The United Auto Workers union (UAW) announced October 30 that it had reached a tentative agreement with General Motors. The deal comes just days after the organization reached similar collective bargaining deals with Stellantis and Ford. The agreement, if ratified by union members, would bring an end to the union’s six weeks of targeted strikes against the so-called Big Three car manufacturers, pending approval from its roughly 13,000 union members.

According to the Associated Press, UAW workers will receive a 30% overall increase in wages over the life of the contract, which expires April 2028. Workers will be given an immediate pay bump of 11% once the new contract is ratified.

“The three tentative agreements show the UAW’s power and the car companies’ weakness,” said Erik Gordon, a business and law professor at the University of Michigan. “The companies are trying to figure out how to transition to EVs without losing too many billions of dollars, and now face a huge bump in labor costs for the products that will finance the EV transition.”

Stellantis meanwhile played down the impact that the strikes would have on the company when chief financial officer Natalie Knight said October 31 the walkouts would cost the organization less than $800 million in profitability. Knight said that Stellantis would be the least affected amongst the Detroit Three automakers, according to Reuters.

"We believe we continue to be in a very strong position globally and in the U.S.," Knight said in a media briefing. "We're going to continue to be very focused on sales and profitability in all our regions."

Ford predicts it will have to reduce its adjusted operating profit by $1.3 billion for 2023. Meanwhile, GM expects the strike’s impact to be around $1 billion.

Ford was the first company to agree to a new contract with the UAW on October 26. Just three days later, on October 29, the union announced it had signed a new deal with Stellantis.