blazerdude20 Posted September 17, 2011 Share Posted September 17, 2011 (edited) posting this here since it will affect fords discussions. My link Specifics of the four-year contract, agreed upon last night at around 11:00 PM, have not been released, but in an official announcement on its website, the UAW says that the deal includes improvements in both health-care coverage and profit sharing for its 48,500 GM workers. UAW boss Bob King also said that the proposed contract will lead to the rehiring of laid-off workers, the creation of new jobs, and the repatriation of some jobs that had been moved offshore. Edited September 17, 2011 by blazerdude20 Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 17, 2011 Share Posted September 17, 2011 Interesting because the UAW commenced negotiations with Ford but then broke off after talks didn't progress to an agreement, I wonder if Ford was holding fast on basic conditions and told the UAW that they wouldn't get any better out of GM and Chrysler. It would appear that King is very guarded in his comments and the fact that the UAW has to "educate" the membership on the agreement says to me that the UAW had small increases in retirement fund and profitability based bonuses but nothing more and there's no guarantee that GM employees will agree to any of this... Ford, GM and Chrysler must surely be using new product allocation to US plants as a big bargaining chip to encourage the UAW to sign up to tight agreements, I think this is the price the UAW and its membership have to ultimately pay for building products in the US and keeping those plants viable. This is going to get interesting.... Quote Link to comment Share on other sites More sharing options...
Edstock Posted September 17, 2011 Share Posted September 17, 2011 Ford, GM and Chrysler must surely be using new product allocation to US plants as a big bargaining chip to encourage the UAW to sign up to tight agreements, I think this is the price the UAW and its membership have to ultimately pay for building products in the US and keeping those plants viable. This is going to get interesting.... Mexico . . . Brazil . . . ? Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 17, 2011 Share Posted September 17, 2011 Mexico . . . Brazil . . . ? Not sure about GM and Chrysler but with Ford, I doubt it would be to the point of threatening to move production as the UAW had VEBA money held by Ford, redirected to deliver new products to US plants. I think that gesture went a long way towards securing common ground, these talks would be more centered on increasing that foundation and improving viability. No doubt Ford is very profitable at the moment and would be loathe to give up money without getting something in return....... Quote Link to comment Share on other sites More sharing options...
RichardJensen Posted September 18, 2011 Share Posted September 18, 2011 Hmm. No COLA and no adjustment to Tier 2 wages. That means one of two things: Either the UAW was not serious about those things or they only want them from Ford. Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 18, 2011 Share Posted September 18, 2011 Hmm. No COLA and no adjustment to Tier 2 wages. That means one of two things: Either the UAW was not serious about those things or they only want them from Ford. Are Ford, GM and Chrysler trying to convince the UAW to give up COLA and replace it with productivity bonuses based on projected targets? This would make sense if a base production number is agreed upon and production above that becomes subject to bonus... One way of changing a fixed cost to a variable based on sales success... Quote Link to comment Share on other sites More sharing options...
akirby Posted September 18, 2011 Share Posted September 18, 2011 Hmm. No COLA and no adjustment to Tier 2 wages. That means one of two things: Either the UAW was not serious about those things or they only want them from Ford. Or they traded those things for more jobs and job guarantees - which I don't think Ford is willing to do (nor should they). GM still seems to be looking for production volume and isn't concerned with profit per vehicle. Quote Link to comment Share on other sites More sharing options...
dante hicks Posted September 18, 2011 Share Posted September 18, 2011 Hmm. No COLA and no adjustment to Tier 2 wages. That means one of two things: Either the UAW was not serious about those things or they only want them from Ford. Tier 2 is going from 14-16 per hour to 16-19 per hour. Detnews link Quote Link to comment Share on other sites More sharing options...
RichardJensen Posted September 19, 2011 Share Posted September 19, 2011 14% pay hike, for what? a third of all the workers? I guess that's your COLA right there. Quote Link to comment Share on other sites More sharing options...
Footballfan Posted September 19, 2011 Share Posted September 19, 2011 Mexico . . . Brazil . . . ? I believe the new GM contract calls for engine work to be moved from Mexico to Michigan, and the Cadillac SRX to be moved from Mexico and some production of the Chevrolet Equinox to be moved to Spring Hill. The UAW should demand the same from Ford including some Fusion/MKZ word to be moved to Flat Rock and/or Kansas city, and perhaps the next-gen Fiesta to be moved to an idled Ford plant from Mexico. Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 19, 2011 Share Posted September 19, 2011 (edited) I believe the new GM contract calls for engine work to be moved from Mexico to Michigan, and the Cadillac SRX to be moved from Mexico and some production of the Chevrolet Equinox to be moved to Spring Hill. The UAW should demand the same from Ford including some Fusion/MKZ word to be moved to Flat Rock and/or Kansas city, and perhaps the next-gen Fiesta to be moved to an idled Ford plant from Mexico. Or we could consider that Mexican F Truck production was moved back to the USA opening up a slot for Fiesta to be built in Mexico. The swap of F Truck production to USA and Fiesta to Mexico is a fair trade, and a good flow of work in the right direction. Considering Ford's US sales are roughly 180,000/mth and only 30,000 of that (less than 17%) comes from Mexico, I doubt that any demands about shifting production is on the agenda or being entertained in the slightest. Edited September 19, 2011 by jpd80 Quote Link to comment Share on other sites More sharing options...
DearbornDerek Posted September 19, 2011 Share Posted September 19, 2011 except F truck production there was extremely minimal compared to Fiesta production. However I do understand Fiesta production being there due to "trade agreements". Quote Link to comment Share on other sites More sharing options...
mettech Posted September 19, 2011 Share Posted September 19, 2011 14% pay hike, for what? a third of all the workers? I guess that's your COLA right there. That should help the UAW with the transplants in the USA. Honda/Hyundai/VW will need to increase their hourly rate or risk the wrath of the UAW in their plants. Quote Link to comment Share on other sites More sharing options...
Footballfan Posted September 19, 2011 Share Posted September 19, 2011 I doubt that any demands about shifting production is on the agenda or being entertained in the slightest. I beg to differ. 1) The UAW cannot offer Ford members any less than what Chrysler and GM gave. GM is moving CUV, engine, and transmission work from Mexico to the US. Chrysler is already moving work from Mexico to Michigan. 2) Ford has about 1,400 employees that will need placement when the Saline plant is sold. 3) Ford needs to fill Flat Rock, one of the main bargaining issues in this contract, and has commited product to KCAP. Quote Link to comment Share on other sites More sharing options...
mettech Posted September 19, 2011 Share Posted September 19, 2011 I bet Chrysler will offer less money per hour than what GM did. In fact, I will be surprised if the hourly rate for them doesn't stay the same as it is now. Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 19, 2011 Share Posted September 19, 2011 (edited) I beg to differ. 1) The UAW cannot offer Ford members any less than what Chrysler and GM gave. GM is moving CUV, engine, and transmission work from Mexico to the US. Chrysler is already moving work from Mexico to Michigan. 2) Ford has about 1,400 employees that will need placement when the Saline plant is sold. 3) Ford needs to fill Flat Rock, one of the main bargaining issues in this contract, and has commited product to KCAP. Yes, Ford has committed to a new product fo KCAP, we don't know what it is at the moment but like Flat Rock, I'm sure that the changes will become more obvious as this contract agreement unfolds but still,new products and Ford's steadily increasing sales will mean that more UAW members will be needed. Instead of worrying about Flat Rock and KCAP, the UAW should be looking at the whole package and reviewing where Ford intends it new products to be based and how that affects the labor supply. Sustainability, stability and bonuses based on improving sales has to be paramount in discussions. In current circumstances, things like COLA is of little value to employees compared to profitability based bonuses, the UAW should be all over this and getting Ford to set some reasonable targets to achieve bonuses for members. I have every faith that a great, workable system can come about but it's going to take some mighty tough talking to get Ford to give up a little of its new found efficiency but if they see merit and sustainability, it could happen fast... Edited September 19, 2011 by jpd80 Quote Link to comment Share on other sites More sharing options...
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