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General Motors workers on strike General Motors workers on strike
(30 minutes later)
United Auto Workers (UAW) union members at General Motors have walked out on strike after contract talks failed to reach an agreement. United Auto Workers (UAW) union members at General Motors (GM) have walked out on strike after contract talks failed to reach an agreement.
The union had set a deadline of 1100 in Detroit (1500 GMT) on Monday to reach a deal on cost-cutting plans. Workers began forming pickets outside five GM plants in the US as a deadline for a deal passed, although the UAW has not officially called a strike yet.
The carmaker wants staff to give up some of their expensive benefits such as pensions and health insurance.The carmaker wants staff to give up some of their expensive benefits such as pensions and health insurance.
In return the union wants assurances on job security and for GM to commit to maintaining production in the US. In return the union wants assurances on job security from GM.
GM employs 73,000 UAW members whose contracts expired on Friday 14 September. I don't think there's any big, hidden pile of money that management is keeping from the unions Peter Jankovskis, Oakbrook Investments class="" href="http://news.bbc.co.uk/2/shared/spl/hi/guides/457000/457029/html/default.stm">Key facts: Global Car Industry
GM employs 73,000 UAW members whose contracts expired on Friday, 14 September.
Since then they have been working without a formal contract as talks continued.Since then they have been working without a formal contract as talks continued.
The strike does not affect GM workers outside America.The strike does not affect GM workers outside America.
Bogged down
The UAW wants the talks with GM to come up with a contract that can then be followed by Chrysler and Ford.The UAW wants the talks with GM to come up with a contract that can then be followed by Chrysler and Ford.
"I don't think there's any big, hidden pile of money that management is keeping from the unions, so it's a little bit surprising that they would have gone to this extent," said Peter Jankovskis from Oakbrook Investments in Illinois.
It has been reported that the talks became bogged down on Sunday because the union wanted guarantees that new vehicles and models will be built in the US.
It is the first time that UAW has called a nationwide strike during contract negotiations since 1976, when Ford plants were shut down.