IRVING, Texas (AP) — Unionized workers at Caterpillar Inc. approved a new six-year contract with the company that includes a $6,000 ratification bonus, a 19% pay raise and an 8% lump sum payment.
Members of the United Auto Workers union approved the deal over the weekend, covering 7,000 workers in Central Illinois and York, Pennsylvania. The new contract is effective immediately.
Workers will receive a 7% pay increase immediately, as well as an overall 4% pay increase in March 2025, 2027 and 2028. They will also receive lump sum payments of 4% next March and in 2026.
The Irving, Texas-based company also agreed not to close any plants during the term of the agreement.
Until the end of the agreement, workers hired after 2005 will receive the same wages as those hired before 2005, the company said.
Workers also received higher bonuses for night shifts and greater matching in the 401(k) plan.