Despite labor costs, GM averts financial woes of its past

DETROIT, Mich. – The new four-year deal between General Motors and 49,000 United Auto Workers will drive up the company’s expenses with pay raises, bonuses and other increases. But analysts say GM is far better able to handle the costs now than it was a decade ago when the high cost of labor helped send it into bankruptcy protection. And GM did score some victories in the tentative agreement, mainly with added costs that it was able to avoid.