UAW Approves American Axle Contract

Auto parts supplier American Axle and Manufacturing Holdings said Friday it expects production to resume next week after union workers overwhelmingly approved a new contract that contains steep pay cuts and other concessions, the Associated Press reported.

United Auto Workers members at five sites in Michigan and New York voted 78% in favor of the four-year contract, the union said in a statement, AP said.

General Motors Corp., the supplier’s largest customer, said the three-month strike at will cost GM about $1.8 billion before taxes in the second quarter, AP reported.

The strike crippled GM’s production of large sport utility vehicles and pickup trucks.