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Last Updated: Monday, 17 September 2007, 08:17 GMT 09:17 UK
GM union talks at critical point
UAW members in Ohio check to see when they are assigned to strike duty
Some union members prepared for strike action over the weekend
Negotiators for General Motors and the United Auto Workers (UAW) union have taken a break at the end of a marathon 16 hour session of contract talks.

The two sides adjourned without agreement at 0300 local time (0800 BST) and will resume later in the day.

A GM spokesman said that all employees were expected to report for work at their scheduled times on Monday.

The talks are important because the UAW's contracts with Ford and Chrysler will be based on the GM agreement.

The three Detroit-based carmakers are trying to cut costs as they attempt to recover from combined losses of $15bn (�7.5bn) last year.

GM's contract with the UAW was due to expire on Friday night but has been extended hour by hour since then.

There was a danger that if no agreement could be reached, the union may instruct its members not to report for work on Monday.

Expensive benefits

GM, Ford and Chrysler claim that their workers, on average, cost them more than $30 an hour more than Toyota's.

They want staff to give up some of their expensive benefits such as pensions and health insurance to improve their overall competitiveness.

Any tentative agreement between GM and the UAW will have to be ratified by a majority of GM's 73,000 hourly workers.

If no agreement can be reached, union leaders might tell their members to walk out, but they are seen as more likely to set a deadline for strike action some time in the future.


SEE ALSO
US carmakers face union deadline
13 Sep 07 |  Business
Delphi reaches settlement with GM
07 Sep 07 |  Business
GM bucks US car sales slump trend
04 Sep 07 |  Business
Global boost returns GM to profit
31 Jul 07 |  Business

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