The Truth About Cars » Tennessee http://www.thetruthaboutcars.com The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. Mon, 29 Jun 2015 20:37:28 +0000 en-US hourly 1 http://wordpress.org/?v=4.2.2 The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. The Truth About Cars no The Truth About Cars editors@ttac.com editors@ttac.com (The Truth About Cars) 2006-2009 The Truth About Cars The Truth About Cars » Tennessee http://www.thetruthaboutcars.com/wp-content/themes/ttac-theme/images/logo.gif http://www.thetruthaboutcars.com Volkswagen Expects ‘Limited Growth’ In US Through 2017, Supplier Arrives In Tennessee http://www.thetruthaboutcars.com/2015/06/volkswagen-expects-limited-growth-in-us-through-2017-supplier-arrives-in-tennessee/ http://www.thetruthaboutcars.com/2015/06/volkswagen-expects-limited-growth-in-us-through-2017-supplier-arrives-in-tennessee/#comments Mon, 22 Jun 2015 18:00:59 +0000 http://www.thetruthaboutcars.com/?p=1097377 Volkswagen USA CEO Michael Horn says the automaker expects “limited growth” until its new SUVs arrive, while one of its suppliers sets up shop in Tennessee. Though parent company Volkswagen AG had once hoped for 800,000 units sold by 2018 in the United States, Horn downplayed the target’s importance, Reuters reports: [The 2018 sales target] […]

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Volkswagen Crossblue Concept Parked In Front Of VW Chattanooga Tennessee Plant

Volkswagen USA CEO Michael Horn says the automaker expects “limited growth” until its new SUVs arrive, while one of its suppliers sets up shop in Tennessee.

Though parent company Volkswagen AG had once hoped for 800,000 units sold by 2018 in the United States, Horn downplayed the target’s importance, Reuters reports:

[The 2018 sales target] is still a relevant objective… but, on the other hand, if you just focus on one year and one number you would do crazy things, so the most important thing is to have a long-term strategy.

For now, Horn states VW will need to defend its position from now through 2017, when the redesigned Tiguan and the Chattanooga, Tenn.-built midsize SUV both hit the showroom floor. Other products, including a $20,000 compact SUV and a large pickup due in 2020 at the earliest, would soon follow.

As for the 2018 target, sales fell from 440,000 in 2012, to 367,000 last year, and have fallen 4 percent since; VW’s U.S. sales peak came in 1970 with 570,000 units. LMC Automotive says the new models in 2017 will help, but would only push sales to a projected 495,000 in 2018.

Meanwhile, Spanish automotive supplier Gestamp is setting up shop near the Chattanooga facility, where it and Volkswagen will unveil a new pressing plant Tuesday. The plant would create 500 jobs, and has been described by the automaker as a “major economic development.”

(Photo credit: Volkswagen)

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Volkswagen Denies UAW’s Request For Sole Representation http://www.thetruthaboutcars.com/2015/05/volkswagen-denies-uaws-request-sole-representation/ http://www.thetruthaboutcars.com/2015/05/volkswagen-denies-uaws-request-sole-representation/#comments Fri, 08 May 2015 17:00:35 +0000 http://www.thetruthaboutcars.com/?p=1064274 Volkswagen announced Thursday it would deny the UAW’s request to be the sole representative of the automaker’s Chattanooga, Tenn. plant. Instead, VW would continue to work with both the UAW and rival organization American Council of Employees toward the goal of establishing a works council at its sole U.S. facility, Bloomberg reports. While the company […]

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Volkswagen announced Thursday it would deny the UAW’s request to be the sole representative of the automaker’s Chattanooga, Tenn. plant.

Instead, VW would continue to work with both the UAW and rival organization American Council of Employees toward the goal of establishing a works council at its sole U.S. facility, Bloomberg reports.

While the company said meeting with both factions “has been a very effective way to start dialog with each of the groups,” UAW secretary-treasurer Gary Casteel proclaimed VW should recognize his union “as the bargaining agent,” adding “a works council can only exist with a union and VW has said their preferred union is the UAW.”

The UAW is said to represent 55 percent of hourly workers on the floor, while ACE has between 15 to 30 percent of hourly and salaried employees.

[Photo credit: Volkswagen]

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Volkswagen Opening Engineering Center In Chattanooga http://www.thetruthaboutcars.com/2015/04/volkswagen-opening-engineering-center-chattanooga/ http://www.thetruthaboutcars.com/2015/04/volkswagen-opening-engineering-center-chattanooga/#comments Wed, 08 Apr 2015 10:00:32 +0000 http://www.thetruthaboutcars.com/?p=1039529 Volkswagen is launching an engineering center at its factory in Chattanooga, Tenn. to help improve the automaker’s fortunes in the United States. Chattanooga Times Free Press reports hiring for the facility has begun, with the aim of bringing aboard 130 engineers and technicians — some of whom coming straight out of local and out-of-state universities […]

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Volkswagen Chattanooga Tower

Volkswagen is launching an engineering center at its factory in Chattanooga, Tenn. to help improve the automaker’s fortunes in the United States.

Chattanooga Times Free Press reports hiring for the facility has begun, with the aim of bringing aboard 130 engineers and technicians — some of whom coming straight out of local and out-of-state universities — by 2017, with 70 more to be hired later on.

Speaking of 2017, Volkswagen also hopes to have a new building near the factory for the engineering center, which will be housed in a vacant building on the factory grounds in the meantime. Though building costs and size haven’t been determined, VW Group of America executive vice president Dr. Matthias Erb says the new center “could have its own vehicle test track and crash facility.”

Erb adds the Chattanooga center will also be the hub of coordination for all of the automaker’s R&D, design and engineering units in the U.S. and Mexico — currently handled in Michigan and Ohio — as well as help Volkswagen better serve consumers’ needs and bring new products to market sooner for the North American market.

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Beshear To Transplants: Kentucky Is Not Tennessee http://www.thetruthaboutcars.com/2015/02/beshear-transplants-kentucky-not-tennessee/ http://www.thetruthaboutcars.com/2015/02/beshear-transplants-kentucky-not-tennessee/#comments Mon, 23 Feb 2015 15:00:17 +0000 http://www.thetruthaboutcars.com/?p=1006426 Unlike his Republican counterparts down south, Kentucky governor Steve Beshear says his state is not like Tennessee as far as attracting transplants go. Associated Press reports those remarks were first made during a recent recruiting trip to Germany and Sweden, the latter’s Volvo considering a factory in the Bluegrass State. Beshear reaffirmed his stance upon […]

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Kentucky Governor Steve Beshear at Churchill Downs

Unlike his Republican counterparts down south, Kentucky governor Steve Beshear says his state is not like Tennessee as far as attracting transplants go.

Associated Press reports those remarks were first made during a recent recruiting trip to Germany and Sweden, the latter’s Volvo considering a factory in the Bluegrass State. Beshear reaffirmed his stance upon returning home:

I’m not trying to tell Tennessee or any other state how to handle their economic development efforts. I can just say that in Kentucky we would welcome either type of situation, either companies with unions or without them. We have an open-door policy and welcome companies no matter what their desires may be in terms of labor-management relationships. We don’t try to dictate what that relationship should be. We think that’s up to the company and to the employees.

The comments come after Tennessee Governor Bill Haslam and his administration, as well as U.S. Sen. Bob Corker, did their best to persuade Volkswagen to reject the UAW’s offer to represent the transplant’s workforce in Chattanooga, including a $300-million incentive package that would be paid if labor talks were “concluded to the satisfaction” of the state’s interests.

Beshear adds that Kentucky can best attract economic development — whether from the auto or other industries — by not getting the middle of the labor negotiation process, noting that said lack of interference is “a positive sales point” for the state.

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UAW Proposing Works Council At VW Tennessee Plant ‘Soon’ http://www.thetruthaboutcars.com/2014/12/uaw-proposing-works-council-vw-tennessee-plant-soon/ http://www.thetruthaboutcars.com/2014/12/uaw-proposing-works-council-vw-tennessee-plant-soon/#comments Wed, 10 Dec 2014 12:00:38 +0000 http://www.thetruthaboutcars.com/?p=957865 Now that the United Auto Workers have won full access to Volkswagen’s Chattanooga, Tenn. factory under VW’s community engagement policy, what will it do with its newfound power? Propose a works council, of course. Automotive News reports the UAW would make the proposal “soon,” with an initiative planned to train those at its Local 42 […]

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Now that the United Auto Workers have won full access to Volkswagen’s Chattanooga, Tenn. factory under VW’s community engagement policy, what will it do with its newfound power? Propose a works council, of course.

Automotive News reports the UAW would make the proposal “soon,” with an initiative planned to train those at its Local 42 “on Volkswagen’s unique style of labor-management relations… creating something new and doing it in a collaborative relationship with the global group works council,” per regional director Ray Curry.

Further down the road, secretary-treasurer Gary Casteel said the union would make its ultimate push toward representation of the 1,500 employees at the facility, though the policy prohibits collective bargaining by recognized groups on behalf of said employees.

As to how the UAW would accomplish this, Casteel — who didn’t say how many employees were members of Local 42 — said the union didn’t have a clear idea, but ruled out another election — like the one it lost earlier in 2014 — or conducting a card check.

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UAW Local Wins Full Access To VW Chattanooga Factory http://www.thetruthaboutcars.com/2014/12/uaw-local-wins-full-access-vw-chattanooga-factory/ http://www.thetruthaboutcars.com/2014/12/uaw-local-wins-full-access-vw-chattanooga-factory/#comments Mon, 08 Dec 2014 23:30:29 +0000 http://www.thetruthaboutcars.com/?p=957098 It’s official: The United Auto Workers have won the right to hold meetings at Volkswagen AG’s Chattanooga, Tenn. facility, further paving the path toward full organization. Chattanooga Times Free Press reports UAW Local 42 reached the third and highest tier of VW’s community organization engagement policy Monday, allowing the local to hold biweekly meetings with […]

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It’s official: The United Auto Workers have won the right to hold meetings at Volkswagen AG’s Chattanooga, Tenn. facility, further paving the path toward full organization.

Chattanooga Times Free Press reports UAW Local 42 reached the third and highest tier of VW’s community organization engagement policy Monday, allowing the local to hold biweekly meetings with plant officials, as well as to reserve and use on-site locations for non-work meetings with staff and employees as needed, access to the factory’s Conference Center for internal employee meetings once per month during non-work hours, and post announcements and information in designated areas.

UAW secretary-treasurer Gary Casteel said the local was ready to take advantage of its new status, beginning by establishing biweekly meetings with both HR and the Volkswagen Chattanooga Executive Committee. The third and highest tier of the policy — and the benefits entailed — is reached when an organizing body nets at least 45 percent of the factory floor’s employees.

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VW Establishes New Labor Organization Engagement Policy For Chattanooga Plant http://www.thetruthaboutcars.com/2014/11/vw-establishes-new-labor-organization-engagement-policy-chattanooga-plant/ http://www.thetruthaboutcars.com/2014/11/vw-establishes-new-labor-organization-engagement-policy-chattanooga-plant/#comments Thu, 13 Nov 2014 14:00:02 +0000 http://www.thetruthaboutcars.com/?p=944745 Without mentioning the United Auto Workers by name, Volkswagen established a new policy that would allow organized labor groups to hold meetings at its Chattanooga, Tenn. plant, as well as speak with executives. Automotive News reports the Community Organization Engagement policy cannot be used to “claim or request recognition as the exclusive collective bargaining agent […]

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Volkswagen Chattanooga

Without mentioning the United Auto Workers by name, Volkswagen established a new policy that would allow organized labor groups to hold meetings at its Chattanooga, Tenn. plant, as well as speak with executives.

Automotive News reports the Community Organization Engagement policy cannot be used to “claim or request recognition as the exclusive collective bargaining agent for any group of employees,” but does allow those groups three levels of access and dialogue with the plant’s top brass when a given group represents at least 15 percent of the employees.

The first level grants groups who represent 15 percent of the floor the right to hold a meeting once a month during non-work hours, along with monthly meetings with VW HR, and the ability to post announcements. The second level — 30 percent representation — allows groups to meet once a week, as well as invite non-employee group personnel to meet up once per month, and quarterly meetings with the Volkswagen Chattanooga Executive Committee. Finally, groups who represent 45 percent or more of the floor can reserve floor spaces “as reasonably needed,” meet with HR biweekly, and the executive committee monthly.

Eligibility for any of the tiers includes adhering to the standards set by the National Labor Relations Board, with membership rolls evaluated by a third party twice per year.

UAW treasurer Gary Casteel said his union would soon meet with VW officials to “remind them” of the commitments made between the union and the automaker earlier this year in Germany, as well as offering to help verify the roll for UAW Local 42, which claims to have more than a majority of the plant’s 3,200-plus workers.

Meanwhile, American Council of Employees interim president Sean Moss applauded the policy, proclaiming Volkswagen had “officially recognized the need for a local group that puts the needs and interests of its members ahead of outside political forces,” and ensures groups aside from the UAW have a say in how the plant will be organized.

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UAW Local Publishes Spring Hill Scab List http://www.thetruthaboutcars.com/2014/10/uaw-local-publishes-spring-hill-scab-list/ http://www.thetruthaboutcars.com/2014/10/uaw-local-publishes-spring-hill-scab-list/#comments Mon, 13 Oct 2014 10:00:19 +0000 http://www.thetruthaboutcars.com/?p=930202 Over 40 workers at the General Motors facility in Spring Hill, Tenn. recently found themselves on a list of “scab workers” published by United Auto Workers Local 1853, a list one anonymous employee says kicked-off an effort to pressure and intimidate into joining. The Washington Free Beacon reports the list notes not only the names […]

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Over 40 workers at the General Motors facility in Spring Hill, Tenn. recently found themselves on a list of “scab workers” published by United Auto Workers Local 1853, a list one anonymous employee says kicked-off an effort to pressure and intimidate into joining.

The Washington Free Beacon reports the list notes not only the names of the 40 workers employed at Spring Hill, but where on the floor each worker performed their task. The list also included the following call to arms:

The following individuals are NON-dues paying workers. They have chosen to STOP paying Union Dues and still reap the rewards of your negotiated benefits. If you work near one of these people listed please explain the importance of Solidarity and the power of collective bargaining.

Soon after, the anonymous employee said they were approached by three UAW members, two of whom were openly hostile, one going so far as to call the employee a scab to their face. The employee was a member until recently, having paid dues to the union for three decades before quitting due to the UAW’s predilection toward nepotism, and defending employees who would have otherwise been fired if the union weren’t there. Being on the list has all but guaranteed the employee won’t ever return, and has a warning for those at the Volkswagen plant in Chattanooga:

What they do behind the scenes is harass non-members, those who choose not to belong. The workers [in Chattanooga] can look forward to seeing their names on a list just like this one.

Local 1853 president Tim Stannard admitted to publishing the list, but claims it wasn’t meant to put the hammer down on non-union employees, but to “explain the importance of collective bargaining and solidarity,” adding that those who aren’t members “weakens” the union overall.

Meanwhile, National Right to Work Legal Defense Foundation attorney Glenn Taubmann countered the president’s assertion. He warns that employees working at the VW plant who go against the UAW could soon find themselves on a similar list, especially with the establishment of so-called “voluntary” locals springing up nearby and in Alabama, where the union is attempting to organize the Mercedes plant in Vance.

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New Union Goes Up Against UAW For Chattanooga VW Plant http://www.thetruthaboutcars.com/2014/08/new-union-goes-uaw-chattanooga-vw-plant/ http://www.thetruthaboutcars.com/2014/08/new-union-goes-uaw-chattanooga-vw-plant/#comments Thu, 28 Aug 2014 13:00:20 +0000 http://www.thetruthaboutcars.com/?p=902153 In response to the United Auto Workers establishing a union local in Chattanooga, Tenn., anti-UAW Volkswagen employees have begun the process of forming their own union. Reuters reports Mike Burton, who helped in the effort to defeat the UAW’s attempt to unionize the VW plant in Chattanooga earlier this year, is leading the charge for […]

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In response to the United Auto Workers establishing a union local in Chattanooga, Tenn., anti-UAW Volkswagen employees have begun the process of forming their own union.

Reuters reports Mike Burton, who helped in the effort to defeat the UAW’s attempt to unionize the VW plant in Chattanooga earlier this year, is leading the charge for what he says will be the first local of the American Council of Employees. He claims that since the UAW lost in February, VW has strengthened its ties to the union, and wants ACE to become the alternative to Local 42, the local established by ACE’s opponents last month.

Meanwhile, UAW secretary-treasurer Gary Casteel believes Burton’s counterattack doesn’t have much of a chance because of the consensus between his union and the automaker, proclaiming Local 42 has “substantially more than 700 members” from the 1,500 hourly employees who work the floor in Chattanooga. He added that it would be up to VW to recognize ACE.

Though VW has said nothing regarding ACE thus far, it has repeatedly supported the establishment of a works council at its sole U.S. factory.

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US Nissan Plant To Supply Engine For Euro-Special Infiniti Q50 http://www.thetruthaboutcars.com/2014/06/us-nissan-plant-to-supply-engine-for-euro-special-infiniti-q50/ http://www.thetruthaboutcars.com/2014/06/us-nissan-plant-to-supply-engine-for-euro-special-infiniti-q50/#comments Thu, 12 Jun 2014 11:00:33 +0000 http://www.thetruthaboutcars.com/?p=842922 In its fight against the big premium brands in Europe, Infiniti is calling upon some German-designed American firepower for its Japanese-made, Euro-market special Q50 sedan. Automotive News reports the Q50 will receive a 2-liter turbo-four from an $319 million Infinti-only line inside Nissan’s engine plant in Decherd, Tenn.; total overall production is expected to reach […]

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2014 Infiniti Q50

In its fight against the big premium brands in Europe, Infiniti is calling upon some German-designed American firepower for its Japanese-made, Euro-market special Q50 sedan.

Automotive News reports the Q50 will receive a 2-liter turbo-four from an $319 million Infinti-only line inside Nissan’s engine plant in Decherd, Tenn.; total overall production is expected to reach 250,000 annually while employing 400. The same engine will be used by Mercedes in its next-generation C-Class launching this year from the German automaker’s factory in Vance, Ala.

The plan, set to begin in late June, is part of a product-sharing agreement between parent companies Renault-Nissan and Daimler, as well as a checkbox for Infiniti’s to-do global portfolio expansion list.

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VW Pulled By Competing Incentive Offers For New SUV Assembly http://www.thetruthaboutcars.com/2014/06/vw-pulled-by-competing-incentive-offers-for-new-suv-assembly/ http://www.thetruthaboutcars.com/2014/06/vw-pulled-by-competing-incentive-offers-for-new-suv-assembly/#comments Tue, 03 Jun 2014 13:00:28 +0000 http://www.thetruthaboutcars.com/?p=836113 Though the seven-passenger SUV based upon the CrossBlue concept is ready to be built, Volkswagen is being pulled by incentive offers in the two locations fighting for the right to build the SUV: Mexico and Tennessee. Reuters reports VW would have made its decision by now as to where the new product would be assembled, […]

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Though the seven-passenger SUV based upon the CrossBlue concept is ready to be built, Volkswagen is being pulled by incentive offers in the two locations fighting for the right to build the SUV: Mexico and Tennessee.

Reuters reports VW would have made its decision by now as to where the new product would be assembled, but sources close to the issue have said the automaker will likely announce the location by the end of June at the earliest. Though Tennessee originally offered $300 million for the SUV, the state government now has to match or better what Mexico offered once the original deal was abruptly pulled off the table in January 2014 ahead of a contentious organized labor election at VW’s Chattanooga factory.

In Mexico, VW invested $700 million toward refurbishing its 50-year-old Puebla plant for production of the new Golf, which will be made alongside the Jetta and Beetle already in production by the plant’s 15,000 employees. If the nation is chosen, the new SUV would be made there or in Audi’s San Jose Chiapa, where the Q5 will be built beginning in 2016.

As for what VW knows about Tennessee’s new incentive offer, the automaker remains silent on the issue beyond confirming they are talking to state officials.

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Corker: VW SUV Production Announcement To Come Sooner Than Later http://www.thetruthaboutcars.com/2014/05/corker-vw-suv-production-announcement-to-come-sooner-than-later/ http://www.thetruthaboutcars.com/2014/05/corker-vw-suv-production-announcement-to-come-sooner-than-later/#comments Wed, 14 May 2014 12:00:47 +0000 http://www.thetruthaboutcars.com/?p=820370 Though no word yet has come down from Volkswagen on where the confirmed seven-passenger SUV for the U.S. market will be assembled, U.S. Senator Bob Corker of Tennessee says that decision would come “in the very near future.” Detroit Free Press reports the senator couldn’t put a time frame on when VW would deliver its […]

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Senator Bob Corker

Though no word yet has come down from Volkswagen on where the confirmed seven-passenger SUV for the U.S. market will be assembled, U.S. Senator Bob Corker of Tennessee says that decision would come “in the very near future.”

Detroit Free Press reports the senator couldn’t put a time frame on when VW would deliver its announcement, but did believe the automaker’s plans were “moving in the right direction,” despite Tennessee governor Bill Haslam stating no meetings were set up between his administration and VW since the end of the tumultuous fight over the Chattanooga plant between the United Auto Workers and anti-union opposition earlier in the year.

In response, Corker proclaimed:

I think if you had that conversation with the governor today he’d give you a different response. Again, the election was just certified within the last few weeks and you know things are moving in the direction that we thought they would.

He further stated that while the plant may not be the clear winner it once may have been, he had no indication that anything else has changed.

The Haslam administration offered a $300 million subsidy to VW if it chose to build its CrossBlue Concept-based full-size SUV in Tennessee, only to withdraw the offer in January 2014 ahead of the contentious organization election at the Chattanooga facility.

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Volkswagen May Announce Location Of New SUV Production Next Week http://www.thetruthaboutcars.com/2014/05/volkswagen-may-announce-location-of-new-suv-production-next-week/ http://www.thetruthaboutcars.com/2014/05/volkswagen-may-announce-location-of-new-suv-production-next-week/#comments Fri, 09 May 2014 13:00:12 +0000 http://www.thetruthaboutcars.com/?p=818522 Volkswagen appears ready to announce where its upcoming mid-size SUV — based upon the CrossBlue concept from the 2013 Detroit Auto Show — will be assembled. Automotive News reports the decision could come as soon as next week at the earliest, though execs either don’t know or cannot say for sure, citing the automaker’s board’s […]

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Volkswagen CrossBlue Concept SUV

Volkswagen appears ready to announce where its upcoming mid-size SUV — based upon the CrossBlue concept from the 2013 Detroit Auto Show — will be assembled.

Automotive News reports the decision could come as soon as next week at the earliest, though execs either don’t know or cannot say for sure, citing the automaker’s board’s tendency to keep things close to its Teutonic heart. Two locations up for nomination include Mexico and the beleaguered-by-politics plant in Chattanooga, Tenn. Either way, the new SUV will be produced and sold for the U.S. and Canadian markets.

The only roadblock for production in the U.S. is whether or not a $300 million packaged offered by the Tennessee Department of Economic and Community Development — pulled off the table in January of this year ahead of a then-impending United Auto Workers election at the Chattanooga facility — will actually be offered. Department PR chief Clint Brewer stated in an email that his department has attempted to contact VW, but nothing more has come of it thus far.

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VW, UAW Consider Options Surrounding Chattanooga Plant http://www.thetruthaboutcars.com/2014/04/vw-uaw-consider-options-surrounding-chattanooga-plant/ http://www.thetruthaboutcars.com/2014/04/vw-uaw-consider-options-surrounding-chattanooga-plant/#comments Mon, 28 Apr 2014 12:30:33 +0000 http://www.thetruthaboutcars.com/?p=811490 After backing out from its appeal over results of the February 2014 organization election at Volkswagen’s Chattanooga, Tenn. plant, the United Auto Workers is considering options to organize the plant, just as Volkswagen itself is considering several options outside of Tennessee for its new SUV. The Detroit News reports VW attorney Alex Leath sent an […]

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After backing out from its appeal over results of the February 2014 organization election at Volkswagen’s Chattanooga, Tenn. plant, the United Auto Workers is considering options to organize the plant, just as Volkswagen itself is considering several options outside of Tennessee for its new SUV.

The Detroit News reports VW attorney Alex Leath sent an email in late January 2014 to Tennessee’s Department of Economic and Community Development during negotiations over incentives to build the SUV in Tennessee that, while there were “non-deal” issues delaying “the TN solution,” the automaker had been successful in “reaching agreement on terms” at a number of unidentified locations. Leath also had been drafting a memorandum of understanding which included proposed incentive figures from several months prior. Amid opposition toward the UAW establishing a presence in the plant by Republican politicians and affiliated outside parties, and in response to the memorandum, the agency withdrew the $300 million in incentives it planned to offer VW in exchange for for the seven-passenger SUV.

Moving ahead to this week, UAW president Bob King stated the biggest factor in backing down on its appeal before the National Labor Relations Board was to help VW and the workers in Chattanooga land the deal for the SUV. In the meantime, the union is considering options to bring organized labor to the plant, including a private vote to be held sometime this year. King added that the UAW still had representatives working with the workers on the floor in Chattanooga, vowing the union would continue to push for representation.

As for the deal that had been cast aside, Tennessee governor Bill Haslam hopes to quickly reestablish talks between the state and VW for the SUV, though Mexico has made an offer to bring the product into one of its factories.

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Volkswagen Leaves Door Open For “Co-Determination” In Chattanooga http://www.thetruthaboutcars.com/2014/04/volkswagen-leaves-door-open-for-co-determination-in-chattanooga/ http://www.thetruthaboutcars.com/2014/04/volkswagen-leaves-door-open-for-co-determination-in-chattanooga/#comments Fri, 25 Apr 2014 13:00:57 +0000 http://www.thetruthaboutcars.com/?p=809754 Though the United Auto Workers recently backed down from challenging the results of the February 2014 organization election held at Volkwagen’s Chattanooga, Tenn. plant before the National Labor Relations Board, Volkswagen has opted to leave the door open for representation via a variation of the works council model used elsewhere. Just-Auto reports the automaker welcomed […]

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Though the United Auto Workers recently backed down from challenging the results of the February 2014 organization election held at Volkwagen’s Chattanooga, Tenn. plant before the National Labor Relations Board, Volkswagen has opted to leave the door open for representation via a variation of the works council model used elsewhere.

Just-Auto reports the automaker welcomed the UAW’s withdrawal from the fight, proclaiming that it could now move forward with its tasks of building cars in Chattanooga, securing jobs in Tennessee, and establishing a new form of what it calls “co-determination” within the United States:

Volkswagen Chattanooga is seeking to establish good opportunities for consultation and representation for all its employees, opportunities that are normal practice for the Volkswagen team all over the world – that applies for those employees who voted against the UAW – just as it applies for those who voted in favour.

As for the UAW, outgoing president Bob King said the union was finally ready to “put the tainted election” behind it, while Senator Bob Corker proclaimed the challenge to the results and subsequent withdrawal as “nothing more than a sideshow to draw away from their stinging loss in Chattanooga.”

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UAW Ends Fight For Organization Of Tennessee VW Plant http://www.thetruthaboutcars.com/2014/04/uaw-ends-fight-for-organization-of-tennessee-vw-plant/ http://www.thetruthaboutcars.com/2014/04/uaw-ends-fight-for-organization-of-tennessee-vw-plant/#comments Mon, 21 Apr 2014 20:30:02 +0000 http://www.thetruthaboutcars.com/?p=806762 The Huffington Post reports the United Auto Workers has withdrawn its petition with the National Labor Resources Board challenging the results of the February 2014 election regarding organization of the workforce at Volkswagen’s plant in Chattanooga, Tenn. UAW President Bob King said the decision to withdraw was made “in the best interests” of all parties […]

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The Huffington Post reports the United Auto Workers has withdrawn its petition with the National Labor Resources Board challenging the results of the February 2014 election regarding organization of the workforce at Volkswagen’s plant in Chattanooga, Tenn.

UAW President Bob King said the decision to withdraw was made “in the best interests” of all parties involved, citing the “historically dysfunctional and complex process” such a challenge before the NLRB would entail. King added that resistance met by both Tennessee governor Bill Haslam and U.S. Senator Bob Corker regarding the union’s effort to subpoena the politicians also factored into the decision to stand down:

The UAW is ready to put February’s tainted election in the rearview mirror and instead focus on advocating for new jobs and economic investment in Chattanooga.

Though the challenge — which would have led to a new election at the factory had it been successful — has been withdrawn, King said the challenge did shed light on the election by “inform[ing] the public about the unprecedented interference by anti-labor politicians and third parties,” such as the number of documents gathered by Nashville, Tenn. CBS affiliate WTVF-TV linking Gov. Haslam’s administration to incentives made to VW for a new factory on the alleged stipulation that the Chattanooga plant remaining unorganized.

Had the UAW stood firm with their petition, the first hearing would have been held Monday.

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UAW Subpoenas Haslam, Corker To Appear At VW NLRB Appeal Hearing http://www.thetruthaboutcars.com/2014/04/uaw-subpoenas-haslam-corker-to-appear-at-vw-nlrb-appeal-hearing/ http://www.thetruthaboutcars.com/2014/04/uaw-subpoenas-haslam-corker-to-appear-at-vw-nlrb-appeal-hearing/#comments Fri, 11 Apr 2014 09:30:50 +0000 http://www.thetruthaboutcars.com/?p=793666 Tennessee governor Bill Haslam and U.S. Sen. Bob Corker are just two of the 20 prominent Tennessee witnesses subpoenaed by the United Auto Workers to appear at the union’s hearing before the National Labor Resource Board later this month, where the UAW will appeal the results of the organizing election held at the Volkswagen plant […]

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Tennessee governor Bill Haslam and U.S. Sen. Bob Corker are just two of the 20 prominent Tennessee witnesses subpoenaed by the United Auto Workers to appear at the union’s hearing before the National Labor Resource Board later this month, where the UAW will appeal the results of the organizing election held at the Volkswagen plant in Chattanooga back in February of this year.

The Detroit News reports the 20 witnesses subpoenaed are ordered to bring emails and documents related to a state government incentive made to VW in the aim of bringing production of a planned midsize SUV to Tennessee. Outgoing UAW president Bob King defended his union’s decision:

The purpose of the NLRB’s investigation is to determine the truth concerning the third-party interference in the February election at Volkswagen’s Chattanooga plant. The NLRB’s rules call for the use of subpoenas as part of this truth-seeking exercise. The UAW hopes that all parties who receive subpoenas will fully comply by providing the NLRB with the requested documents and with their testimony.

The action comes on the heels of an exposé conducted by Nashville CBS affiliate WTVF-TV regarding documents linking the Haslam administration to an incentive proposal made to the German automaker on the alleged condition the plant in Chattanooga remain unorganized; the proposal was withdrawn in January ahead of the election.

Among the others subpoenaed by the UAW include Tennessee house speaker Beth Harwell, economic development commissioner Bill Hagerty, and anti-tax activist Grover Norquist.

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Leaked Documents Link Anti-Union VW Incentive Offer To TN Governor’s Office http://www.thetruthaboutcars.com/2014/04/leaked-documents-link-anti-union-vw-incentive-offer-to-tn-governors-office/ http://www.thetruthaboutcars.com/2014/04/leaked-documents-link-anti-union-vw-incentive-offer-to-tn-governors-office/#comments Wed, 02 Apr 2014 14:15:09 +0000 http://www.thetruthaboutcars.com/?p=786417 Leaked documents linked to the United Auto Workers battle for the Volkswagen plant in Chattanooga, Tenn. point to a connection between Governor Bill Haslam and the German automaker regarding a $300 million incentive in exchange for over 1,300 jobs at a proposed SUV plant within the state. WTVF-TV reports the incentives were contingent “to works […]

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Leaked documents linked to the United Auto Workers battle for the Volkswagen plant in Chattanooga, Tenn. point to a connection between Governor Bill Haslam and the German automaker regarding a $300 million incentive in exchange for over 1,300 jobs at a proposed SUV plant within the state.

WTVF-TV reports the incentives were contingent “to works council discussions between the State of Tennessee and VW being concluded to the satisfaction of the State of Tennessee.” By the time Volkswagen entered into election talks with the UAW in January, however, the Haslam administration formally notified the automaker that it was withdrawing the offer, citing that it had kept the offer on the table past the 90-day window normally reserved for incentives when the incentive in question had no such expiration date.

Though Haslam has denied any such connection to the incentive — dubbed “Project Trinity” — U.S. Senator Bob Corker claimed as early as February of this year that the offering would be made should the workers at the Chattanooga plant vote against representation by the union.

As for the UAW, organizer Gary Casteel stated the following in response to whether the now-public documents were a game-changer in the union’s appeal to the National Labor Relations Board over the election results:

To me, it puts pressure on the state to do what they should have done in the first place — and that’s give the incentives with no strings attached, just like they would any other company, union or non-union.

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UAW Will Appeal NLRB Decision Giving Anti-UAW VW Workers Voice http://www.thetruthaboutcars.com/2014/03/uaw-will-appeal-nlrb-decision-giving-anti-uaw-vw-workers-voice/ http://www.thetruthaboutcars.com/2014/03/uaw-will-appeal-nlrb-decision-giving-anti-uaw-vw-workers-voice/#comments Thu, 13 Mar 2014 11:39:46 +0000 http://www.thetruthaboutcars.com/?p=770945 Angered by the decision made by the National Labor Relations Board to allow anti-UAW Volkswagen workers to defend the results of an election held last month at the VW plant in Chattanooga, Tenn. on whether or not to be represented by the United Auto Workers, the union has vowed to appeal. Reuters reports the union […]

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Angered by the decision made by the National Labor Relations Board to allow anti-UAW Volkswagen workers to defend the results of an election held last month at the VW plant in Chattanooga, Tenn. on whether or not to be represented by the United Auto Workers, the union has vowed to appeal.

Reuters reports the union believes the NLRB discarded its own precedent by allowing the workers — supported by both the National Right To Work Legal Defense Foundation and Southern Momentum, two of the outside groups that had campaigned against organization by the UAW — a formal role in the dispute, and expressed their displeasure in a statement:

It is an outrage that their allies, who refused to reveal their funding sources and who openly republished the illicit threats in the media and among the Volkswagen workforce, will now be allowed to participate in the NLRB hearing.

Though it was the regional office in Atlanta who signed-off on the decision to allow the anti-UAW workers a valid voice in the dispute, the UAW plans to appeal directly to the five-member NLRB board in Washington, D.C. The office is overseeing the main dispute over the election results — whose decision could lead to a new election if all is found in favor of the UAW — and is planning an investigation regarding the outside interference alleged by the union to be the main cause of their loss.

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IG Metall Warns Against Yellow Union For Chattanooga VW Plant http://www.thetruthaboutcars.com/2014/03/ig-metall-warns-against-yellow-union-for-chattanooga-vw-plant/ http://www.thetruthaboutcars.com/2014/03/ig-metall-warns-against-yellow-union-for-chattanooga-vw-plant/#comments Thu, 06 Mar 2014 13:12:04 +0000 http://www.thetruthaboutcars.com/?p=766121 While Volkswagen works to find a way to establish a works council at their Chattanooga, Tenn. plant in the wake of the failed United Auto Workers election and subsequent appeal to the National Labor Relations Board, German union IG Metall is warning against the establishment of what it calls a “yellow” union at the plant, […]

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IG Metall

While Volkswagen works to find a way to establish a works council at their Chattanooga, Tenn. plant in the wake of the failed United Auto Workers election and subsequent appeal to the National Labor Relations Board, German union IG Metall is warning against the establishment of what it calls a “yellow” union at the plant, or one that has been established by Volkswagen.

Just-Auto reports IG Metall international department director Horst Mund, though disappointed with the outcome of the UAW election, believes the only way to a works council is through unionization, while also warning against any diluted form of representation at the plant:

From my talks and contacts with unions in the US, I can tell there is scepticism against house unions. We have seen attempts throughout the world [when] yellow unions are installed. I am not saying Volkswagen is anywhere near contemplating this – on the contrary they are definitely not.

Regarding the UAW appeal, Mund says the fight “was never fair,” citing the outside interference alleged by the union in their appeal as the cause of their defeat, and supports the union’s appeal. He also found the entire controversy around the election absurd, especially with its “life [and] death” tone:

This is not about life and death. It is about simple choice.

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Volkswagen Mum On Alleged Expansion Of U.S. Plant http://www.thetruthaboutcars.com/2014/03/volkswagen-mum-on-alleged-expansion-of-u-s-plant/ http://www.thetruthaboutcars.com/2014/03/volkswagen-mum-on-alleged-expansion-of-u-s-plant/#comments Mon, 03 Mar 2014 15:30:20 +0000 http://www.thetruthaboutcars.com/?p=760105 Though United States Senator Bob Corker of Tennessee claimed Volkswagen would announce an expansion of the plant in his native Chattanooga — slated to build a midsize SUV based on the CrossBlue Concept from this year’s Detroit Auto Show — if the workers rejected the United Auto Workers in last month’s attempt to organise the […]

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Though United States Senator Bob Corker of Tennessee claimed Volkswagen would announce an expansion of the plant in his native Chattanooga — slated to build a midsize SUV based on the CrossBlue Concept from this year’s Detroit Auto Show — if the workers rejected the United Auto Workers in last month’s attempt to organise the plant, the German automaker has remained silent as of this weekend.

The Detroit Free Press reports Corker believes the delay is the result of an appeal made by the UAW to the National Labor Relations Board, citing the senator’s comments and those of outside anti-union interests as the chief causes in the election’s failure. He also dismissed the idea VW would decide to build the new SUV in either Tennessee or Mexico no matter the election’s outcome:

There is no way I’d put out a statement like I put out unless I was 1,000% that it was accurate in every way.

Meanwhile, VW is moving forward with a plan to install a works council in the Tennessee plant, though where the automaker may build its next U.S. plant depends on the success of the campaign. VW Global Works Council head Bernd Osterloh warned that the “massive antiunion atmosphere” surrounding Chattanooga could prompt the company to take their ball out of the South should future expansion be considered.

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Corker: Labor Board Should Not Silence Lawmakers http://www.thetruthaboutcars.com/2014/02/corker-labor-board-should-not-silence-lawmakers/ http://www.thetruthaboutcars.com/2014/02/corker-labor-board-should-not-silence-lawmakers/#comments Fri, 28 Feb 2014 15:45:17 +0000 http://www.thetruthaboutcars.com/?p=757161 Former Chattanooga, Tenn. mayor and current United States Senator Bob Corker urged the National Labor Relations Board not to silence him or fellow lawmakers opposed to unionization as the NLRB considers an appeal by the United Auto Workers over the results of the three-day election recently held at Volkswagen’s plant in Chattanooga. Reuters reports Sen. […]

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Senator Bob Corker

Former Chattanooga, Tenn. mayor and current United States Senator Bob Corker urged the National Labor Relations Board not to silence him or fellow lawmakers opposed to unionization as the NLRB considers an appeal by the United Auto Workers over the results of the three-day election recently held at Volkswagen’s plant in Chattanooga.

Reuters reports Sen. Corker issued a statement during the election, where conversations led him to believe that if the workers rejected UAW representation, then VW would build a new midsize SUV in his state. He adds that when Democrat politicians voiced support for unions in the past, the NLRB ruled they properly expressed their free speech rights, a ruling Corker hopes will run for the opposition, as well:

I hope that the NLRB will understand and realize the magnitude of what they are going to be deciding and in no way will try to muzzle public officials who are community leaders from expressing their point of view.

Corker said he spoke out against the UAW in order to counteract misinformation about the SUV’s arrival being tied to the plant’s unionization, an allegation the union denies making while consistently stating the vote would not affect where the SUV would ultimately be produced.

Though mum on where his information regarding the rejection originated, Corker stood firm on his criticism of the UAW and its main reason for showing up in his state in the first place:

I think it was very apparent the UAW was in Chattanooga for one reason – dollars.

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VW Chattanooga Workers File Against UAW Recount http://www.thetruthaboutcars.com/2014/02/vw-chattanooga-workers-file-against-uaw-recount/ http://www.thetruthaboutcars.com/2014/02/vw-chattanooga-workers-file-against-uaw-recount/#comments Wed, 26 Feb 2014 21:52:46 +0000 http://www.thetruthaboutcars.com/?p=755345 Five workers at Volkswagen’s Chattanooga, Tenn. plant have filed a petition with the National Labor Relations Board against the United Auto Workers’ challenge to invalidate the outcome from this month’s three-day election, which saw the union fail to win the right to represent the plant’s workers in a close fight. Automotive News reports the quintet […]

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Five workers at Volkswagen’s Chattanooga, Tenn. plant have filed a petition with the National Labor Relations Board against the United Auto Workers’ challenge to invalidate the outcome from this month’s three-day election, which saw the union fail to win the right to represent the plant’s workers in a close fight.

Automotive News reports the quintet are aided by attorneys for anti-union organization National Right to Work Foundation, who believe if the NRLB doesn’t hear the workers, then no one might be able to resist the UAW, a belief NRWF President Mark Mix further explained in a statement regarding the petition:

Based on Volkswagen management’s actions leading up to this point, these workers are concerned that VW will not actively defend their vote to remain free from union boss control. That’s why these workers have filed a motion to intervene.

Meanwhile, the UAW’s argument for their filing is based upon alleged interference from anti-union forces, such as United States Senator Bob Corker, who said if workers voted against the union, the plant would find new funding to expand around a new midsize SUV set to be built in 2016. If allowed to stand, however, the results would be a major setback for the union in their battle to organize the South’s automotive industry.

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VW Labor Leaders Fight To Establish U.S. Works Council http://www.thetruthaboutcars.com/2014/02/vw-labor-leaders-fight-to-establish-u-s-works-council/ http://www.thetruthaboutcars.com/2014/02/vw-labor-leaders-fight-to-establish-u-s-works-council/#comments Tue, 25 Feb 2014 15:30:05 +0000 http://www.thetruthaboutcars.com/?p=753737 While the United Auto Workers take their battle to bring their brand of organization to Volkswagen’s plant in Chattanooga, Tenn. before the National Labor Relations Board, VW’s labor leaders are regrouping in their fight to establish a works council in the U.S. plant. Automotive News reports two top officials from VW’s global works council, secretary […]

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While the United Auto Workers take their battle to bring their brand of organization to Volkswagen’s plant in Chattanooga, Tenn. before the National Labor Relations Board, VW’s labor leaders are regrouping in their fight to establish a works council in the U.S. plant.

Automotive News reports two top officials from VW’s global works council, secretary generals Gunnar Kilian and Frank Patta, are in the United States for the next two weeks consulting with labor law experts as to what steps will need to be taken to establish a works council at the automaker’s Tennessee plant, an idea popular with a number of the plant’s workforce, especially those who voted to keep the UAW out of their floor during the three-day election held two weeks ago.

Meanwhile, UAW supporters believe a U.S. works council would need the legal force of a union contract for a council to work at all. A few options would include talking with a different union, moving forward without a union, or — as both U.S. Senator and former mayor of Chattanooga Bob Corker and American University professor Steve Silvia have suggested — establishing their own union.

Whatever the decision, future expansion into the U.S. market depends on a positive outcome; VW works council chairman Bernd Osterloh told German newspaper Sueddeutsche Zeitung that labor leadership would “hardly be able to vote in favor” of expansion by VW executives so long as Chattanooga remains unorganized.

Finally, the UAW has also vowed to fight for organization of the plant, filing a 58-page brief with the NLRB last weekend citing outside interference as reasoning for holding a new election. Dennis Williams, possible successor to the presidency of the UAW when outgoing president Bob King steps down in June, may have to wait a year before attempting to organize the plant again, but he doesn’t mind:

We’re not leaving Chattanooga. It took seven years to organize Ford, and I will be around for at least another five.

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UAW, VW Works Council Regrouping Under Voting Fallout http://www.thetruthaboutcars.com/2014/02/uaw-vw-works-council-regrouping-under-voting-fallout/ http://www.thetruthaboutcars.com/2014/02/uaw-vw-works-council-regrouping-under-voting-fallout/#comments Mon, 17 Feb 2014 11:00:09 +0000 http://www.thetruthaboutcars.com/?p=742985 Following the 712 – 629 decision against representation by the United Auto Workers at the Volkswagen plant in Chattanooga, Tenn., the union may be forced to throw in the towel on foreign-owned auto factories as the automaker’s works council vow to press forward with plans to establish their brand of representation in the plant. Bloomberg […]

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Following the 712 – 629 decision against representation by the United Auto Workers at the Volkswagen plant in Chattanooga, Tenn., the union may be forced to throw in the towel on foreign-owned auto factories as the automaker’s works council vow to press forward with plans to establish their brand of representation in the plant.

Bloomberg and Reuters report that though the UAW may have been thwarted in their recent organizing efforts at the plant by third-party organizations and local and state politicians opposed to the union, Volkswagen’s works council remains undeterred, according to council secretary general Gunnar Kilian in a statement:

We have always stressed that the decision over union representation lies in the hands of the workers in Chattanooga. The result of the election has not changed our goal of creating a works council in Chattanooga.

Kilian and VW Global Works Council Secretary General Frank Patta are expected to travel to the United States in the next two weeks to meet and consult with labor law experts to determine the next steps needed to bring a works council to the U.S. plant.

Meanwhile, the UAW remains optimistic in the face of the Chattanooga vote for the time being, with support from AFL-CIO President Richard Trumka:

The closeness of the results and the courage and tenacity of union supporters prove that this election is a minor setback, and not a permanent defeat. The ferocity of the anti-union forces only reinforces the fact that there is a powerful new form of organizing emerging.

The union faced opposition by anti-union groups, including one with ties to anti-tax advocate Grover Norquist, and Tennessee Republican political leaders such as Governor Bill Haslam and former Chattanooga mayor and current U.S. Senator Bob Corker.

In the long-term, and with membership hovering around 400,000 after falling 75 percent from a peak of 1.5 million in 1979, the UAW may be forced to extend its hand to workers outside of the automotive industry, such as motel maids and university assistants, while walking away from the effort to represent transplant factory workers.

Clark University labor law professor Gary Chaison noted that representation at the VW plant would have bolstered efforts to unionize other Southern plants, such as Daimler AG’s MBUSI plant in Vance, Ala. However, the roadmap may need to be redrawn:

This is a time for soul-searching at the UAW and within the American labor movement. This was the ideal situation and they know that. They might just give up on transplants.

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