By on October 13, 2015

 

Fiat Chrysler Automobiles may double the amount of temporary workers it uses under a new deal negotiated with the United Auto Workers, Bloomberg reported (via Automotive News).

The negotiated terms include a provision for the automaker to use the workers any day of the week, instead of the previously allowed Monday, Friday and weekend shifts.

According to the report, the terms may have been negotiated as a way to keep labor costs lower and offer more workers raises. Temp workers are hired at rates lower than any of the tiered-pay scales. Temp workers can be terminated at any time by the automaker.

Last year, UAW President Dennis Williams scolded other automakers for using temp workers, saying it was a “shell game” to keep costs low, according to Bloomberg. In 2012, FCA hired up to 500 temp workers to help build the Dodge Dart.

According to the report, the new contract could allow FCA to use temp workers for as much as 8 percent of its working hours, up from 4 percent.

Temporary workers are hired at $22 an hour, but don’t receive the same benefits as full-time employees such as dental care, prescription drugs or a pension.

“This will cause some tension with the membership,” Kristin Dziczek, director of the Center for Automotive Research, told Bloomberg. “Taking on more temps is part of the compromise to get the tentative agreement and they could agree to more for a new deal. FCA has a limit on what they will spend on labor.”

Union workers at FCA plants will vote on the proposed contract next week.

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15 Comments on “Fiat Chrsyler May Double Use of Temp Workers Under New Deal...”


  • avatar
    CJinSD

    Solidarity ain’t what it used to be.

    • 0 avatar
      highdesertcat

      CJ, often, hiring Temps is a great solution, especially for back-breaking schit jobs. And when their term expires, they gone……..

      And the employer isn’t saddled with the pay and benefit issues that plague permanent union employees.

      Some people like working Term, or Contract, like at National Monuments, Universities, Colleges, or with the National Forest Service, Industrial Parks, Assembly Jobs, etc.

      Even the US military was hiring temps for a specific term to maintain and repair military equipment like Tanks, APCs, Trucks, or upgrade and refurb C-130 aircraft, pull engines, etc.

      One of the biggest contract-operations used to be the Remarketing and Redistribution Center at Davis-Monthan AFB, outside Tucson, AZ.

      Even the MCRD in SD uses Temp workers. My #2 son is a civilian contracting officer there and they employ tons of Temps.

  • avatar
    Lou_BC

    CJinSD – it does look like a sellout by the UAW. Keep the current rank and file semi-happy with their 2 Tier system and use “Temps” to keep overtime costs down.

    • 0 avatar
      Lorenzo

      The terms of this and the previously rejected contract may be revealing how shaky FCA’s finances really are, and the UAW realizes it could lose a big chunk of its membership in a worst case. The trick is to transmit that reality, if that is the reality, to the members without giving Ford and GM leverage for their negotiations. The UAW may have erred in choosing FCA for their first contract negotiation.

      • 0 avatar
        highdesertcat

        Lorenzo, agree with what you wrote but would like to add that maybe the UAW specifically chose Fiatsler for their first contract negotiation because the UAW thought that Fiatsler would be easy-pickin’s because of Fiatsler’s shaky finances.

        • 0 avatar
          Lorenzo

          Wouldn’t they do better with a healthy company that can afford to pay more? There’s a reason Robin Hood robbed the rich and not the poor.

          • 0 avatar
            highdesertcat

            Maybe the UAW predicted that Fiatsler would avert a strike at all costs because of their shaky finances.

            Ford and GM can weather a strike much better than Fiatsler can.

            And the longer a strike, the more depleted the UAW coffers become.

  • avatar
    TMA1

    No one’s more dedicated to quality than temp workers.

    • 0 avatar
      SoCalMikester

      I know youre being sarcastic, but a lot of those temps probably think they might have a shot at a regular position eventually.

      As a union member, ive found that the highest seniority ones are the ones with all the sick and personal/vacation time and arent afraid to use it. Kids are probably grown, house paid off, car paid off.

    • 0 avatar
      jhefner

      Having worked contract myself (and stretched a six month contract to 7 1/2 years by making myself as useful as possible), I know that contract workers will give their all in the hopes they will be brought on full time or at least not let go; while union workers can get by with the mininum level of effort; there is little incentive for them to do otherwise, and they may even be scolded by other union workers for making them look bad.

      • 0 avatar
        highdesertcat

        Every contract worker/day laborer/free-lancer I hired over the decades past has always busted their @ss for me in the hopes of being called-upon again for future work.

        Money talks. BS walks.

        It doesn’t take long to find out which workers are keepers and which ones are losers.

        And once the word is out about a contract worker being non-productive, they rarely work again on the best jobs.

  • avatar

    Never been a temp or contract worker myself but worked with a number of them seems to be a 50/50 split of work hard to get hired fulltime and guys that have been temps for decades because they are too flaky to hold a regular gig. I have worked for companies that love them but I don’t think I could deal with it if I was a HR director. I’m amazed at the number who will work for a week or two call out sick for a week come back for 1 day and then disappear at lunch time with out a trace.

  • avatar
    whynotaztec

    Looks like a face in the right directional

  • avatar
    CoreyDL

    So you’re telling me I should look to buy an FCA product with a VIN indicating it was made on no days of the week.

    Can do!

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