General Motors sues Fiat Chrysler over bribes to auto union

General Motors sues Fiat Chrysler over bribes to auto union

The lawsuit references guilty pleas by former FCA officials, who bribed former United Auto Workers officials, in a long-running case

AgenciesUpdated: Friday, November 22, 2019, 08:32 AM IST
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Fiat Chrysler Automobiles | Photo Credit: Twitter

New York: General Motors is suing Fiat Chrysler, alleging its rival benefitted from bribes to auto union officials that gave FCA an unfair benefit in labor talks, GM announced Wednesday.

The lawsuit references guilty pleas by former FCA officials, who bribed former United Auto Workers officials, in a long-running case involving a UAW employee training program, that has tarnished the union's image.

The suit comes only weeks after the UAW ended a lengthy strike at GM. The union is currently immersed in labor talks with FCA, the last of Detroit's "Big Three" to negotiate after workers ratified contracts with GM and Ford.

"FCA was the clear sponsor of pervasive wrongdoing, paying millions of dollars in bribes to obtain benefits, concessions, and advantages in the negotiation, implementation, and administration of labor agreements over time," GM said in its announcement.

It alleges FCA's actions "corrupted the implementation of the 2009 collective bargaining agreement" as well as "the negotiation, implementation, and administration of the 2011 and 2015 agreements." —Agencies

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