WASHINGTON, D.C. – U.S. Sen. Sherrod Brown (D-OH) today issued the following statement in response to the tentative agreement reached between the unions representing General Motors and Delphi retirees, and the New General Motors:
“This is a good outcome in an otherwise difficult situation. I applaud the International Union of Electrical Workers-Communication Workers of America (IUE-CWA), as well as the United Steelworkers, Machinists, Teamsters, Carpenters, and Operating Engineers for partnering in these critical negotiations. I also appreciate the willingness of the New General Motors to bargain in good faith.
“But, there is more work to be done. GM and Delphi retirees worked hard and played by the rules and deserve nothing less than the benefits and security they earned. All GM and Delphi retirees can be assured I will keep fighting for them.”
Under the agreement reached today, pre-age 65 retirees covered by GM insurance will be offered an improved package with an extra $50 million in payments. Post-age 65 retirees will retain a $1 billion claim with the “old” GM. Delphi retirees whose pensions were surrendered to the Pension Benefit Guaranty Corporation (PBGC) will also receive the difference if the PBGC reduces their pensions.
Brown has been monitoring the progress of negotiations. Earlier this year, Brown wrote to U.S. Department of Treasury Secretary Timothy Geithner, as well to GM CEO Fritz Henderson in support of the retirees.