FOX 2 (WJBK) - Non-union, salaried General Motors workers are now set to cash in on a raise and boost in benefits, the automaker confirmed to Fox 2 Friday night. Analysts say it is a sign that the Big Three wants to get everyone back to work as quickly as possible.
GM said in a statement it will increase base pay and company matching for 401k plans and offer enhanced healthcare. A spokesperson confirms a memo went to employees saying that base salary will increase 3.5 percent with 401k contributions going up two percentage points.
Center For Automotive Research President Alan Amici weighed in on the deal.
"General Motors wants to send a message that they value their employees, whether they are salaried or union," said Alan Amici. "And that's certainly a way to demonstrate where it hits the pocketbook, that it’s important for the health of the company, and the future work where the salaried employees are well compensated as well."
The boost for non-union workers comes at the end of a week when GM struck a tentative agreement with the UAW - raising pay 25 percent for both hourly workers and union members on salary. Both will also get the $5,000 ratification bonus.
And to top it off, the Big Three automakers have agreed to pay each striking worker more than $100 a day for each day they walked the picket line of that 46-day strike.
"You really want everybody rolling in the same direction and you want a motivated workforce," Amici said. "So showing some goodwill I think, will go a long way to keeping employees motivated, on the job. You want to reduce absenteeism.
"So I think it’s all part of the message of hey you’re important to the company - whether you are an hourly worker or a salaried worker."
Auto insiders who spoke with FOX 2 said that is should take on average, inside of a month for the Big Three back up and running at full production again.
All of the American automakers took major hits, shutting things down. The strike is estimated to have cost the industry more than $10 billion.
The three tentative agreements still need to be ratified with votes by UAW members.