Allison Transmission, UAW Local 933 ratify new labor deal

The agreement, announced by both sides Jan. 5, included "historic wage increases," 401K gains and an end to wage tiers, the union said.

INDIANAPOLIS — Auto parts maker Allison Transmission and United Auto Workers Local 933 have reached an agreement for a new labor contract.

The agreement, announced by both sides Jan. 5, includes "historic wage increases," 401K gains and an end to wage tiers, the union said.

"The agreement has been endorsed by the International UAW and Local 933 leadership and is subject to ratification by union members," Allison Transmission said in an update posted on its website.

On Jan. 16, the union officially ratified the new contract by a significant majority, with 81.8% voting yes to 18.2% who voted no. The new pay rate began Jan. 17, with retroactive wages being paid out on Feb. 23. 

🚨BREAKING: 1500 Allison Transmission workers with UAW Local 933 have a tentative agreement!

The deal includes:
-- AN END TO WAGE TIERS
-- historic wage increases
-- gains for 401k AND legacy pensions
-- Juneteenth as a paid holiday
And much, much more.

The workers were ready…

— UAW (@UAW) January 6, 2024

“This milestone represents the culmination of dedicated efforts from both our organization and the UAW Local 933, demonstrating our more than 80 years of shared commitment to the well-being of our employees and the success of our company,” said David Graziosi, chairman and CEO of Allison Transmission. “We believe that this agreement not only reflects our shared values but also paves the way for a strong future of continued growth.”

In a video posted on Jan. 5, UAW workers said they were prepared to strike as the two sides worked to reach a new contract. Union members overwhelmingly rejected an offer from Allison Transmission in December, demanding better wages, benefits and an end to a tiered pay system.