Volvo Trucks North America has ratified a new five-year agreement with the United Auto Workers covering about 2,000 union workers at its New River Valley, Va., plant.
The contract is effective March 17, 2016 and will expire in 2021.
“New River Valley builds every truck we sell in North America,” said Göran Nyberg, president of Volvo Trucks North America. “This agreement gives us the stability we need to keep building on the momentum we established during our record 2015.”
In 2015, more than 113,000 Volvo trucks were delivered worldwide. While 2015 was a record year for new truck orders, a slowdown in demand toward the end of the year and into 2016 caused many truck manufacturers to pull back production, with Volvo Trucks laying off as many as 734 employees at its New River Valley assembly plant.
The New River Valley plant is on of Volvo Group’s largest manufacturing facilities and is responsible for assembling the Volvo VNM, VNL, VNX, VHD and VAH trucks.