#union

Hourly employees at FCA’s stamping facility in Sterling Heights and parts operation in Warren, Michigan aren’t exactly thrilled with the deal they’ve been presented.

According to The Detroit News, more than half of hourly workers at the two locations have voted “no” to the new contract.

Detroit parts and axle operations workers Wednesday voted against a four-year contract proposed by the United Auto Workers and Fiat Chrysler Automobiles, the Detroit News reported.

About 700 Local 1248 workers in Warren, Michigan, turned down the proposal and said Wednesday that the contract created a third, unfair pay tier for Mopar workers that would cap their wages at a lower rate than Tier 1 and Tier 2 workers at FCA.

Under the proposed contract, veteran Tier 1 workers could receive pay raises up to $30 an hour, and newer, Tier 2 workers’ pay could go up to $25 an hour. Parts and axle operations workers pay would top out at $22 and $22.35 per hour, respectively.

United Auto Workers members working for Fiat Chrysler Automobiles could get a $3,000 bonus to ratify its newest contract in the next few days, Bloomberg reported.

The bonus will be on top of raises for the workers, something that the UAW stressed in its negotiations with the automaker. Tier 1, veteran workers, could see pay raises to bump up hourly wages to $30 an hour. Lower-paid, newly hired Tier 2 workers could get pay raises up to $25 hourly after eight years of employment.

The newest contract with the UAW could eventually end the tiered-pay system. Roughly 45 percent of union workers at FCA were hired as Tier 2 workers.

The tentative pact between the United Auto Workers and Fiat Chrysler Automobiles reached Tuesday evening may eventually end the two-tiered pay system for thousands of workers at the automaker, Reuters reported.

FCA chief executive Sergio Marchionne said the agreement would do away with the separate system “over time.” Roughly 45 percent of FCA’s workforce was hired at the lower, Tier 2 pay, which is roughly $9 less per hour than older, Tier 1 workers.

According to the report, raises for both classifications of workers would be likely, although details weren’t discussed.

Representatives from the United Auto Workers and Fiat Chrysler Automobiles agreed Tuesday to extend their contract on an “hour-by-hour” basis, Reuters reported. Workers reported Tuesday for their morning shifts, but those workers could walk out at any time if talks stall.

On Monday, it became clear that the UAW would set its sights on FCA and their larger share of Tier 2 workers — workers hired after the recession at a lower hourly wage — as the union aims to “bridge the gap” between the two tiers.

According to the report, the union may opt to strike, stage a limited walkout or continue negotiations if talks reach an impasse.

The UAW is disseminating a message of hope on its YouTube channel, letting the members know the negotiations are going to be rosey, everyone is getting a pony, and you absolutely totally shouldn’t question their ability to negotiate better contracts.

(Also, the UAW has a YouTube channel. I guess it’s a lot cheaper than inviting members out to a golf course to let them know what’s going on.)

The video uses some incredibly strong, forceful language to let the members know that the negotiators mean business.

Automotive News is reporting that Jeep will produce a Wrangler-based pickup at its Toledo, Ohio plant and shift production of its Cherokee to another site.

The details were reported by the outlet as part of Fiat Chrysler Automobiles’ ongoing negotiations with the United Auto Workers union.

Officials from FCA didn’t comment on the report.

The head of the AFL-CIO in the United States is criticizing the current presidential administration for its pursuit of a trade zone in the Pacific that could open up Asian markets to America and vice versa, the Detroit News is reporting.

AFL-CIO President Richard Trumka wrote the administration a letter saying that a free-trade agreement with countries such as Japan jeopardizes American jobs because those countries may be able to source cheaper parts from outside the negotiated area, according to the report.

“I hope it is not the case that the Canadian and Mexican negotiators are actually holding a harder line than our own government on this issue. But due to the unaccountable lack of transparency from USTR, absolutely critical decisions are being made without our input or voice. Thousands of good American jobs and an iconic American industry are at risk, and we don’t even know what our government’s negotiating position is.”

According to Automotive News reporter Krishna Anatharaman, members of the media who aren’t driving American-branded cars won’t be able to park in the building deck of today’s UAW-GM handshake event.

Before you say, “What the Toyota Camry?” keep in mind: Most of the automakers make you park in hinterlands if you don’t drive what they like.

The newest round of negotiations between the Big Three automakers and the United Auto Workers will focus on narrowing the gap between veteran workers and “second-tier” workers hired after 2011, Reuters is reporting.

Talks between the UAW, which represents around 138,000 workers, and Ford, Fiat Chrysler Automobiles and General Motors will begin Monday. The UAW’s contract with GM ends Sept. 14.

Union President Dennis Williams said he wanted to focus on narrowing the gap between veteran workers, who make on average $28 an hour, and workers hired post-recession, who make on average $16 to $19 an hour, according to the story.

The UAW will apparently form a new local in Chattanooga, Tennessee to represent workers at Volkswagen’s assembly plant. But things will operate a little differently than in traditional union representation setups.

Friend of TTAC Michael Banovsky sent along this link to Final Offer, a documentary about the 1984 negotiations between the Canadian arm of the UAW and General Motors.

With negotiations between the UAW and the Big Three set to open next year, FCA head Sergio Marchionne has already fired the first shots, calling for an end to the two-tier wage system and a new pay structure, tied to profit-sharing.

Unifor, Canada’s largest private sector union (formerly known as the CAW), has filed to unionize Toyota plants in Canada. The Financial Post reports that more than 40 percent of Toyota’s 6,500 workers have signed union cards.