Business: Peace for Three Years

The auto industry virtually assured itself of three years of labor peace last week. After a quickie (six hours) walkout, Chrysler signed the standard three-year contract with the U.A.W. embodying the Reuther version of the guaranteed annual wage. Like Ford and G.M. before it, Chrysler agreed to establish a fund to guarantee its 139,000 employees 65% of their regular pay for 26 weeks. It also promised minor raises for increases in efficiency and the higher cost of living. Cost to Chrysler: an estimated 20¢ an hour per employee, about the same as at Ford and G.M.

The next day, 22 hours after...

Want the full story?

Subscribe Now

Subscribe
Subscribe

Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!