Big 3 salaried workers to receive huge bonuses
General Motors has around 26,000 salaried employees in the United States and according to Automotive News, “most managers” could see bonuses for 2010 equaling 15 to 20% of their annual salary and less than 1% of the salaried workforce at GM could see bonuses as high as 50% of their salary. This means that a manager receiving a 15-20% bonus who makes $50,000 a year would get between $7,500 and $10,000 and those elite employees who are getting a 50% bonus (while they likely make way more than $50k) would receive $25,000 for their work in 2010. This is while the average hourly employee will receive $3,000.
There are also rumors that Chrysler is looking to shell out some big money to the salaried workers, with 10,755 employees receiving an average of $10,000 and again, some employees will receive as much as 50% of their yearly pay. For those unsure, Chrysler lost money in 2010 and was not required to pay a bonus to their hourly Union Auto Workers but they still paid out a $750 bonus to that group.
Needless to say, this huge discrepancy in bonus pay between hourly and salaried workers is not likely to sit well with the UAW, especially in a year where all three Detroit automakers will enter contract talks with the union. The UAW is already looking to score a piece of the pie as the industry rebounds and with huge bonuses being paid out to the salaried workers, the UAW may use that to their advantage in negotiations in the next few months.
Source: Automotive News
Other Big 3 News:
GM UAW workers could get $3,000+ in profit sharing bonuses
Chrysler announces bonuses for American and Canadian workers
The 2012 Chevrolet Camaro ZL1 debuts at the 2011 Chicago Auto Show
Ram brand announces free Hemi engines for 2011 Ram 1500s
The 2012 Jeep Grand Cherokee SRT8 could debut at the NYC Auto Show