DETROIT (AP) - Chrysler says a tentative agreement with the
United Auto Workers union helps it meet Treasury Department
The tentative concessions bring the troubled automaker one step
closer to a partnership with Italy's Fiat, a deal necessary for
further government support.
The administration rejected Chrysler's restructuring plan in
February and gave the automaker until Thursday to make further cuts
and ink a deal with Fiat.
The UAW calls the concessions painful but says the deal takes
advantage of the Obama administration giving Chrysler and its
workers a second chance. The union says the agreement's
ratification process has to be completed by Wednesday.
In another boost to Chrysler's restructuring efforts, Canadian
Auto Workers ratified a concessionary deal which CAW says makes
labor costs competitive with non-unionized Toyota in Canada.