Nearly 1,000 United Auto Workers (UAW) members at Ultium Cells’ Tennessee battery plant have overwhelmingly approved their first contract, securing better wages, benefits, and workplace protections.
The agreement builds on gains from the UAW’s national contract with General Motors (GM) and marks a significant step in the union’s push to organize EV battery plants.
Ultium Cells, a joint venture between General Motors and South Korea’s LG Energy Solution, produces battery cells for EVs like the Cadillac Lyriq at its Tennessee facility. The newly ratified contract includes a one-time $3,000 lump sum payment and wage increases that will bring hourly pay from a starting rate of $26.91 to $35 by September 2027—matching compensation at Ultium’s first unionized plant in Ohio.
The approval comes as the UAW intensifies efforts to organize battery plants, which have become a focal point in negotiations with automakers shifting to electric vehicle production.
Further, UAW President Shawn Fain has prioritized unionizing these facilities, a key issue in last year’s talks with the Detroit Three that led to a six-week strike.
Moreover, Ultium Cells agreed to recognize the union at the Tennessee plant in September 2024, following the successful unionization of its Ohio facility in 2022. The Ohio plant ratified its own contract in 2024, securing substantial wage increases.
Meanwhile, the UAW continues negotiations for a first contract at Volkswagen’s Tennessee plant, where workers voted to unionize in April 2024. As automakers expand EV production, the union remains focused on securing strong labor agreements across the growing battery manufacturing sector.
