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UPDATE 3-UAW's King hopes for early auto talks settlement

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Wed Aug 17, 2011 4:39pm EDT

 

* Broad framework for agreement appears set

 

* UAW asking for slight 2nd-tier pay raise, profit-sharing

 

* UAW seeks cost-of-living allowance for Ford workers

 

* UAW Ford workers to vote on strike authorization (Adds labor cost issue)

 

By Bernie Woodall

 

DETROIT, Aug 17 (Reuters) - United Auto Workers President Bob King told union officials in a closed-door meeting he hopes to wrap up contract negotiations with Detroit automakers by mid-September, a person who attended the session said.

 

The comments by King on Tuesday represent the clearest signal yet the UAW is moving on a fast track in talks with the three Detroit automakers and could have a deal with each by Sept. 14 when the current contracts expire.

 

A quick contract settlement would be positive for Ford, General Motors Co (GM.N) and Chrysler Group LLC at a time when the Detroit automakers are looking to contain costs in the face of uncertain consumer demand.

 

King made the comments in a meeting at a hotel in Chicago with union leaders representing all of Ford Motor Co's (F.N) U.S. plants, a union official who attended the meeting and asked not to be named told Reuters.

 

Joel Cutcher-Gershenfeld, dean of the School of Labor and Employment Relations at the University of Illinois, said the UAW leadership had been sending signals that it expects contract deals more quickly than in previous rounds.

 

"Interests are more aligned now than they have been for a while," said Cutcher-Gershenfeld. "This time around, the issues that Bob King has signaled are an accurate signal of where these negotiations will go."

 

The last contract talks were held in 2007 but the union remained in almost constant discussions with automakers through the near collapse of the industry in 2008 and 2009.

 

King, who became UAW president in the summer of 2010, has said daily dialogue between union leaders and labor representatives at GM, Ford and Chrysler is part of a less adversarial relationship than in the past.

 

At Tuesday's meeting, UAW officials representing Ford plants authorized strike votes to be completed by Sept. 2, said Jimmy Settles, UAW vice president in charge of Ford negotiations.

 

"We will be taking routine strike authorization votes through September 2," said Settles. "This is a normal part of negotiations and something we have done historically as part of bargaining."

 

Settles declined to comment on other issues discussed in Chicago.

 

Ford is the only automaker the UAW could strike in the current round of contract talks. The terms of the 2009 U.S. government bailouts of GM and Chrysler Group LLC prohibit strikes. Chrysler has been managed by Italy's Fiat SpA (FIA.MI) since it emerged from bankruptcy in 2009.

 

PROFIT-SHARING, NOT WAGE RISE

 

King said at Tuesday's meeting that, instead of seeking wage increases for all 112,000 UAW-represented workers at the three automakers, negotiators would ask for profit-sharing from the companies, according to the person present.

 

"Bob King said that (union negotiators) want some upfront money (for workers), and it was clear that they are not going to bargain for any pay raises," said the person.

 

Each of the companies have signaled they like profit-sharing instead of wage increases because they are one-time costs that do not compound and accrue over time.

 

But King told the group negotiators will seek a "slight pay increase for second-tier workers," the person said.

 

Second-tier worker, also known as entry-level workers, are paid about $14.50 per hour to start, about half the pay of veteran UAW-represented auto workers.

 

King said negotiators will also seek a cost-of-living allowance from Ford, but was not specific, the person added.

 

Over the past five years, the UAW has agreed to a series of concessions that have brought labor costs for the U.S. automakers closer to those of foreign automakers with U.S. plants such as Toyota Motor Corp (7203.T), Nissan Motor Co (7201.T) and Honda Motor Co (7267.T).

 

Hourly wages and benefits for UAW-represented workers at the U.S. automakers have fallen to within several dollars of Japanese automakers with U.S. plants, down from a gap of $25 or so in 2007, company executives have said.

 

The automakers want to pare health care costs in order to narrow the labor cost gap even further, executives with the companies have said

 

 

http://www.reuters.com/article/2011/08/17/uaw-idusn1e77g0fr20110817?RPC=49

 

 

 

 

 

 

Is King Bargaining in our best interest or his. We have the power to vote no!

Edited by gary112
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UPDATE 3-UAW's King hopes for early auto talks settlement

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Related NewsDemocrats hold seats in Wisconsin recall elections

Wed, Aug 17 2011

Italy delivers tough austerity measures

Fri, Aug 12 2011

Tripoli says NATO strike kills dozens of civilians

Wed, Aug 10 2011

Republican senators face recall vote in Wisconsin

Tue, Aug 9 2011

Verizon strike tensions heighten on Day 2

Mon, Aug 8 2011Analysis & OpinionObama vs. Perry on jobs

Self-employed? How to find disability insurance

Related TopicsStocks »

Markets »

Cyclical Consumer Goods »

Wed Aug 17, 2011 4:39pm EDT

 

* Broad framework for agreement appears set

 

* UAW asking for slight 2nd-tier pay raise, profit-sharing

 

* UAW seeks cost-of-living allowance for Ford workers

 

* UAW Ford workers to vote on strike authorization (Adds labor cost issue)

 

By Bernie Woodall

 

DETROIT, Aug 17 (Reuters) - United Auto Workers President Bob King told union officials in a closed-door meeting he hopes to wrap up contract negotiations with Detroit automakers by mid-September, a person who attended the session said.

 

The comments by King on Tuesday represent the clearest signal yet the UAW is moving on a fast track in talks with the three Detroit automakers and could have a deal with each by Sept. 14 when the current contracts expire.

 

A quick contract settlement would be positive for Ford, General Motors Co (GM.N) and Chrysler Group LLC at a time when the Detroit automakers are looking to contain costs in the face of uncertain consumer demand.

 

King made the comments in a meeting at a hotel in Chicago with union leaders representing all of Ford Motor Co's (F.N) U.S. plants, a union official who attended the meeting and asked not to be named told Reuters.

 

Joel Cutcher-Gershenfeld, dean of the School of Labor and Employment Relations at the University of Illinois, said the UAW leadership had been sending signals that it expects contract deals more quickly than in previous rounds.

 

"Interests are more aligned now than they have been for a while," said Cutcher-Gershenfeld. "This time around, the issues that Bob King has signaled are an accurate signal of where these negotiations will go."

 

The last contract talks were held in 2007 but the union remained in almost constant discussions with automakers through the near collapse of the industry in 2008 and 2009.

 

King, who became UAW president in the summer of 2010, has said daily dialogue between union leaders and labor representatives at GM, Ford and Chrysler is part of a less adversarial relationship than in the past.

 

At Tuesday's meeting, UAW officials representing Ford plants authorized strike votes to be completed by Sept. 2, said Jimmy Settles, UAW vice president in charge of Ford negotiations.

 

"We will be taking routine strike authorization votes through September 2," said Settles. "This is a normal part of negotiations and something we have done historically as part of bargaining."

 

Settles declined to comment on other issues discussed in Chicago.

 

Ford is the only automaker the UAW could strike in the current round of contract talks. The terms of the 2009 U.S. government bailouts of GM and Chrysler Group LLC prohibit strikes. Chrysler has been managed by Italy's Fiat SpA (FIA.MI) since it emerged from bankruptcy in 2009.

 

PROFIT-SHARING, NOT WAGE RISE

 

King said at Tuesday's meeting that, instead of seeking wage increases for all 112,000 UAW-represented workers at the three automakers, negotiators would ask for profit-sharing from the companies, according to the person present.

 

"Bob King said that (union negotiators) want some upfront money (for workers), and it was clear that they are not going to bargain for any pay raises," said the person.

 

Each of the companies have signaled they like profit-sharing instead of wage increases because they are one-time costs that do not compound and accrue over time.

 

But King told the group negotiators will seek a "slight pay increase for second-tier workers," the person said.

 

Second-tier worker, also known as entry-level workers, are paid about $14.50 per hour to start, about half the pay of veteran UAW-represented auto workers.

 

King said negotiators will also seek a cost-of-living allowance from Ford, but was not specific, the person added.

 

Over the past five years, the UAW has agreed to a series of concessions that have brought labor costs for the U.S. automakers closer to those of foreign automakers with U.S. plants such as Toyota Motor Corp (7203.T), Nissan Motor Co (7201.T) and Honda Motor Co (7267.T).

 

Hourly wages and benefits for UAW-represented workers at the U.S. automakers have fallen to within several dollars of Japanese automakers with U.S. plants, down from a gap of $25 or so in 2007, company executives have said.

 

The automakers want to pare health care costs in order to narrow the labor cost gap even further, executives with the companies have said

 

 

http://www.reuters.com/article/2011/08/17/uaw-idusn1e77g0fr20110817?RPC=49

 

 

 

 

 

 

Is King Bargaining in our best interest or his. We have the power to vote no!

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COLA is a step in the right direction....but will it be as it used to be where it's rolled into the base wage at each contract...or left on it's own so that it can be taken away? That is a good starting point for me....because atleast we don't lose ground to inflation.

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Do you think i'm a conservative giving more money to the upper wage earners??? :ohsnap:

 

 

 

Republicans want all of us to join the fight for padding the elite coffers.

 

Read my signature line and you will understand Reuther's message

 

The Republican agenda is to destroy unions

 

Any union member in any union is hurting our future as Unionists and our collective bargaining rights when they vote Republican.................

 

Unions were born in bad times and............... in bad times we must fight with a vengeance for our rights and support candidates that support Unions in ALL sectors

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Do you think i'm a conservative giving more money to the upper wage earners??? :ohsnap:

 

I'm a liberal. the lowest wage earners deserve the raise.

 

But in all honesty, I can live with what i have if the contract addresses a major inequality with the two-tier pay system.

 

No, just saying I'll take all I can get. You have every right to give up what is YOURS to anyone you wish. Lower tier or whom ever.

 

And I do support the idea of moving away from 2 tier. It was proposed to divide us. Not so much today, but in the not-too-far future.

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"The automakers want to pare health care costs in order to narrow the labor cost gap even further, executives with the companies have said"

 

With giving COLA back, This will most certainly eat it up...

I thought we took the Health Care over when the genius move of VEBA was installed?

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I thought we took the Health Care over when the genius move of VEBA was installed?

 

The UAW "took over" health care by creating a fund called the VEBA. The VEBA is a separate entity from the UAW and makes all UAW retiree healthcare related decisions. The UAW made the right call with the VEBA--especially with the bankruptcies of Chrysler and GM--without the VEBA they would probably have no healthcare now except for Medicare.

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I have no problem with what Bob King is trying to do. If this is the Gary, the major complainer about Entry Level and all that is the UAW--what is your problem? King is attempting to increase Entry Level wages by keeping work in our plants. What is wrong with that? Oh what is wrong is that someone like you, who can retire already and probably gets OT for not working as an elected official wants more money. Greed kills and greedy people like Gary are killing the UAW. If you listen to him, we won't have a union in 10 years. I prefer to have continued work at my plant and to help the Entry Level employees at contract time whether I get a pay raise or not. Or you can follow Gary off the cliff.

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I have no problem with what Bob King is trying to do. If this is the Gary, the major complainer about Entry Level and all that is the UAW--what is your problem? King is attempting to increase Entry Level wages by keeping work in our plants. What is wrong with that? Oh what is wrong is that someone like you, who can retire already and probably gets OT for not working as an elected official wants more money. Greed kills and greedy people like Gary are killing the UAW. If you listen to him, we won't have a union in 10 years. I prefer to have continued work at my plant and to help the Entry Level employees at contract time whether I get a pay raise or not. Or you can follow Gary off the cliff.

Well said! Greedy ass needs to retire

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I have no problem with what Bob King is trying to do. If this is the Gary, the major complainer about Entry Level and all that is the UAW--what is your problem? King is attempting to increase Entry Level wages by keeping work in our plants. What is wrong with that? Oh what is wrong is that someone like you, who can retire already and probably gets OT for not working as an elected official wants more money. Greed kills and greedy people like Gary are killing the UAW. If you listen to him, we won't have a union in 10 years. I prefer to have continued work at my plant and to help the Entry Level employees at contract time whether I get a pay raise or not. Or you can follow Gary off the cliff.

Great post....Garys ideas are so outdated

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I have no problem with what Bob King is trying to do. If this is the Gary, the major complainer about Entry Level and all that is the UAW--what is your problem? King is attempting to increase Entry Level wages by keeping work in our plants. What is wrong with that? Oh what is wrong is that someone like you, who can retire already and probably gets OT for not working as an elected official wants more money. Greed kills and greedy people like Gary are killing the UAW. If you listen to him, we won't have a union in 10 years. I prefer to have continued work at my plant and to help the Entry Level employees at contract time whether I get a pay raise or not. Or you can follow Gary off the cliff.

 

Gary does not bargain for trades (thank GOD) at DTP. We have our own bargaining unit. This guy is a terrible rep. He never makes a decision, tells people what they want to hear and never resolves a issue in Paint and Final.

 

Ever wonder why no one wants to come to DTP voluntarily??? Now you know

 

Many lower Seniority production here in the Body Shop are on to him and his lies. They realize that Garys position of getting us back to the $70 per hour rate puts low seniority in a bad position for future product and investment. Gary can just retire with his pension while everyone else is left with no job security

 

The IUAW has our best interest, not Gary

Edited by Skilled1
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The UAW "took over" health care by creating a fund called the VEBA. The VEBA is a separate entity from the UAW and makes all UAW retiree healthcare related decisions. The UAW made the right call with the VEBA--especially with the bankruptcies of Chrysler and GM--without the VEBA they would probably have no healthcare now except for Medicare.

 

 

Thank you.

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I am worried about jobs and new work. I am low in seniority and need the job. I may not agree with everything that goes on in the UAW, but I do agree that we need to bring work in the plants. I understand that the Entry Level wage was the reason my plant got work. If that is the case, I am thankful for that.

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I am worried about jobs and new work. I am low in seniority and need the job. I may not agree with everything that goes on in the UAW, but I do agree that we need to bring work in the plants. I understand that the Entry Level wage was the reason my plant got work. If that is the case, I am thankful for that.

 

The UAW is proactive and will insure a good contract to protect all 38,000 of us, walking the fine line of the highest wages paid and the new work and investments and job security in our plants

 

Entry level is not a permanent status in the eyes of the UAW. They will be uplifted contract after contract.

 

The IUAW never intended for entry level to be a permanent rate of pay. It was negotiated in exchange for job security and products invested in our plants.

 

We received a windfall of investments that protected us and the entry level would be hired knowing the wage structure before they were hired. Its called bargaining 101. We get investments-we must be competitive.

 

The entry level know the rates of pay, benefit package and a 401k member/company contribution pension and accept them when hired. These are the terms they are hired under.

 

Entry level is a good strategy that stops outsourcing and brings keeps investments in our plants. This is not new to the UAW. In the late 1980s and early 1990s John Deere and Caterpillar were sending jobs to Mexico and South America at a devastating rate. As a way to stop the huge job loses they agreed to the entry level. This entry level started at 30% of the work force and half the wages of the master wages.

 

Currently entry level at Deere and Caterpillar are at 15% and paid $25 per hour and the master wages are at $29 per hour.

 

Bob King is a strategist and has the ability to look in the future to protect all of our jobs.

 

The entry level is not new but an effective tool to get investments in our plants and uplift those entry level members contract after contract

 

Not a new strategy but an effective one. This was the IUAW strategy all along as history shows from Caterpillar and Deere.

 

Good post Johnny 99

Edited by Empire
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I mad now gary 112 whoever you are. Some union brothes told me about this place and i can't believe it. Uaw members beating on the uaw on a ford site. Low class, man, low, low, low. You weren't there helping me out on the line, but the uaw did. You didn't get me my money, but the uaw did. You didn't get me healthcare that helped when me and my family sick, but the uaw did. What did you get me again besides this pain i feel in my rear end. If you don't know the Lord, you better get to it quick because theres no place in heaven for lyers. Is you the one who puts out the flyers? I thinks so. You got a bad attitude that needs some taming.

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I mad now gary 112 whoever you are. Some union brothes told me about this place and i can't believe it. Uaw members beating on the uaw on a ford site. Low class, man, low, low, low. You weren't there helping me out on the line, but the uaw did. You didn't get me my money, but the uaw did. You didn't get me healthcare that helped when me and my family sick, but the uaw did. What did you get me again besides this pain i feel in my rear end. If you don't know the Lord, you better get to it quick because theres no place in heaven for lyers. Is you the one who puts out the flyers? I thinks so. You got a bad attitude that needs some taming.

 

Al,

They reinstated ETAP last year. please take some spellin clases

 

Respectfooly Lou

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I have no problem with what Bob King is trying to do. If this is the Gary, the major complainer about Entry Level and all that is the UAW--what is your problem? King is attempting to increase Entry Level wages by keeping work in our plants. What is wrong with that? Oh what is wrong is that someone like you, who can retire already and probably gets OT for not working as an elected official wants more money. Greed kills and greedy people like Gary are killing the UAW. If you listen to him, we won't have a union in 10 years. I prefer to have continued work at my plant and to help the Entry Level employees at contract time whether I get a pay raise or not. Or you can follow Gary off the cliff.

 

For your information, I am not who you think I am. I do not have the seniority to retire and work my ass off on the line. I also do not work in MI. I was trying to make a point. If you read the article it says King is bargaining a "slight increase in entry level wages". We have given up a lot. We have not had a wage increase since 2003. In the concessions

we did not vote to "give up" anything. We voted to suspend COLA, Sub weeks, OT after 8hrs, etc. Suspend means "To render temporarily ineffective:" It's in the dictionary. Look it up. Also, not negotiating what the members want is bad faith bargaining. You say plants received more work because of the entry level workers, maybe in your case. Where are the Fiesta, Fusion, Edge, Transit connect, made. Ford is going to do what they want no matter what you agree to. In one of the cuts that the membership voted to suspend OT after 8 hrs. You don't need a Union for OT after 40 hrs. Its federal wage law. Suspend or render temporarily ineffective was to mean to most of the members Until they are once again profitable.They proved they are. They gave Mullaly 86mil plus all of the salaried employees back everything after a few months. Your sort of right. The way the UAW is going, we won't have a union in 10 years. So those who were offended by a simple statement I made "we have the power to vote no" screw you. I didn't say vote no. Read it.

We were screwed out of 30 grand and they will screw you again. Remember the 40,000 member greivance on equity of sacrifice? I never hardly write on this sight because assholes like you. And i am sure there will be further negative remarks on my post. For those of you wanting to write one, go ahead. Consider yourself an asshole ahead of time.

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Consider yourself an asshole ahead of time.

 

Thanks for the compliment

 

Hey dumb ass, we make $28 per hour, great benefits and pension as well as great job security thanks to the UAW

 

You are voting no on an agreement you havent seen yet?

 

You seem to think $28 per hour and job security is a concession?

 

You are a fool

 

If this agreement comes to us with no concessions and a better profit formula or an additional bonus plan and plenty of investments for all of us Im in.

 

You on the other hand seem to think $28 per hour with golden benefits and job security is poverty.

 

I would like label you an asshole for infinity plus 1 you dumb ass.....................

 

oh you might want to wait to see a tentative before you start trying to preach how poorly we are paid

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Thanks for the compliment

 

Hey dumb ass, we make $28 per hour, great benefits and pension as well as great job security thanks to the UAW

 

You are voting no on an agreement you havent seen yet?

 

You seem to think $28 per hour and job security is a concession?

 

You are a fool

 

If this agreement comes to us with no concessions and a better profit formula or an additional bonus plan and plenty of investments for all of us Im in.

 

You on the other hand seem to think $28 per hour with golden benefits and job security is poverty.

 

I would like label you an asshole for infinity plus 1 you dumb ass.....................

 

oh you might want to wait to see a tentative before you start trying to preach how poorly we are paid

 

If you go back and read his post, he only said we had the "power" to vote no.

 

I have the right to vote. That, by definition, includes the right to vote no.

 

Why you going off on the man? Is your vote already a "YES"?

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