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GM Files Lawsuit Over FCA's Alleged Bribery Of UAW

General Motors (GM) filed a racketeering lawsuit against Fiat Chrysler Automobiles and its former executives, accusing Fiat Chrysler of bribing United Auto Workers officials to receive favorable terms in labor negotiations.

GM alleged that Fiat paid millions of dollars in bribes and that the alleged scheme was authorized at the highest levels of the company.

"This lawsuit is intended to hold FCA accountable for the harm its actions have caused our company and to ensure a level playing field going forward," Craig Glidden, GM Executive Vice President and General Counsel said in a statement.

Meanwhile, Fiat Chrysler Automobiles said that it will defend itself vigorously against the lawsuit filed by General Motors. It believes General Motors' claims are nothing more than a meritless attempt to divert attention from that company's own challenges.

GM alleged that Fiat Chrysler corrupted the implementation of the 2009 collective bargaining agreement. It also corrupted the negotiation, implementation, and administration of the 2011 and 2015 agreements.

According to GM, FCA's manipulation of the collective bargaining process resulted in unfair labor costs and operational advantages, causing harm to GM.

UAW members approved a labor deal with GM in late October, ending the longest strike for the union against any automaker in decades.

Earlier this month, United Auto Workers' President Gary Jones took a leave of absence, amid a federal investigation into corruption in the top ranks.

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