By on January 29, 2010

Ford’s announcement that it would restore merit pay increases and 401k matching to salaried employees has drawn protests from the UAW even though it has restored profit-sharing for UAW workers. The UAW’s head of Ford representation Bob King tells the Detroit News:

They’re two separate issues. We gave up a long laundry list of benefits. None of that is being restored. We think they should use the money to pay down debt

We agree that they’re not linked,” say Ford spokesfolks. “But we don’t believe that we violated the contract.” And while the union bashes Ford for restoring white-collar benefits, it’s actually reaching out to salaried Delphi retirees, as MLive reports that UAW boss Ron Gettelfinger has written a letter to Delphi asking it to restore salaried pensions which are being cut. So does the UAW support salaried auto industry employees, or does it see them as an opponent in a zero-sum game? More than likely, the answer is neither. Or both. As this video of chaos breaking out at a UAW meeting of NUMMI workers seems to indicate, the UAW is still an out-of-control juggernaut, unable to share a coherent perspective on the industry. But hey, thanks to their ownership of a majority stake in Chrysler and about 15 percent of GM, they’re an out-of-control fact of life.

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28 Comments on “What’s Wrong With This Union?...”


  • avatar
    gslippy

    What is the difference between the UAW and Somalian pirates?

  • avatar
    pgcooldad

    The situation at NUMMI has absolutely nothing to do with Ford’s nor Delphi’s.

    Those people are losing, as in lost – gone forever, their jobs. You betcha it’s going to be raucous.

    This is like saying there is shooting by a Postal Worker and the same is going to happen at all government agencies, just because they are represented by the same union!

  • avatar
    CyCarConsulting

    I guess everyone has amnesia. Don’t remember what the unions out of control demands did to the auto business over the last 30 years?

  • avatar
    Cammy Corrigan

    This might go a little way to explain why Ford’s stock price is plunging FASTER than Toyota’s.

    • 0 avatar

      Yeah the market dropping over 200 points had nothing to do with it. It was the UAW.

    • 0 avatar
      Cammy Corrigan

      You’re absolutely right. The Dow Jones dropping 53.13 points today is the answer. Toyota with a whacking great big recall, dropped less than a fifth of what Ford dropped today. The same Ford who announced record profits yesterday.

    • 0 avatar
      rnc

      Cammy –

      Good to see your taking the ford hate roll, exited by RF. Why did Ford’s stock drop today is about the same as looking at car sales on a day to day basis. But why did it drop, more than toyota (which has just experienced it’s largest ever % drop in 20 years), I am the reason ,and alot of people like me, who bought ford at less than $2/share and are now exiting at 500%-1000% profit in a little over a year (which in investing is considered golden) Also usually done through automated trades based on a high and a low, once people start cashing out thier 500%-1000% gains on Ford’s stock it will start a cascade effect driving the stock alittle lower and lower until such time that it reaches people’s automated buy levels which will push up little by little. Stocks, like car sales, are usually best looked at on a year over year basis and I can assure you that people who bought Ford a year ago are much happier than people who bought toyota (and at this point the same would probably apply to thier cars as well).

    • 0 avatar

      Sorry I was looking at Nikkei. But I still don’t see what the UAW has to do with the F stock drop as opposed to say profit taking.

    • 0 avatar
      rmwill

      It is difficult to take seriously the comments of someone who criticises Ford at every opportunity, yet drives and loves a Jaguar X-Type.

    • 0 avatar
      Z71_Silvy

      RNC…

      He’s not hating…it’s the truth.

      You don’t post billion dollar profits (if you even believe Ford) in a recession…and have your stock PLUNGE.

      Ford’s stock should have went through the roof when the “profit” was announced. It didn’t. People are skeptical of Ford and rightly so. I wouldn’t buy stock in a company that produces such cheap, bland appliances like Ford does.

      And this whole “One Ford” this has to be the stupidest thing since Ford said Mazda and Volvo were not for sale.

    • 0 avatar
      Cammy Corrigan

      rmwill

      I like the taste of Pepsi, doesn’t necessarily mean they are a well run company. As for “criticising” Ford all the time, I refer you to this article:

      http://www.thetruthaboutcars.com/going-global-ford-faces-uncertainty-down-under/

      Z71_Silvy

      Hoi! That sentence should read “SHE’S not hating…..”

  • avatar
    mikey

    Ok, that you tube bit showed up this morning. I was going to feed it to you guys but somebody beat me to it.This ain’t Ford. Let’s not forget this is a meeting from the nummi plant that is closing the doors and everybody is going to be out of work. Its stands to reason that tempers,no doubt beer fueled,may be a little short. Been there done that!

    Ive been to ratification meetings that would make that look like a meeting of the debate club at a bible college.

    I’ll betch’a a meeting of the top brass at Toyota,would be down right entertaining right about now. Too bad TTAC can’t get a camera in there.

    Hey…. The situation with the salary people at delphi is a travasty and an injustice. Does it fall under the UAW sphere of influence? I don’t know.

    Is the UAW/CAW out of control? No,it’s just a just a period of transition. What industry is not going through change and turmoil right now? The rank and file autoworkers,just express thier feelings in a different manner.

  • avatar
    vento97

    Da Union Thugs…

    A prime example of the Herd mentality that seems to be pervasive these days…

    “Join Da Union – or we’ll break your legs…”

    Not to be confused with the Union…

  • avatar
    acentre

    The UAW does not care about me and my family. Why should I care about them. Time to purchase another Acura.

    • 0 avatar
      AJ

      I agree, and I won’t buy another UAW built vehicle ever again (which has been tough to say as a Jeep guy).

    • 0 avatar
      pgcooldad

      Actually, if you were in the UAW your family would be well taken care off. The benefits are all geared towards helping families. Health care, time off, bereavement, pension … the list goes on. As just a couple of years ago, every one of your kids would have $1000.00 a year from the UAW towards college. You even get free legal advice.

      So, as a member of the UAW it is all about families.

      Your generality can be applied to any discipline. Lawyers don’t care about you, politicians don’t care about you, wall street bankers could give two cents about you, home builder care less about you.

      So go ahead and buy your Acura … support a Japanese retiree .. they care about you.

  • avatar
    50merc

    Those workers are anxious and frustrated. Give them some credit; in France they’d be torching cars on the Champs-Elysees.

    But yes, order must be restored. Henry the First recommends a Service Department and a Harry Bennett and crew.

  • avatar
    RNader

    What did we do when the German bombs hit Pearl Harbor……….

    BLAH, blah, blah, f*cking blahhhhhhhhh……….

    ROAD TRIP!!!!!!!!!!!!!

  • avatar
    rnc

    NUMMI, I can understand, losing that job closely equates to losing a postal job, it’s all they know how to do and they will never see those salaries/benefits again. And because of the connotations related to the UAW (postal workers) the bias (deserved or not) will work against them the rest of thier lives.

    Ford’s salaried workers have been cut to the bone in a way the UAW couldn’t dream of (imagine the factory being ran with 1/3 of the workers and being expected to produce more, that is what Ford’s workers have just accomplished).

    Mikey – What promises do the union leaders make?, do those people have any right to feel like they were promised something (not by the companies) but by the union? Is there a fund that will take care of them? Train or Relocate them?

    It seems like the UAW sold out it’s future employee’s for it’s current with the current CBA. In 10-15 years when they begin to make up the majority at some plants, that is when you could see the UAW go through a dramatic change.

  • avatar
    RoadRage

    Unions have brought a lot of workers rights to the work place, but what they have done to our auto industry in the last 40 years is unforgivable. They nearly brought the auto industry to its knees by holding the car companies hostage with the threats of strikes and by carrying out some of them. Don’t get me wrong. I understand it takes two to Tango. But when your competition is passing you by, then something has to give. Their wages were out of line with inflation and their benefits were unsustainable. Held hostage by a contract, the american auto industry was always one check from starvation. Thanks to a two tier wage system, some buy outs and a couple of bankruptcies; we can now bring cost in line with our foreign competition. Ok, at least close the gap.

  • avatar
    russification

    go to church, take an interest in the government taxing policy

  • avatar
    windswords

    Smartest guy in the room: 1:58 – the man with the teal jacket sitting calmly in his chair while the chaos erupts all around him.

  • avatar
    Gardiner Westbound

    I feel badly for anybody who loses a job, especially a good one. Been there, done that! It’s highly unlikely the majority of these workers will ever secure another with comparable wages and benefits.

    I have interviewed similar job applicants and found their credentials, work habits, attitude and history seriously deficient. Many companies treat a union affiliation like the plague. Few employers will risk having their workforce contaminated

    Most difficult are the good people who come out of the military after 10 or 15-years. You really, really want to accommodate them, but there are not many civvy street opportunities for machine gunners. If there is room in the budget you put them in a trainee position, but they rarely stay.

  • avatar
    windswords

    I found this in the info box on You Tube:

    “Javier Contreras, Bargaining Chairman of UAW Local 2244 was the union leader who incited a riot at the January 24, 2010 union meeting. The video captures him using profane language towards a displeased membership. His lack of professionalism proves that he is in no way capable of leading us through anymore failed severence negotiations! When you disrepect one of us you disrespect the entire union!
    You ask…why all of the hostility? These hard working people have been waiting for thier union leadership to sit down at the table with the company to agree on a severence package. While the company has made thier offer public, no information has been given to the membership on union counter proposals. The union dues …are being spent on lavish trips to Palm Springs rather than providing the services they pay for! Who wouldn’t be angry??? ”


    Sounds to me like a little Tea Party like dissatisfaction with their own leaders.


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