GM Sues FCA Over Corrupted Labor Talks

Nov. 21, 2019
General Motors is suing Fiat Chrysler Automobiles (FCA), alleging it cost the automaker billions of dollars by corrupting labor talks.

Nov. 21, 2019—General Motors is suing Fiat Chrysler Automobiles, alleging that it cost GM billions of dollars by corrupting labor talks over the past decade, reported The Detroit Free Press.

GM also alleged that former FCA boss Sergio Marchionne authorized bribes and conspired with the UAW to "effectively take over GM through a merger." GM's lawsuit, filed under federal racketeering laws, said 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." 

"We are astonished by this filing, both its content and its timing," FCA said in a statement Wednesday afternoon. "We can only assume this was intended to disrupt our proposed merger with PSA as well as our negotiations with the UAW. We intend to vigorously defend against this meritless lawsuit and pursue all legal remedies in response to it."

Sponsored Recommendations

Free Resources for Shops Like Yours

View insights, research and solutions curated specifically for shops like yours.

Restore & Protect: The Powerful Revenue and Profit Accelerator for Your Business

Restore & Protect is a major business opportunity for Valvoline installers with positive impact on profit growth as well as customer satisfaction and loyalty.

Deliver a First-Class Guest Experience

Our dedicated Valvoline Trusted Advisor Sales and Support Team provides hands-on classroom and targeted in-store coaching to help your employees become more skilled at selling...

Promote Growth on Two Fronts: Existing and New Customers

Increase Sales and Customer Traffic To Your Store(s).