The Truth About Cars » Union News

NUMMI Workers OK Severance Deal

Edward Niedermeyer — Fri, 19 Mar 2010 19:52:16 +0000

Workers at the former Toyota-GM joint venture NUMMI have approved a severance offer from Toyota. Union officials won’t reveal the exact amount involved, and while the Detroit Free Press reports that workers will make a “minimum” of $21,175, the San Jose Mercury says the deal “gives an average severance package of $54,000.” Could it be [...]

The UAW: As Green As We Need To Be

Edward Niedermeyer — Tue, 16 Mar 2010 19:29:05 +0000

The Detroit News reports that the United Auto Workers are gearing up for battle for a surprising new cause: greenhouse gas emissions standards. Alan Reuther, Legislative Director of the newly-green union, wrote congress recently to warn against a bill authored by Sen. Lisa Murkowski which would prevent the EPA from declaring C02 a danger to [...]

Daewoo-wo-wo-wo: White Flags Over Korea?

Bertel Schmitt — Fri, 12 Mar 2010 15:25:25 +0000

All kinds of strange news are coming from GM’s Korean foster child Daewoo. Two days ago, Daewoo CEO Mike Arcamone announced: “In 2010, GM Daewoo will be profitable. That is my target.” That didn’t get much traction. Reporters wanted to know how bad last year’s numbers were. Arcamone remained tight-lipped. He admitted red ink for [...]

Toyota Union Raised Safety Concerns In 2006

Edward Niedermeyer — Thu, 11 Mar 2010 16:42:48 +0000

The House Oversight Committee has obtained a 2006 memo from the “All Toyota Labor Union” (ATU) which alleges quality declines due to “a fall in the number of experienced staff in favor of contract workers, longer working hours and an aggressive pursuit of cost cuts” according to Automotive News [sub]. The letter was originally addressed [...]

Toyota Pledges $250m For NUMMI Closure

Edward Niedermeyer — Wed, 03 Mar 2010 18:48:56 +0000

A Toyota press release [via Marketwatch] reads: Toyota Motor North America, Inc. (TMA) today announced that Toyota has committed $250 million to its contracted manufacturer New United Motor Manufacturing, Inc. (NUMMI) to fund transition support for NUMMI’s salaried and hourly team members. Toyota’s financial support is enabling NUMMI to offer bonuses to salaried and hourly team [...]

Piece-Loving Unions Harrass Hyundai

Cammy Corrigan — Wed, 24 Feb 2010 12:23:34 +0000

If you were a company at time of recession, belt-tightening and countries on the verge of bankruptcy, you’d think that registering record profits and growing global market share at times like these would keep everyone at your company happy, right? Wrong. Members of Hyundai Motor’s union are angry. Livid. Up in arms. And as students [...]

The Strife Of Reilly: Berlin Abandons Opel

Bertel Schmitt — Tue, 23 Feb 2010 10:56:00 +0000

Every evening and every morning, and times in-between, Nick Reilly wonders why he exchanged his cushy job as Shanghai-based chief of GM’s international operations with the purgatory of heading Opel in Rüsselsheim. This Tuesday morning, he woke up to more news from hell: An unholy alliance of the center-right German government and the supposedly left-leaning unions [...]

Travel Advisory: Avoid Europe

Bertel Schmitt — Mon, 22 Feb 2010 11:45:32 +0000

You don’t want to be traveling in or to Europe these days. In Germany, Lufthansa’s pilots went on strike this morning, grounding 3200 planes. “The largest strike in the history of German aviation” (Die Welt) paralyzed German air traffic, and caused jams on the ground as travelers switched from planes to trains and automobiles. Meanwhile next [...]

Reaction To Reilly’s Restructuring Plan For Opel: It Sucks

Bertel Schmitt — Wed, 10 Feb 2010 11:55:34 +0000

Here are the first reactions to Nick Reilly’s turn-around and begging plan for Opel. In one word: “Booooh!” Roland Koch, Premier of Hesse, where Opel has its headquarters, where most of Opel’s jobs and countless suppliers are, should be most interested in the survival. What was his reaction? “According to our first assessment, it will be [...]

GM and Delphi Ditching UAW For New “Green” Production Jobs

Edward Niedermeyer — Tue, 09 Feb 2010 18:27:25 +0000

As GM tools up for production of its Volt extended-range electric car, Automotive News [sub] has noticed something interesting: workers at GM’s new battery pack assembly plant are not represented by the United Auto Workers. Located in the heart of UAW territory (Brownstown Township, MI), the Volt battery plant represents the very jobs that local [...]

Opel Will Go Begging Again

Bertel Schmitt — Mon, 08 Feb 2010 13:59:56 +0000

This week, Opel will embark on a pan-European begging tour. Applications for government aid will be sent to Germany’s central government, Germany’s states with Opel plants, and to the European countries where Opel has a presence. A business plan, and an expert opinion from the little known CPA firm Warth & Klein will complete the [...]

Opel Going Nowhere Fast

Bertel Schmitt — Tue, 02 Feb 2010 14:09:08 +0000

Opel is running out of time and out of money. In the second quarter of 2010, the company will be out of cash again, figures the German Handelsblatt. As indicated yesterday, discussions with the unions are going nowhere. Says the Handelsblatt:”Management is preparing for a breakdown of the talks.” Reilly and his crew are trying [...]

Opel Labour Boss: “Management’s plans seem to change on a daily basis”

Cammy Corrigan — Mon, 01 Feb 2010 21:57:22 +0000

Opel’s turnaround negotiations with German unions have gone pear-shaped again, as top labour rep Klaus Franz left talks denouncing GM’s decision to cut 9972 jobs instead of the promised 8300, according to The Wall Street Journal. “Fundamental questions have not been answered,” fretted Franz. “Management’s plans seem to change on a daily basis.” Rudi Kennes, [...]

What’s Wrong With This Union?

Edward Niedermeyer — Fri, 29 Jan 2010 19:56:52 +0000

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 [...]

Ford Buyout Offer Draws Little Interest

Cammy Corrigan — Thu, 21 Jan 2010 15:36:35 +0000

Ford may be trying to do their bit about overcapacity issues, but they’re having little success with it. The Freep reports that a buyout program by Ford, which was offered to 41,000 hourly workers, has few takers. Very few. The program was issued on December the 17th and due to expire on Friday the 22nd of [...]

GM To Pay UAW VEBA Director $900k For Advice

Edward Niedermeyer — Fri, 15 Jan 2010 23:44:39 +0000

A lot of what you hear about Steve Girsky sounds decidedly positive: an outspoken critic of GM, Girsky lasted less than a year as Rick Wagoner’s “roving aide-de-camp,” reportedly due to frustration with management heel-dragging. He even earned TTAC’s “lesser-of-two-evils” endorsement to be Presidential Car Czar over Steve “Chooch” Rattner. When he was appointed to [...]

UAW Puts Black Lake Retreat Up For Sale

Edward Niedermeyer — Fri, 15 Jan 2010 16:26:47 +0000

The Detroit News reports that the UAW has put its infamous Black Lake retreat on the market, as the “symbol of the union’s success” has become a financial liability. The money-losing retreat and golf resort became a symbol of UAW profligacy during last year’s lead-up to the auto industry bailout. Even within the union, the [...]

Politics Intrude On UAW, Detroit Auto Show

Edward Niedermeyer — Fri, 08 Jan 2010 20:57:57 +0000

Thanks to the unionization of the US auto industry, its politics (and accordingly, those of the state of Michigan) tend to be of the center-left persuasion. This tendency was doubtless aggravated over the last year, as a congressional bailout of the industry was denied by southern Republican senators. But even in Michigan, the union-industry alliance [...]

NYT Declares UAW Free From “Lordstown Syndrome”

Edward Niedermeyer — Thu, 07 Jan 2010 17:36:33 +0000

GM’s Lordstown, OH plant was something of a poster boy for all that went wrong with the UAW over the past several decades, reports the New York Times. Poor quality, worker sabotage and crippling strikes led to the coining of the term “Lordstown Syndrome” as a symbol of UAW recalcitrance. Lordstown’s workers were so feisty [...]

Ford Completes $13.2b Health Care Liability Transfer To VEBA

Edward Niedermeyer — Mon, 04 Jan 2010 23:04:17 +0000

Ford has wrapped up some much-needed financial wrangling today, as it struggles with with its monstrous pile of debt. According to Automotive News [sub], Ford transferred $13.2b in debt and about $4b in cash to the UAW-run health care trust fund, completing a long-awaited liability consolidation. $1.4b of the transfer was a scheduled payment on [...]

Toyota Plant Allows UAW Organiser Access

Cammy Corrigan — Tue, 29 Dec 2009 17:15:46 +0000

First, they sold the most amount of cars in the world, then, they started cost cutting and now, Toyota are taking another big step towards becoming GM. The Charleston Daily Mail reports that the managers of Toyota’s manufacturing plant in Buffalo, West Virginia have allowed workers to distribute union literature during breaks at the plant. [...]

Quote Of The Day: Peace In Our Time Edition

Edward Niedermeyer — Tue, 22 Dec 2009 21:53:10 +0000

Whitacre is a completely different type of manager than what you saw at GM in the past. It’s refreshing to talk to someone that gained his experience outside of the company. He truly wants our cooperation, he doesn’t want any confrontation at all. Just the opposite, he says that only together can we make GM, [...]

Ford Brings Back Buyouts, Visteon Dumps Pensions on Public

Edward Niedermeyer — Mon, 21 Dec 2009 22:09:02 +0000

It’s been a while since we’ve heard the word “buyout” echoing out of Detroit, as 2008 marked the year in which auto industry employees finally started to be fired like everyone else: without a hefty severance kiss-off. Ford, on the other hand, did not get a shot at free house-cleaning in bankruptcy court, so it’s [...]

UAW Turning To Ford Negotiator?

Edward Niedermeyer — Mon, 14 Dec 2009 16:08:58 +0000

UAW Boss Ron Gettelfinger plans to retire next year, and the search is on to replace the man who led the union through the political minefield that was the auto bailout. But the union’s support for Bob King, who led negotiations with Ford, could open up divisions within the union, reports Automotive News [sub]. King [...]

Volvo Deal Sparks Chinese Business Practice Debate In Sweden

Thor Johnsen — Mon, 14 Dec 2009 14:22:46 +0000

Responding to calls by Volvo’s unions for an investigation of Geely, Volvo management is calling the unions’ statements “almost xenophobic.” CEO Stephen Odell, and Personell Manager Björn Sällström of Volvo Cars have sent out letter to their empolyees, urging to modify their attitude towards their potential new employer, Geely. The letter is a response, not [...]