Mack Truck employees will report back to work Monday, Nov. 20 for their usual shift.
According to UAW, the deal with Mack Trucks passed on Wednesday night with 93% approval from the roughly 3,900 Mack employees.
Earlier this week, UAW rejected the tentative agreement with Mack Trucks when union members shot it down by a 73% margin.
“The new agreement guarantees significant wage growth and delivers excellent benefits for our employees and their families,” Mack President Stephen Roy said via statement Wednesday night. “At the same time, it will safeguard our competitiveness and allow us to continue making the necessary investments in our people, plants and products.”
According to the previous October term agreement, union members could expect a 36% wage increase over the next five years, and an immediate wage increase of nearly 15%.
For those not in the top rate of employees, nearly half of the total workforce will see an average increase of 55% over the next five years and an immediate increase of more than 20%.
For those at the top rate, they can expect an immediate wage increase of 10% and up to 20% compounded over five years.
Mack Truck research found that the employees at the top rate are already receiving wages above market rates.
According to Mack Trucks, premiums for the company’s healthcare coverage have not increased in more than six years despite a 66% increase in the company’s costs over the last decade.This would remain unchanged for five more years.
UAW reached a deal with Ford Motors near the end of October.
The agreement includes $8.1 billion in new plant investments by the company, $5,000 ratification bonuses and other economic gains such as 25% compounded wage increases and improved profit-sharing payments.
A few days later, UAW and General Motors came to a tentative agreement (that has yet to be ratified).
The terms of the pact are broadly similar to the deals signed earlier by Ford Motor Co. and Stellantis NV, including a 25% hourly pay raise plus cost-of-living allowances over the more-than-four-year contract.