Around 7,000 FCA Chrysler employees at the Kokomo and Tipton plants will receive a $6,000 profit-sharing payout this year as part of the contract agreement negotiated in 2015 between the company and the United Auto Workers union.
FCA announced Thursday it will make an average profit-sharing payment of $6,000 to the 44,000 eligible UAW-represented employees across the country. Workers will receive the money on March 8.
The 2018 profit-sharing payment is based on the adjusted performance margins of the North American region, and on individual compensated hours. This year’s payout marks a nearly 10-percent increase from last year’s, which was on average $5,500.
With this payment, U.S. hourly employees have received on average more than $29,000 in profit sharing since 2009, according to a release. FCA has also invested more than $10 billion and created nearly 30,000 new jobs in the U.S. since 2009.
The payment, which recognizes hourly employees’ contributions to the company, was part of the negotiated 2015 UAW-FCA Collective Bargaining Agreement.
That agreement nearly led local UAW members to strike at the local FCA plants in October 2015, after the local union decisively voted down a tentative collective bargaining agreement the week before. Ultimately, the final agreement gave raises to all workers.