The United Auto Workers union has chosen Fiat Chrysler as its target company in ongoing contract negotiations with Detroit automakers.
A target company becomes the focus of bargaining and could be hit with a strike if negotiations stall. The deal with Fiat Chrysler will also set a general pattern for contracts at General Motors and Ford.
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All three companies officially kicked off bargaining for new four-year contracts in July. The current contracts expire Monday, but will likely be extended.
The contracts cover around 140,000 U.S. factory workers.
In a statement Sunday, UAW President Dennis Williams said all three automakers are working hard toward reaching an agreement.
This year's talks are expected to be the most contentious in years because all three companies are healthy and making money.