Autoworkers at Volkswagen’s Chattanooga plant* have won a historic tentative agreement with the company. After making history as the first Southern autoworkers outside the Big Three to join the UAW, the 3200 workers at Volkswagen Chattanooga have won a tentative contract deal late last night that provides 20 % across-the-board wage increases, as well as “affordable health care, real job security, and more.”
“For years, Chattanooga workers were told to settle for less while Volkswagen made record profits. So, the workers stood together and won their union—and now they’ve secured a life-changing first agreement,” said UAW President Shawn Fain. “This deal proves what happens when autoworkers stand up and demand their fair share. People said Southern autoworkers could never form a union or win a union contract. Volkswagen workers in Chattanooga said, ‘Watch this.’”
After workers voted 3-to-1 to join the UAW in 2024, they elected a 20-member negotiating committee of their peers. After months of negotiations, the tentative deal marks a breakthrough for non-union autoworkers and manufacturing workers across the South. The tentative deal ensures that Volkswagen workers have a legally binding and enforceable agreement that guarantees fair pay, more affordable health care, safer working conditions, and clear protections against favoritism.
For workers such as bargaining committee co-chair Steve Cochran, a skilled trades worker and co-chair of the Bargaining Committee, the agreement represents a turning point. “A strong contract makes sure promises are delivered. Respect and security shouldn’t be up for negotiation—and now they won’t be.”
“The tentative agreement is especially significant given Volkswagen’s recent record-breaking profits. In 2024 alone, the world’s second-largest automaker reported $20.6 billion in profits—even as Chattanooga workers struggled under substandard health coverage and rising out-of-pocket costs,” the UAW said.
Claimed Key Wins in the Tentative Agreement
- Major Wage Increases – 20% GWI.
- Substantial raises that begin to close the gap with industry standards and reflect Volkswagen’s record profits.
- Improved High-Quality Health Care with No Increases.
- Lower out-of-pocket costs, improved coverage, and protections that ensure no worker must choose between medical care and basic needs.
- Big Bonuses Initial bonuses equaling $6,550 per worker upon ratification and additional annual bonuses of $2,550 for the life of the agreement. Thousands of dollars of additional compensation for each worker.
- Job Security Protections.
- Strong language against unilateral job cuts, shift reductions, and outsourcing—making sure VW keeps good union jobs in Chattanooga.
- Stronger Health & Safety Standards.
- Enforceable safety rules, dedicated union safety representatives, and a greater worker voice in identifying and fixing hazards on the job.
- Paid Time Off & Scheduling Protections.
- Guaranteed paid leave, fair scheduling requirements, and safeguards against forced overtime and favoritism.
- Fair Discipline & Grievance Rights.
- Clear, enforceable protections against unfair discipline and a transparent, worker-centered grievance process.
- A Real Voice on the Job.
- Rights that ensure workers have a say in day-to-day decisions that shape their work, their safety, and their future.
Significant Changes over VW’s last proposal in October 2025
- New product commitments.
- Enhanced right-to-strike protections.
- Key newly won Job Security agreements, including protections against outsourcing.
- Thousands of additional dollars of annual compensation per worker.
- Key Skilled Trades issues addressed.
- Stronger safeguards against plant closures or the sale of operations.
Workers will receive details of the tentative agreement in the coming days, followed by a ratification vote.
“This contract is proof that if you stand up and stick together, you can win a better life,” said Kelcey Smith, a worker in the paint department. “No matter where you live, or where you work, autoworkers deserve a union contract, whether at the Big Three or Volkswagen, from Detroit to Chattanooga. Volkswagen workers are showing the whole country what’s possible.”
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About Ken Zino
Ken Zino, editor and publisher of AutoInformed, is a versatile auto industry participant with global experience spanning decades in print and broadcast journalism, as well as social media. He has automobile testing, marketing, public relations and communications experience. He is past president of The International Motor Press Assn, the Detroit Press Club, founding member and first President of the Automotive Press Assn. He is a member of APA, IMPA and the Midwest Automotive Press Assn.
He also brings an historical perspective while citing their contemporary relevance of the work of legendary auto writers such as Ken Purdy, Jim Dunne or Jerry Flint, or writers such as Red Smith, Mark Twain, Thomas Jefferson – all to bring perspective to a chaotic automotive universe.
Above all, decades after he first drove a car, Zino still revels in the sound of the exhaust as the throttle is blipped during a downshift and the driver’s rush that occurs when the entry, apex and exit points of a turn are smoothly and swiftly crossed. It’s the beginning of a perfect lap.
AutoInformed has an editorial philosophy that loves transportation machines of all kinds while promoting critical thinking about the future use of cars and trucks.
Zino builds AutoInformed from his background in automotive journalism starting at Hearst Publishing in New York City on Motor and MotorTech Magazines and car testing where he reviewed hundreds of vehicles in his decade-long stint as the Detroit Bureau Chief of Road & Track magazine. Zino has also worked in Europe, and Asia – now the largest automotive market in the world with China at its center.
UAW Southern Advance – Tentative VW Chattanooga Contract
Autoworkers at Volkswagen’s Chattanooga plant* have won a historic tentative agreement with the company. After making history as the first Southern autoworkers outside the Big Three to join the UAW, the 3200 workers at Volkswagen Chattanooga have won a tentative contract deal late last night that provides 20 % across-the-board wage increases, as well as “affordable health care, real job security, and more.”
“For years, Chattanooga workers were told to settle for less while Volkswagen made record profits. So, the workers stood together and won their union—and now they’ve secured a life-changing first agreement,” said UAW President Shawn Fain. “This deal proves what happens when autoworkers stand up and demand their fair share. People said Southern autoworkers could never form a union or win a union contract. Volkswagen workers in Chattanooga said, ‘Watch this.’”
After workers voted 3-to-1 to join the UAW in 2024, they elected a 20-member negotiating committee of their peers. After months of negotiations, the tentative deal marks a breakthrough for non-union autoworkers and manufacturing workers across the South. The tentative deal ensures that Volkswagen workers have a legally binding and enforceable agreement that guarantees fair pay, more affordable health care, safer working conditions, and clear protections against favoritism.
For workers such as bargaining committee co-chair Steve Cochran, a skilled trades worker and co-chair of the Bargaining Committee, the agreement represents a turning point. “A strong contract makes sure promises are delivered. Respect and security shouldn’t be up for negotiation—and now they won’t be.”
“The tentative agreement is especially significant given Volkswagen’s recent record-breaking profits. In 2024 alone, the world’s second-largest automaker reported $20.6 billion in profits—even as Chattanooga workers struggled under substandard health coverage and rising out-of-pocket costs,” the UAW said.
Claimed Key Wins in the Tentative Agreement
Significant Changes over VW’s last proposal in October 2025
Workers will receive details of the tentative agreement in the coming days, followed by a ratification vote.
“This contract is proof that if you stand up and stick together, you can win a better life,” said Kelcey Smith, a worker in the paint department. “No matter where you live, or where you work, autoworkers deserve a union contract, whether at the Big Three or Volkswagen, from Detroit to Chattanooga. Volkswagen workers are showing the whole country what’s possible.”
AutoInformed on
About Ken Zino
Ken Zino, editor and publisher of AutoInformed, is a versatile auto industry participant with global experience spanning decades in print and broadcast journalism, as well as social media. He has automobile testing, marketing, public relations and communications experience. He is past president of The International Motor Press Assn, the Detroit Press Club, founding member and first President of the Automotive Press Assn. He is a member of APA, IMPA and the Midwest Automotive Press Assn. He also brings an historical perspective while citing their contemporary relevance of the work of legendary auto writers such as Ken Purdy, Jim Dunne or Jerry Flint, or writers such as Red Smith, Mark Twain, Thomas Jefferson – all to bring perspective to a chaotic automotive universe. Above all, decades after he first drove a car, Zino still revels in the sound of the exhaust as the throttle is blipped during a downshift and the driver’s rush that occurs when the entry, apex and exit points of a turn are smoothly and swiftly crossed. It’s the beginning of a perfect lap. AutoInformed has an editorial philosophy that loves transportation machines of all kinds while promoting critical thinking about the future use of cars and trucks. Zino builds AutoInformed from his background in automotive journalism starting at Hearst Publishing in New York City on Motor and MotorTech Magazines and car testing where he reviewed hundreds of vehicles in his decade-long stint as the Detroit Bureau Chief of Road & Track magazine. Zino has also worked in Europe, and Asia – now the largest automotive market in the world with China at its center.