Collective Bargaining: The General Motors-United Auto Workers Deal

The history of GM can be traced back to 1887, when Ransom E. Olds started the Olds Motor Vehicle Company, Inc., (OMVC) with a capital of US$ 50,000 in Michigan and built the first Oldsmobile vehicle. In May 1903, Buick Motor Company (Buick) was incorporated by David Dunbar Buick.

The company produced its first car in 1907. Between 1901 and 1908, OMVC managed to sell 6,500 Oldsmobile vehicles per year. However, Olds was being driven down by competition from Buick, Cadillac Automobile Company (Cadillac), and Oakland Motor Car Company (OMCC)...

GM had built up a long-term relationship with the UAW. Negotiations with labor unions formed an essential component for GM in sustaining its business in the long run. The spirit of mutual give and take was evident since GM and the UAW had negotiated and reached a tentative agreement in October 2005...

On September 24, 2007, the UAW called for a national strike since the GM management had overlooked the deadline set by it. The 73,000 workers went on a strike at 80 facilities at 30 locations...