The United Auto Workers international executive board is increasing strike pay for members from $400 to $500 per week.
This comes as the UAW continues negotiating with Caterpillar for a new contract for workers in the Peoria area, Decatur, Pontiac, and York, Pennsylvania.
UAW president Ray Curry says increasing strike pay gives employers notice of the union's high expectations as they head into bargaining.
Caterpillar union workers overwhelmingly approved strike authorization vote during a vote last month.
The current contract expires on March 1. Caterpillar says economic negotiations are continuing with the union.