General Motors (NYSE:GM) shares were up more than 2% on Tuesday on reports the auto maker and the United Auto Workers are nearing agreement on a new contract that would end a 30-day-old strike.
The new contract is said to include wage boosts, accelerating the time required for a worker to receive full wages and a GM commitment to invest more in U.S. manufacturing facilities.
GM CEO Mary Barra and UAW President Gary Jones joined negotiators at a session Tuesday morning, The Wall Street Journal said. And the UAW has scheduled a meeting for Thursday morning to update local union representatives on the status of the talks, a sign of progress in the talks.
GM and the UAW have reached an agreement in principle after overcoming the sticking point on tentative workers becoming full-time workers, The New York Post reported.
GM shares have fallen more than 7% since the strike began on Sept. 13. The walkout has cost GM more than $1.5 billion, partly due to lost production of upwards of 100,000 vehicles and disruptions to a GM plan to cut costs by $4.5 billion. It's also weighed on local economies where GM has manufacturing facilities.
