Ford will pay only 1.5-percent more in labor costs each year under a new contract with the United Auto Workers, the automaker reported Monday.
Ford announced it would take a $600 million charge this year to pay out the $10,000 ratification bonuses to their workers as part of the new deal.
The new deal allows the automaker to hire more low-cost workers who will either be temporary or entry-level employees, shift production of some of its cars overseas and continue using controversial “alternative work schedules” that favor fewer, longer shifts instead of traditional work days.
I am the last person who would want to be even peripherally involved in you losing your job or impeding that great Lincoln rebuild. I am a loyal reader of TTAC and “slavishly” read your column.
My Subie is just touching 120,000 miles. It has been a really great, reliable ride and I fortunately have a good dealer and private mechanic for the routine issues that pop up.
I want to keep the car as long as possible. I do oil changes and the roughly 60,000 mile recommended scheduled service on time. The engine sounds good, has good (for a Subie) pick-up, averages 20 to 23 miles per gallon, and still has a tight body. I anticipate the need for new shocks at some point soon and a muffler/cat replacement. (Read More…)
Reuters Investigates has a scathing report on foreign workers in Japan at some of Subaru’s most important suppliers. According to the news agency, due to the combination of a booming “Abenomics”, Japan’s 2010 asylum seeker program, and manufacturers looking for cheap sources of expendable labor, foreigners are taken advantage of and treated as second- and third-class workers. Another program meant to help Chinese citizens learn manufacturing skills in Japan is also implicated in helping Subaru take advantage of marginalized immigrant workers.
Subaru isn’t the only automotive manufacturer named as the same suppliers also feed parts to Honda and Toyota.
Volvo announced today it will warranty any replaced part and labor, not including wear-and-tear items and accessories, for the life of the car. The coverage extends only to service at dealerships.
Volvo owners will pay for the initial replacement parts and labor on vehicles with expired warranties, but Volvo will pay for any additional service on that part for as long as the owner has the car. The parts warranty covers all models from all years and will be honored at all North American Volvo dealerships, according to the automaker.
As part of a new arrangement, Volkswagen is allowing more than one group to represent VW workers at its plant at Chattanooga, Tennessee. And while the UAW has managed to secure that privilege, VW is also allowing another, small group to represent workers.
While former EICs Schmitt and Niedermeyer documented the increasing co-operation between the UAW and IG Metall, recent developments have taken the relationship to new twists and turns. First there was the appointment of IG Metall bigwig Bernd Osterloh to VW of America’s board of directors. Now, Reuters is reporting that the two unions, along with the VW global works council, have signed a letter of intent to represent VW workers at its Chattanooga, Tennessee plant.
A wildcat strike at GM’s CAMI plant briefly shut down the assembly plant where the GMC Terrain and Chevrolet Equinox are produced.
João Paulo de Oliveira found it hard to find another job after he was fired by Rapistan, a Michigan-based conveyor belt maker, in 1980. He was detained or arrested another five times until the Brazilian military dictatorship, that had successfully realized a coup d’état in 1964, and returned power to civilians in 1985. Oliveira claims that no other company would hire him after he lost his job, and hge was constantly threatened by police. His crime? Being a union member at a time the military considered strikes as subversive communist movements.
Oliveira declares that he and many other union members suspected that private companies, including many auto makers collaborated with the state’s repressive forces. Apparently, his suspicions have been borne out.
Despite losing a vote on organizing workers at Volkswagen’s Chattanooga, Tennessee plant, the UAW could end up representing Volkswagen workers through its newly formed Local 42, with the end goal being the establishment of a works council at Chattanooga.
The UAW’s new “voluntary” union local at VW’s Tennesse assembly plant will be aiming for the first Works Council at a North American plant.