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FCA workers get raises, health care co-op in new UAW deal

The pending labor agreement between FCA US and the United Auto Workers is now in the hands of union members to confirm. It's expected to be accepted, but a final decision could take weeks, The Detroit News reports. Employees didn't get everything they were hoping for, and contrary to earlier reports, the two-tier wage system remains in place. However, there are attempts to lessen the difference between the levels in this four-year deal. Assuming FCA US workers agree to this offer, the starting pay for tier-two workers would go up around a dollar to $17 an hour. The other level would now begin at $25.35, about a $6 increase, and they would receive 3 percent raises in the first and third year of the deal. Both groups also get $800 in profit sharing for each percent the automaker's profit margin rises above two percent. Extra money kicks in for the second tier above eight percent. Union members get a $3,000 bonus for accepting this contract, as well. The other major change under the pending agreement is the previously rumored switch to a healthcare co-op. The goal is to collect members from the Big Three together to create a huge member base for leverage to negotiate better rates with insurance companies. The UAW is promising no increase in cost to workers, according to The Detroit News. The idea was inspired by the similar structure for the Voluntary Employee Beneficiary Association for union retirees. UAW boss Dennis Williams expects the agreement to be approved. "Once the membership looks at it, hears the explanation for it, I think they'll ratify it," he said, according to The Detroit News. The next step is to craft similar deals with General Motors and Ford. Related Video:

The Fiat 500 hatchback and cabrio have been discontinued

The Fiat that brought the brand back to America is going away after this year. All forms of the 2019 Fiat 500 — hatchback and convertible — are being discontinued with the current 2019 inventory being sold off through 2020. This includes the electric, standard turbo and the Abarth iterations. Once the little 500 is gone, Fiat's lineup will consist of the 500X crossover, 124 Spider sports car and the 500L micro-minivan thing. The decision to cut the little 500, easily Fiat's most identifiable model, strikes us as a bit strange. Certainly it has drawbacks, and it's still basically the same car that was introduced in Europe over a decade ago. Its small size and two-door form factor also aren't particularly popular in today's crossover-consumed market, but the 500 wasn't Fiat's worst seller. In fact, as of June, the most recent month for sales data available, it was leading the Italian brand's sales. And the year before, it was the Fiat's best seller over the same time frame. The 500L has actually been the worst seller so far this year, with only 399 being sold through June, which is a drop of 56% versus last year. The 500X, a crossover, is trailing the 500 and the 124 with 1,484 sales, a drop of 54% compared to last year. Even if other models were selling better, it would seem like a decent car to still have around to show how the bigger models got their designs. And at the very least, the 500 Abarth presented a cheaper halo option to the 124 Spider. No announcements of a 500 replacement have been made. There are rumors of a next-generation model, and it might be previewed at Geneva as a full EV. It could use the modular battery system that was featured in the Fiat Centoventi concept from the last Geneva Motor Show. Having seen the Honda E and Mini Cooper SE retro chic EVs, this could be a smart decision for Fiat and give the little hatchback some fresh relevance.

Auto news recap for 8.26.16 | Autoblog Mintue

A recap of the week in automotive news, including a look at nuTonomy's efforts to bring its robo-taxi service to market, Fiat's pending 124 Coupe, and new spy shots of the Corvette ZR1. Fiat Autoblog Minute Videos Original Video Uber FCA corvette zr1 corvette fiat 124 nutonomy zr1 fiat 124 coupe