Volkswagen brand chief Herbert Diess has a target on his back, now that the union representing the automaker’s workers has made its distrust of the company public.
Labor union IG Metall slammed the company’s management in a letter published on its website, stating the company was using the diesel emissions scandal as a way of cutting staff, according to Bloomberg.
The union said it wants assurances from Volkswagen brass that layoffs aren’t coming down the pipe, and implied that Diess’ job is in danger if he doesn’t agree to protect employee positions.
In an announcement that’s been anticipated for months, Ford Motor Company said today it will build a small car plant in Mexico’s San Luis Potosi state.
Ford will spend $1.6 billion on the facility, which starts construction this summer and will employ 2,800 workers by 2020.
The automaker isn’t saying what vehicles it will produce at the plant, but it’s widely expected that the Focus will move to Mexico after production stops at its Wayne, Michigan facility in 2018. Offshoots of the platform, including a rumored hybrid, could also be produced.
The union representing workers at the Fiat 500L factory in Kragujevac, Serbia has a big job ahead of it. Workers are demanding raises, bonuses, and a steady work schedule. In its most recent newsletter, the union listed those demands once again, but instead of news of a pay negotiation the union told workers they’ve negotiated a chicken discount at a local butcher.
Samostalni Sindikat FAS has represented workers at the 500L factory since their collective bargaining agreement was signed in 2010. At the time, the union was able to negotiate fair wages and additional benefits for workers, including a 31,000 RSD ($294 USD) monthly average salary. Workers were happy as many were unemployed after Yugo production was shut down in 2008, and the wage was considered fair at the time.
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.
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.
We talk a lot about brands here at TTAC. For example, Porsche comes in for a bit of criticism for moving away from their image as a maker of purist sports cars. We’ve discussed how brands can be burnished and also be diminished. Do today’s Cadillacs live up to “the standard of the world” and is the Lincoln Motor Company a dead brand walking? Back when GM was busy melting down financially and the future of brands like Pontiac were uncertain, I even checked with a businessman who specialized in bringing back old brands, to see how he would go about reviving GM’s distressed brands. Even a badly damaged brand can be revived. Which brings me to today’s topic, is the UAW’s brand damaged and if so, how can it be fixed? (Read More…)
TTAC welcomes Jamie Kitman, of Automobile Magazine, NPR’s CarTalk and other international outlets, as he presents his analysis of what went wrong at Chattanooga, and the next steps for the labor movement’s efforts in the auto industry.
With all the clamorous back patting and joyous trills of laughter attending the defeat of the UAW’s unionization drive at Volkswagen’s plant in Chattanooga, one has that nagging sensation, increasingly common these days that the whole 20th century never happened.