mexico calls off strike after pay agreement, Auto News, ET Auto


Under the new agreement, employees who were laid off while the old union operated at the plant would also be re-hired if they wished and have wages restituted.

MEXICO CITY – The newly elected union at a Panasonic auto parts plant in the border town of Reynosa, Mexico, called off a strike scheduled to begin Friday morning after the company agreed to a new deal on pay, Panasonic and the union said.

The deal offers employees a 9.5% salary increase and a one-time bonus totaling 3.5% of employees’ annual salaries, the union said. Panasonic confirmed the terms to Reuters.

The company said in a statement it was pleased to have reached the deal.

“This is a historic moment,” union founder Susana Prieto said in a video shared on Facebook.

Under the new agreement, employees who were laid off while the old union operated at the plant would also be re-hired if they wished and have wages restituted, Prieto said.

The agreement comes weeks after the United States asked Mexico to investigate the plant for violations of the United States-Mexico-Canada (USMCA) trade agreement, voicing concerns employees were being denied rights to free association and collective bargaining.

Independent union SNITIS overwhelmingly won at the plant in April, adding to a recent wave of wins against traditional unions in the country.

In February, another independent union won at a General Motors pickup truck plant in Silao, Mexico. The union and GM agreed to an 8.5% wage hike in May.





Source link