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Aug 07, 2023

Ultium plugs into worker wage demands

Aug 28, 2023 LORDSTOWN — Ultium Cells LLC announced Sunday the ratification of an interim wage increase for nearly 1,100 team members represented by the United Auto Workers at the company’s EV

Aug 28, 2023

LORDSTOWN — Ultium Cells LLC announced Sunday the ratification of an interim wage increase for nearly 1,100 team members represented by the United Auto Workers at the company’s EV battery-cell factory in Lordstown.

According to Ultium communications manager Katie Burdette, 97.6% of the workers voted for the interim wage increase. The agreement takes effect today.

The agreement, reached late last week, gives an immediate pay increase of an average of 25 percent to all current Ultium Cells-Ohio hourly employees. In addition to this immediate hourly rate increase, all eligible team members will receive back pay for every hour worked since Dec. 23, 2022, which is when the union was recognized. Any current employee who has worked since that date can receive payment of $3,000 to $7,000, based on hours worked.

The retroactive amount would be paid in a single payment in mid-September, Thomas Gallagher, vice president of operations, said Thursday.

“This is the right action to take for our team members and is the result of constructive and meaningful dialogue with our local union leadership,” Burdette said in an emailed statement. “This is just a first step to reward our team for their hard work and dedication to ensuring Ultium Cells’ success in leading a transformation of American transportation. We continue to bargain in good faith with the UAW and are committed to reaching an agreement on a comprehensive contract for our employees, including a final wage scale.”

“Ultium Cells-Ohio is proud to be the only operational union-organized battery cell facility in the U.S.,” Burdette continued.

Josh Ayers, UAW Local 1112 chairman, said, “This weekend, the UAW Local 1112 brothers and sisters at Ultium Cells have spoken by casting their vote concertedly in favor of this interim wage increase. There is still a lot of work ahead in the bargaining process, including a wage package that will not only be life changing for the hourly workforce, but transform our work from ‘just a job’ to a career.

“Ultium Cells can and should be a highly desirable place to work. I truly believe this is achievable in collaboration with the UAW and Ultium Cells. The UAW Local 1112 bargaining committee will continue to bargain on a comprehensive contract for continued development and growth at Ultium Cells.”

Ayers said last week that members of the local at Ultium Cells “deserve this increase for being essential in getting the plant up and running.”

Ultium Ohio Plant Director Kareem Maine said, “Today, our Ultium Cells Ohio team members voted overwhelmingly to ratify the previously announced interim wage agreement. This vote further reinforces that Ultium and the UAW are making progress toward reaching a comprehensive agreement, which will lead to a meaningful contract for our team members.

“This interim wage increase is a positive first step in the right direction. I look forward to sharing news in the future that demonstrates our continued commitment to our team members and the growth of Ultium Cells as we pioneer a new industry in America.”

UAW and Ultium Cells have been negotiating a first contract since January following an overwhelming 710-16 vote to join the UAW in December. Ultium Cells is a joint venture between General Motors and South Korea’s LG Energy Solution to mass produce battery cells for electric vehicles.

Employees at Ultium Cells hired after Jan. 1 who started at $16.50 per hour are now a $20 per hour, once they were six months or 1,000 hours, whichever comes first; and employees with more are at $21 per hour, according to new information provided by United Auto Workers Local 1112.

The increase is not the result of calls by the UAW and some U.S. lawmakers, including U.S. Sen. Sherrod Brown, D-Ohio, who have been critical of the wages, to fold employees at Ultium Cells into a national agreement between UAW and GM, Gallagher said.

“We’re enthusiastic about getting a first agreement, and we think having an interim wage increase really brings wages to the front of what we are trying to do, and it will help enable us to move on a collaborative basis toward a final agreement,” Gallagher said prior to weekend voting.

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