Volkswagen, UAW Reach Deal For 20% Raises in Tennessee

Volkswagen AG employees in Tennessee have secured a 20% across-the-board wage hike in a landmark deal with the United Auto Workers union.

The carmaker and UAW have reached a tentative contract deal covering around 3,000 employees at VW’s plant in Chattanooga, a first for the facility, the parties said late Wednesday. The deal, which is still subject to ratification by union members, makes improvements to healthcare, safety, and job security protections, the UAW said.

Along with the pay increase, the deal includes bonuses equaling $6,550 per worker upon its ratification, plus additional annual bonuses of $2,550 for the life of the agreement, the union said.

Employees at the plant voted ...