Shares of Ford Motor climbed 2.7% in Thursday premarket trading after the company reached a ‘tentative agreement’ with UAW workers.Ford reached an understanding today with its employees represented by the United Auto Workers (UAW), marking a “historic victory” for the US labor union. Shares of Ford (F) rose 2.77% ahead of Thursday’s market opening bell. However, the gains were quickly reversed as the market opened, with the shares standing at $11.62 at the time of publishing. Ford Reaches Agreement With UAW, 20,000 Employees Set to Return to WorkFord Motor said it had reached a “tentative agreement on a new labor contract” with the UAW union about the company’s US operations. As a result, the automaker said it will restart production at its Kentucky, Michigan, and Chicago plants. This will bring 20,000 employees back to work, and Ford will be “shipping our full lineup to our customers again,” the company stated.Ford’s employees represented by the UAW are yet to ratify the deal, although the union’s president, Shawn Fain, saw the latest agreement as a “historic victory.” The UAW launched a “new phase” of the strike this week, putting additional pressure on the automakers, including Ford, and forcing the carmaker to negotiate.The move comes more than a month after the union initiated the strike of the Detroit Three car manufacturers, Ford, GM, and Stellantis. If the deal is ratified, Ford will become the first of the three companies to settle the strikes, including 45,000 employees. Shares of Ford rose more than 2.7% in the premarket trading following the news.Under the terms of the deal, Ford UAW-represented workers will receive an immediate wage boost of 11% upon ratification and a total increase of 25% over the duration of their contracts. Top wage rates will rise by around 33% while starting wages will increase by about 68%. Temporary workers will experience a 150% raise over their contract term, with some Sterling Axle and Rawsonville plant employees receiving an 85% raise upon immediate ratification. Broader US Stock Market Down Amid Rising YieldsWhile Ford’s shares are in the green territory ahead of Thursday’s market open, the same cannot be said for the broader stock market. Notably, the S&P 500 futures were down 0.3% at the time of writing, a day after the market index fell to more than 1.4% to 4,186. The slump came after the broader market experienced a sell-off due to unfavorable macroeconomic conditions marked by another jump in Treasury yields to record levels and the continuing conflict in the Middle East. Ford’s stock is down around 2.4% year-to-date. However, the company’s quarterly performance so far paints a completely different picture, with the automaker reporting earnings per share (EPS) beat of 33.7% and 55.2% in the last two quarters.More By This Author:Rising Treasury Yields Put A Damper On The Impact Of Tech Earnings 421 Stocks Out Of The S&P 500 Are Down Since July; These 3 Bucked The TrendBoeing Posts Another Earnings Miss But Stock Up 22% In 12 Months