UAW Contract Explained: Wages, COLA and When It Expires
What the 2023 Detroit Three agreements changed for autoworkers, what is still in effect in late 2026, and why the 2028 expiration date matters.
The current UAW contracts with Ford, General Motors and Stellantis were ratified in November 2023 after a six-week strike and run to the end of April 2028. They raise base wages by 25% over the term, restore cost-of-living adjustments (COLA), shorten the climb to top pay to about three years and phase out the old wage tiers. They also include a right to strike over plant closures.
The three agreements are separate contracts with similar core terms. As of November 2026, the contracts are a little more than halfway through their term.
When do the UAW contracts expire?
All three Detroit Three agreements run to the end of April 2028; the UAW’s Ford contract summary gives the expiration as May 1, 2028. UAW President Shawn Fain has called on other unions to line up their own contract dates around then. Bargaining for the next agreements would normally start in the months before expiration.
Members at all three companies approved the 2023 deals in ratification votes in November 2023.
How much do the wage increases add up to?
Base wages rise 25% over the life of the contract, compounded. The first and largest step, 11%, came at ratification, and the rest is paid in annual increases through 2027. At Ford, workers at the top rate reach a base of about $40.82 an hour by the end of the contract, before COLA.
| Provision | Before the 2023 contract | Under the 2023 contract |
|---|---|---|
| Base wage increase | Small raises and lump sums | 25% over the term, 11% up front |
| COLA | Suspended since 2009 | Restored, adjusted with inflation |
| Time to reach top pay | About 8 years | About 3 years |
| Wage tiers | Separate scales for newer hires | Phased out |
| Temporary workers | Could stay temporary for years | Conversion to full-time with higher pay |
| Plant closures | No strike right during the contract | Right to strike over closures |
What does COLA mean for autoworkers?
COLA is a cost-of-living adjustment paid on top of base wages and tied to inflation. It was given up in the 2009 restructuring of GM and Chrysler, and the 2023 contracts restored it. The amount changes with consumer prices, so it adds more in years of high inflation. Because it is separate from the base rate, the total hourly pay can be higher than the published top base wage.
What happened to tiers and temporary workers?
The contracts end the two-tier system that paid newer hires less for the same work, by moving all production workers onto the same progression to top pay. Temporary workers got a path to full-time status and higher starting wages. At Ford, for example, temporary workers earning $16.67 an hour moved to $24.91 at ratification, on a scale that reaches $40.82 by the end of the contract.
Workers at some parts and battery operations were also brought under the master agreements. At GM, that included workers at the Ultium Cells battery joint venture, a change the union sought because the auto industry is building new battery plants.
What do the contracts say about plants and jobs?
The contracts include company investment commitments at specific plants, and for the first time a written right to strike if a company closes a plant during the term. Investment plans can still change with the market, and that is where disputes have come up.
The best-known case is Stellantis’s Belvidere, Illinois, assembly plant, idled in early 2023. The 2023 agreement included a plan to reopen it with new vehicle production. Stellantis later delayed that plan, and the union filed grievances. In October 2025, Stellantis said it planned to reopen Belvidere in 2027 as part of a larger US investment plan. Our guide to finding where your car was built explains how plant locations show up on the window sticker.
What else is in the agreements?
- Profit sharing continues, with checks tied to each company’s North American profit.
- Retirement improvements include higher company contributions for workers hired after 2007, who do not have a traditional pension.
- Ford members received $5,000 when the contract took effect.
- Overtime and time-off provisions were expanded.
The full contract texts and summaries are posted by the union on uaw.org. Company-specific details, such as local agreements at individual plants, can differ.
How do the contracts affect car buyers?
Labor is one part of a vehicle’s cost, alongside parts, materials, tariffs and logistics, and automakers do not publish how much a contract adds to each car. The biggest effect for buyers in 2023 was the strike itself, which cut production of some models for weeks. The 2028 expiration is the next date that could affect supply of vehicles built at UAW plants. For other forces on prices, see our explainer on how tariffs affect car prices.
Bottom line
The 2023 UAW contracts set autoworker pay and plant commitments at Ford, GM and Stellantis until the end of April 2028. Watch for bargaining news in early 2028, and for disputes over plant investments before then.
FAQ
Does the UAW contract cover Tesla, Toyota or Honda plants?
No. These contracts cover UAW-represented workers at Ford, GM and Stellantis. Most foreign-owned and Tesla plants in the US are not unionized, though the UAW won a vote at Volkswagen’s Chattanooga plant in 2024.
What is the top UAW wage now?
Top base rates rise each year under the contract and reach about $40 to $41 an hour by 2027, depending on the company and classification. COLA payments come on top.
Can the UAW strike before 2028?
Generally not over wages, since the contracts include no-strike terms for their duration. The 2023 agreements do allow strikes over plant closures, and local strikes over specific issues such as health and safety can occur under contract rules.
