If General Motors’ negotiations with the United Auto Workers are any indication, Detroit’s automakers may not have a prayer in their effort to rein in rising healthcare costs.
As GM was nearing the expiration of its labor contract with the union last week, the carmaker sought to have hourly workers pay 15% of their healthcare costs, according to people familiar with the talks. But by the time the company presented the UAW with a deadline offer, GM walked back the proposal and called for keeping contributions steady at about 4%, said the people, who asked not to be identified discussing private discussions.
