UAW sues General Motors




Today, the UAW filed a lawsuit against General Motors, claiming the automaker owes the union $450 million as part of a three-year-old contract with its former part division, Delphi.

Quote from the article:

In the lawsuit, filed in federal district court in Detroit, the UAW contends that GM was obligated through a labor contract and the bankruptcies of both GM and Delphi to pay $450 million intended for the UAW's Voluntary Employee Beneficiary Association for Delphi workers. That trust, called a VEBA, is to provide for retiree health care.

In its lawsuit, the UAW said GM in November last year rejected the UAW's written request for payment into the Delphi VEBA. Since then, GM "has failed and refused to make the contractually-required payment," the union said in the filing.

General Motors spokesman Tom Wilkinson declined to comment on the lawsuit this evening.



Source: UAW sues General Motors

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