DETROIT -

General Motors and the UAW have come to an agreement.

A two-to-one majority of UAW members voted to ratify a new collective bargaining agreement with GM; the vote was 65 percent in favor of the agreement among production workers, and 63 percent in favor among skilled trades workers.

This marked the finalization of a tentative agreement between GM and the UAW made on Sept. 16.

The four-year contract — which is effective immediately and covers more than 48,000 active workers at GM — is expected to create 6,400 new jobs in the United States, providing jobs for UAW members who have been laid off over the last several years. On top of creating thousands of new jobs, the contract will work to bring jobs back to the U.S. and to UAW GM plants that had been moved to Mexico and other parts of the world.

The 6,400 GM jobs mean another 57,600 jobs will potentially be created in suppliers and other businesses related to the auto industry, since auto manufacturing jobs create and support many other jobs, officials noted.

Moreover, the contract aims to aid entry-level workers, bringing wages to $19.28 over the term of the agreement. Also, it provides a $5,000 signing bonus for all employees, and up to $4,000 in inflation protection and quality lump-sum payments over the term of the agreement.

Officials went on to report it improves profit sharing, “replacing the old plan with a new, more simple and transparent plan, with higher payouts in profit sharing.”

In light of Wednesday’s news, GM outlined details of its labor agreement with the UAW during a conference call hosted by chairman and chief executive officer Dan Akerson and senior vice president and chief financial officer Dan Ammann.

The automaker pointed to the $5.1 billion it has invested in products and plants, and 13,000 jobs it has created or retained in the U.S. since August 2009, and noted that it plans to make additional manufacturing investments of more than $2 billion to create or retain more than 6,300 jobs during the four-year agreement period.

"The agreement is a win-win for our employees and our company," said Akerson. "It underscores the alignment between the UAW and the new GM in our efforts to drive long-term success, and gives all of our employees a direct stake in the quality of our products and our performance."

The company also noted the agreement is expected to have a limited impact on GM’s fixed cost.

Also of interest, the company expects the new contract will work to protect GM’s low break-even level in the event of a U.S. industry downturn, and “preserves GM’s fortress balance sheet, with no pension increases and the capping of the hourly defined benefit pension plan population.”

"GM and the UAW remain steadfast in our commitment to strengthen the U.S. manufacturing base, create good-paying jobs and build the high-quality, fuel-efficient cars and trucks our customers deserve," said Akerson.

UAW president Bob King also offered his take on the recent developments, noting, "The UAW and GM entered into this set of bargaining as America struggles with record levels of unemployment and an economy that shows little sign of improvement.

“Because of President Obama’s and the American taxpayers’ backing of our jobs and our companies, we were determined to work together with GM management to grow jobs in the U.S. and to get more Americans back to work and we are doing just that,” he continued. "With the continued support and solidarity of our members at GM, we stood strong and not only stopped these proposed givebacks, but we made important gains for our members in this contract.”

UAW vice president Joe Ashton, who directs the union’s GM department also gave his opinion, saying, "We are enormously proud of our union and the UAW GM National Negotiating Committee. In these uncertain economic times, we were able to win an agreement with GM that guarantees good American jobs at a good American company. When GM was down, our members sacrificed and saved GM. Now that GM is posting strong profits, our members, as a result of this agreement, are going to share in the company’s success."

He also expressed his enthusiasm for a few key benefits that were retained or improved within the contract with GM: "When it seems like everyone in America is getting cuts in benefits and paying higher co-pays and deductibles, we were able to maintain and improve on our current benefits," said Ashton. "Most significant for our members, we were able to add unlimited $25 doctor’s office visits. To the credit of GM and the UAW, this improvement will both increase the long term health of our members and reduce overall plan costs."