Apr 30, 2024 - Business

Volkswagen accepts UAW unionization vote at Tennessee plant

Volkswagen has accepted workers' vote to unionize at its plant in Chattanooga, Tennessee.

Why it matters: The factory's employees overwhelmingly voted to join the United Auto Workers, making them the first non-Detroit Three automotive assembly plant in the South to be unionized.

Driving the news: The National Labor Relations Board has certified the results of the vote, the UAW and Volkswagen confirmed Tuesday.

The final vote tally was 2,628 to 985, with 83.5% of eligible voters casting ballots from April 17-19. Only a majority of voters was necessary.

Zoom in: Volkswagen had five business days to challenge the results after the vote but chose not to.

"Volkswagen and union workers around the world have a long history of successfully building vehicles together, and we are jointly committed to a strong and successful future at Volkswagen Chattanooga with the UAW," the company and the UAW said Tuesday in a joint statement.

What's next: The two sides will launch collective bargaining talks to reach their first contract.