By on December 8, 2008

A UAW local president has revealed that, as we suspected, the much-touted UAW concessions are no concessions at all. Mark McQuillen, president of UAW local 2404 (Charlotte, NC) has filed a report on last week’s emergency UAW meeting, and let slip a tiny detail that had not been previously publicized. In return for allowing Detroit to delay VEBA payments and “eliminating the Job Bank and negotiating a new provision to protect workers that otherwise would have been placed in the Jobs Bank program,” the UAW is said to be seeking “an equity stake in the company most likely in the form of a seat on the board of directors.” This is in addition to a taxpayer funded “special attrition program” which will buy out UAW workers in 2009 “providing that the loans are granted and that the government approves using some of the money for that purpose.” Concessions indeed.

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21 Comments on “TTAC Called It: The Other Shoe Drops On UAW Concessions...”


  • avatar
    indi500fan

    New movie coming in 09….

    Dude, where’s my VEBA?

  • avatar

    Actually, a better photo would be the carnival shell game.

    John

  • avatar
    Lichtronamo

    I’m pulling for Senator Shelby’s filibuster – let them file C11.

  • avatar
    golf4me

    One condition I’d like to see: Elimination of the UAW. C’mon, everyone knows they are one of the problems, and possibly the biggest, and it’s not only because of their wages and benefits. It’s their work rules too. And attitude. I wish one of the CEO’s had some balls up there on Cap Hill when one of the dopey Democrats said something like “why did you agree to these contracts?”

    I wish Rick would have manned-up and said “well, if we didn’t agree to the contracts, the union would have striked, costing us more billions than we are asking for here, and if we tried to hire a new workforce, we probably would have been sent to jail. Furthermore, your CAFE, FMVSS, OSHA, EPA, etc have cost us HUNDREDS of BILLIONS over the last 30 years which could have been better spent “making the cars people want”. Do you realize that your safety standards add about 800 lb to a small car? How in god’s green earth is it going to be more efficient than the car it replaces? I’d like you to tell me that Mr. Senator. Then give me some money NOW. Thank you very much, and F**ck you too.”

  • avatar

    As if GM’s Board of Bystanders isn’t already whacked out to the edge of delusion, give the UAW a seat on it. Brilliant!

  • avatar

    they should take their Billion dollar strike fund and buy newly issued common shares and thereby earn a spot at the table. current investors wouldn’t be out anything by the dilution as the stock is basically worthless anyway. maybe then we could begin the formation of a company capable of having various factions truly aligned. same page kind of thing you know.

  • avatar
    Hippo

    W, please veto.

    Maybe prosecute UAW under RICO?

  • avatar
    Stu Sidoti

    The Domestic Automakers, especially GM, had a golden opportunity to send the UAW packing in 1998 when they went on strike for several months. GM management didn’t have the cajones to pull the trigger ten years ago and now here we are asking why they are still around and even worse, why on earth would you ever let them sit on the board? I really cannot believe that once again, a company has shown the stupidity to let the employees tell them what to do, how to run the business and just what ‘conditions they are willing to work under’.
    GM BoD….get it through your heads-They Are The Employees, not your bosses, you are supposed to be their bosses-Remember?

  • avatar
    gamper

    Is anyone REALLY surprised?? At this point it doesnt really matter. When they come back in January for more money, there will be some bloodletting by everyone involved. Creditors, UAW, management, etc, or there wont be any money.

    The UAW is quickly approaching its judgment day.

  • avatar
    jkross22

    It’s Animal Farm meets 1984. Orwell would be pleased.

    This should be all the proof one needs to deny another nickel to such an incompetently run organization.

  • avatar
    Fredmort

    I wonder if Gettlefinger will work for one dollar a year?

  • avatar
    26theone

    Buickman, even the UAW knows that GM isnt a good investment and wouldnt purchase stock in the company. Why dont you hear them proposing the investments you speak of. Even the rank and file isnt wanting to invest…

  • avatar
    MikeInCanada

    Just ask the employees of United Airlines how great of an idea it was to have a significant ownership stake in the company – right before it went bankrupt. It looks to be mostly symbolic to me. Heck, give the UAW all the BOD positions and it won’t change the underlying fiscal problems at GM.

    The laws of supply and demand may just win this one yet….

  • avatar
    jolo

    GM management cannot get rid of the uaw. The workers voted them in decades ago and only the workers can vote them out. And they won’t.

    Please people, stop saying that chapter 11 will get rid of the uaw. It won’t. It will cause them to renegotiate their contract, but the workers will not let the uaw go. The workers know that they will have to fend for themselves and they have never done so. It is better to have an overlord than be responsible for one’s self.

  • avatar
    Detroit Todd

    One condition I’d like to see: Elimination of the UAW.

    And I want a pony.

    Seriously, why should the UAW take it the neck? Did they design the cars that no one wanted to buy? Did they waste untold sums on the FIAT boondoggle? Did they fail to invest in small cars when they were raking it in hand-over-fist in the 90s?

    No, the UAW did none of those things. They built to spec, vastly improved productivity, and took home awards for the highest-quality plants in North America. And just last year, they gave concessions.

    Management, not the UAW, is what has run the Big Three into the ground. Why in the world should the decision-makers live on and the UAW die?

    Put another way, why should the people who shower after work lose their livelihood while the people who shower before work (a/k/a those who brought the enterprise to ruin) continue to receive a salary?

    If the UAW dies, it will take the Big Three with them. That is a dead certainty, amidst a sea of uncertainty.

    They — GM and/or Ford and/or Chysler, and the UAW — will all fail, or succeed, together.

  • avatar
    TaurusGT500

    True story…. couple years ago we’re setting up for a big summertime corporate event in Detroit…. bigtime, high budget deal with union labor.

    The hospitality tents couldn’t be staked into the asphalt; had to be tied to water barrels… which had to be moved by forklift.

    Needed several moved. Project mgr sends over a Teamster fork lift driver.

    OK..so far… so good.

    But … walking next to him is his assistant. ….and walking next to him is their supervisor. That’s three for the price of …well … three.

    Dude on the hi-lo moves the barrels … with his trusty assistant and supe following along the whole way.

    This is everyday SOP with these guys. that’s one slice of life anecdote… there’s hundreds more.

    So it’s not just a matter of how much $$ the driver made per hour…it’s that they triple-dipped.

    3 guys getting paid for the work of one. …there’s a reason all the transplants wouldn’t build within 300 miles of the Michigan border and it’s not the weather.

  • avatar
    windswords

    Chrysler had UAW president Douglas Fraser (sp?) on it’s board when it got it’s publicly guaranteed private bank loans. He was not a problem from what I’ve read, but was able to see firsthand just how serious things were then. He knew they would have to close plants and renegotiate the contract and was cooperative in doing what was needed so they could survive. Maybe it was a different UAW back then. I would like to think they could do this now. But I always was an optimist.

  • avatar

    Don’t forget that Gettelfinger himself was on the DiamlerChrysler supervisory board as one of the labor representatives until Chrysler was divested to Cerberus.

  • avatar
    brush

    TaurusGT500

    That you got three for one is probaly the result of Occupational Health and Safety laws for the operators and bystanders protection. The actual driver is probaly not allowed to leave the fork lift whilst in control, the assistant is to actually guide and help make sure the load is safe and secure and the supervisor is to make sure that all the rest of people, not directly involved in the job, are kept safely away from the proceedings. Else you might have shock horror headlines of “Forklift loses control, bystanders injured, suing event organisors”

  • avatar
    indi500fan

    @TaurusGT500:

    You’ve touched on one of many UAW problems – featherbedding.
    The goal of the union is to create jobs.
    I wonder if Ronny G would like to testify how many of his union buddies are in elected and appointed positions in the plants. Where they not only collect major $$ (these guys are often “on the clock” for 12-16 hours 6/7 days a week) but spend much of their time gumming up the works to create the need for more union hours worked.

  • avatar
    PeteMoran

    jkross22: Thanks. I’d hadn’t thought of it that way but you’re absolutely right.


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