UAW to Retirees: "Read My Lips: No New Healthcare Costs"

Frank Williams
by Frank Williams

As the UAW contract negotiations heat up, so does the rhetoric. The Detroit News quotes UAW vice-president Cal Rapson on retiree health care costs: "I can tell you one thing, we are determined not to put any more costs on retirees for their health care." The comment, made during a speech at the opening of a labor exhibit at the Sloan Museum, was just what the retirees in attendance wanted to hear. If the automakers are successful in negotiating a UAW-run VEBA superfund for retiree health care, Mr. Rapson may find out it's not that easy administering anyone's health care benefits, let alone those with the demographics of retired autoworkers. It'll be interesting to see how long the UAW keeps promising no out-of-pocket increases when they're the ones responsible for paying the bills.

Frank Williams
Frank Williams

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  • Mikey Mikey on Sep 03, 2007

    Keys words here "if they are successfull " I can see Ron G and his bean counters figuring this out.This is maybe something the UAW don't want to take on.This is a whole new teritory for the UAW,with lots of pitfalls. 40 - 50 Billion$ ? for G.M.? thats a big reach. Ford can they cough up thier share?They are up to thier corporate ass now.Hey how about the new Chrysler?I think they bit off as much as thier 3 headed critter can chew. Being from another country with a different Union culture I could be dead wrong.I really don't see VEBA going down this ain't Goodyear.

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