Stellantis says it offered 20% raises, future for idled Belvidere workers

Stellantis' last proposal to the UAW before workers went on strike included a "very compelling" offer that addressed the future of an idled Jeep plant in Illinois and wage increases totaling 20 percent over four years, its top North American executive said Saturday.

Mark Stewart, the company's North America COO, didn't elaborate on what the offer would do with the Belvidere Assembly Plant, which built Jeep Cherokees until going dark in February. He said the Belvidere deal was on the table only until the contract expired at 11:59 p.m. Thursday but that Stellantis is willing to revisit the issue.

"We were very specific that that solution for Belvidere, which included job protection for the folks and some other items that we're not going into the detail with — but it was a very, very good proposal for how to resolve Belvidere," Stewart told reporters Saturday. "It was only on the table until contract expiration, so we are glad to continue to work on a solution, we want to have a solution including that, but we need to all come together and be able to find a reasonable solution that both the company and the union can agree to." The UAW has been on strike since Friday against Detroit 3 plants in three states, including Stellantis' Toledo Assembly Complex in Ohio.

The most recent proposal from Stellantis would give workers a 10 percent raise upon ratification plus four annual increases totaling 10 percent. With compounding, Stewart said it would result in wages roughly 21 percent higher than today in 2027.

Ford and GM also have offered raises totaling 20 percent, according to their most recent public proposals.

Stewart said the union came back with counter-offer on Thursday night before the deadline, but it was not “acceptable” or “affordable.”

“We would be putting the company in jeopardy if we were to agree,” Stewart said. “There were some points we could agree to, points we could not agree to. We've just got to continue to get to the table and find a solution, but we need to have good solid movement, thinking and common solutions from both the union and the company to do that.”

Said UAW President Shawn Fain in a statement: 

"Today, a Stellantis executive told the press that the company had put forward a proposal to reopen Belvidere Assembly Plant but that they are now taking it back.

"That's how they see these workers. A bargaining chip.

"Belvidere Assembly was a profitable plant that just a few years ago supported around 5,000 workers and their families. Now that number is zero, and Stellantis wants to keep plating games.

"Their attitude is: Stellantis giveth, and Stellantis taketh away.

"Our attitude is: Save Belvidere."

Stellantis on Saturday said its latest offer would remove the different wage scale at Mopar parts facilities.

Rich Boyer, vice president of the UAW's Stellantis department, said during a fiery speech during a Friday rally in downtown Detroit, that the company wants to close six Mopar sites. The UAW has said Stellantis wants the unilateral right to close or sell off 18 facilities, including some assembly plants, powertrain plants and parts depots.

Stewart on Saturday said he wanted to clarify the company's plans for Mopar.

"The vast majority of that proposal, it's about modernizing our operations, a lot of it in Mopar, enabling us to run our PDCs, our part distribution centers, in a really efficient manner [and], at the same time, preserving the same number of jobs," Stewart said. "There's no job elimination with that. We have a lot of older PDCs which need to be modernized."