(Adds comments, details, context to paragraphs 2 to 7, at signature) by Abhirup Roy
Subaru 7270.T will increase wages and benefits for workers at its U.S. plant in light of new labor agreements reached by the three Detroit automakers, the Japanese automaker’s chief executive, Atsushi Osaki, told Reuters on Thursday.
The amount of the raise for workers at the Lafayette, Indiana, assembly plant has not yet been determined, but it will be in line with industry levels following the new labor agreements concluded by United Auto Workers (UAW) with General Motors GM.N, Ford
FN and Stellantis STLAM.MI , Chrysler’s parent company, Mr. Osaki said through an interpreter at the Los Angeles auto show.
He added that the pay increase would include benefits such as improved health care and would not be limited to a salary increase.
Subaru and other non-union U.S. automakers have come under pressure to improve wages and benefits following record contracts struck by the UAW in late October, about six weeks after thousands of its members walked out. strike.
U.S. President Joe Biden, who has supported the UAW’s efforts to negotiate higher wages for its members, said all U.S. autoworkers deserve the same deal the UAW negotiated with the Detroit builders.
Other non-union automakers have increased wages for their U.S. workers since reaching agreements with the UAW, including Toyota 7203.T, Honda 7267.T and Hyundai 005380.KS.
UAW President Shawn Fain said “UAW” stood for “U are welcome” in response to rising wages at non-union factories. He promised that the UAW would aggressively organize non-union U.S. factories at Tesla and other foreign automakers, something the union has struggled to do in the past.