UAW Members Ratify Unprecedented Contract at BMW in the Lehigh Valley

BMW workers at the distribution center in Palmer Township, Pennsylvania, have voted more than 2-to-1 to ratify a new contract securing raises of up to 33% and ending the two-tier wage system over the life of the agreement. 

The agreement also introduces major improvements to policies on time off, uniforms, overtime exemptions, and attendance. The deal comes after workers at the BMW facility, who package and ship parts, as well as all BMW motorcycles, to BMW’s dealer network, built a credible strike threat that forced the company to offer a contract that properly reflects workers’ immense value.

BMW has raked in a massive $50 billion in profits since 2021 and paid out $7.2 billion to shareholders last year alone. Company CEO Oliver Zipse was generously rewarded with a nearly $10 million payday in 2023. Yet, workers at the facility saw their standard of living continue to decline as wages and benefits stagnated for years.  

“The company has been making billions in profits while many of us had gone for years without a raise, which is unacceptable,” said Zach Haas, the chief steward and bargaining unit chair. “We used our collective power, including the very real threat of withholding our labor, to win a great deal that rewards our work and gives us a stronger voice and platform for making the plant safer.”

Many workers will receive an 11% raise immediately. The new agreement also contains a new process to guarantee that workers’ safety and health concerns are heard and dealt with in a timely and appropriate manner. These BMW workers are the latest UAW members to win big as part of the Stand Up Movement.