Caterpillar workers reach contract deal at deadline, averting possible strike
The workers were looking for a new contract with higher wages, better safety measures and improved heathcare benefits
A tentative agreement was reached on a new contract with the union representing workers at four Caterpillar facilities.
The deal with the world's largest construction equipment maker over wage increases and other issues, possibly averted a strike.
The current six-year labor contract ended March 1.
Workers had threatened a strike for wage increases, improved safety measures and better healthcare benefits.
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Caterpillar Inc. excavators are displayed for sale at the Whayne Supply Co. dealership in Louisville, Kentucky. (Luke Sharrett/Bloomberg via Getty Images / Getty Images)
"Members at four locals in Illinois and Pennsylvania will review the tentative agreement and vote at upcoming ratification meetings," the United Auto Workers (UAW) said in a statement, without giving any other details.
FOX Business has reached out to Caterpillar for comment.
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The contract covers roughly 7,000 union employees represented by UAW at three manufacturing plants in central Illinois and a parts and distribution center in York, Pennsylvania.
The Caterpillar logo is seen on a tractor in Gilbert, Arizona. (REUTERS/Joshua Lott / Reuters Photos)
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The union workers at the four Caterpillar facilities voted almost unanimously in January to authorize a strike, according to one local union's Facebook page.
CAT has more than 100,000 employees worldwide.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| CAT | CATERPILLAR INC. | 389.57 | +8.13 | +2.13% |
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The last strike at the company in the U.S. was in May 2012.
Reuters contributed to this report.