UAW Members Reject New Contract With International

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nternational Truck and Engine Corp. said Friday that United Auto Workers members voted down a proposed contract extension to the current pact that expires in October 2007.

International said the deal would have provided product introductions at UAW facilities and operating environment changes to improve overall competitiveness.

As of mid-day Friday, the UAW had no notice of the vote on its Web site.

A tentative contract had been reached Wednesday after two months of negotiations between the union and company, but the union’s membership rejected that. (Click here for previous coverage.)

Negotiations began more than a year in advance of the current contract's expiration. Since no new agreement was reached, the current contract will remain in effect until its expiration in October 2007.

“We’re obviously disappointed," said Jeff Bowen, vice president of human resources at International. “Working with the UAW leadership, we jointly came up with a solution to improve the non-competitive aspects of our union facilities, but unfortunately the voting membership chose not to accept the changes necessary to improve competitive situations where they work.”

No work interruptions are expected as a result of the vote outcome, International said. International is the operating unit of Navistar Corp.

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