Monday, March 16, 2009

NPG Workers Voting on New Contract

Workers at New Process Gear began voting this afternoon on a new contract that could save the factory from closing.

Owner Magna International has been taking steps to shut the money-losing plant down after workers rejected a contract last month.

The contract that was voted down would have cut wages to $13 per hour. The new contract would reduce wages from about $20 an hour to $16. The new proposal calls for the plant to break even, or come close to breaking even, by July.

Even if the plant breaks even, Magna expects to cut the 1,400-member workforce by about half.
Voting on the contract will end Tuesday afternoon.

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