UAW

"The enemy of my enemy is my friend."    

Sun Tzu, The Art of War

The Detroit Free Press reports that the United Auto Workers union - no friend to Governor Rick Snyder - is considering a deal with billionaire Ambassador Bridge owner Matty Moroun - also no friend to the Governor.

The deal would involve Moroun helping the union pay for ads in support of Proposal 2, which would enshrine labor organizing rights in the state constitution.

Concept NITC Drawing
NITC

Mickey Blashfield, Ambassador Bridge owner Matty Moroun's director of government relations and head of the Moroun-financed group "The People Should Decide" released a statement following a report from the Detroit Free Press on a possible deal between the UAW and Moroun.

Lead in text: 
Nathan Boomey and Brent Snavely of the Detroit Free Press have a report on a "2 for 6" deal between the UAW and Ambassador Bridge owner Matty Moroun. 'You support my proposal.... I'll support yours.' Michigan Radio's Tracy Samilton is following up on this report.
Politics & Government
Lester Graham / Michigan Radio

Delegates here have heard from Dow Chemical Company, DTE, the AFL-CIO, various Democratic Party officials and Bob King. King is the President of the United Auto Workers and in Michigan, that carries weight.

He told them Michigan delegates that the platform approved by the Republicans at their convention calls for restricting labor’s right to bargain.

“The baby step in my mind is that they’d pass a national ‘Right to Work.’ They want to do much more than that. They want to take away the right from workers to bargain on conditions at work, their pensions, their healthcare.”

User:Brother O'Mara / flickr

Teachers challenge retirement bills

"The first day of classes was also the day Governor Rick Snyder approved some big changes to how teachers and other public school employees will save for retirement. The new law will require teachers to pay more for retirement benefits. New employees will no longer get retirement health care coverage, but a savings account to help them buy insurance. Teachers unions are already in court to challenge the law.  A judge in Ingham County struck down part of the law within a few hours of the governor signing it. Judge Rosemary Aquilina said retired teachers deserve more time to choose whether they will pay more for their existing benefits, or choose reduced benefits. The new law gave them a month and a half to make their decision," Rick Pluta reports.

Special primary election today in southeast Michigan

"Five Detroit-area Republican candidates are competing for the chance to serve the final weeks of former U.S. Rep. Thaddeus McCotter's term in Congress. A special GOP primary election is being held Wednesday to pick a candidate to face Belleville Democrat David Curson in the Nov. 6 special general election. The winner of that race will serve only from mid-November until the end of the year. A separate contest on the Nov. 6 ballot will decide who fills the seat for the next two years. Republican ex-teacher Kerry Bentivolio faces Democratic Canton Township Trustee Syed Taj in that race. McCotter resigned this summer during an investigation of irregularities in the nominating petitions that kept the Livonia Republican from seeking re-election. Three former aides are charged with scheming to submit false signatures," according to the AP.

UAW president to address the DNC tonight

"United Auto Workers says union President Bob King is scheduled to address the Democratic National Convention. The Detroit-based union says King will speak this evening during the event in Charlotte, N.C. The UAW says 89 of its members are delegates to the convention," according to the AP.
 

User IFCAR / Wikimedia Commons

In mid-September, General Motors will temporarily close the Detroit-Hamtramck plant that makes the Chevrolet Volt for about a month.

via Walter P. Reuther Library / Wayne State University

The UAW remembered the 75th anniversary of the “Battle of the Overpass” Friday.

Many union members see the event as a pivotal point in Detroit--and national--labor history.

On May 26th, 1937, UAW President Walter Reuther and other union leaders were trying to organize workers at the massive Ford Rouge plant in Dearborn.

A confrontation ensued, and some union leaders were badly beaten by members of Henry Ford’s security team.

Bernie Ricke is President of UAW Local 600, which represents Ford Rouge workers today.

Sarah Cwiek / Michigan Radio

Protesters lined a busy thoroughfare in Troy Tuesday evening.

Attendees pulling into the parking lot at the San Marino Club for the Ronald Reagan Memorial Dinner were booed by the protesters, who were there to protest Wisconsin Governor Scott Walker’s appearance at the Oakland County Republican fundraiser.

Valerie O'Rourkefrom the 99% Spring Blog / from the 99% Spring Blog

Earlier this year, we told you about The 99% Spring, the protest movement sponsored by a variety of political and labor groups including MoveOn.org, the United Auto Workers and the Teamsters Union.

It’s part of a fresh wave of protests that are taking place across the country, in the wake of the Occupy movement.

Starting next week, 99% Spring events will be kicking off across the United States, and especially in the Midwest.

Supporters are vowing to train 100,000 people to “to tell the story of what happened to our economy, learn the history of non-violent direct action, and use that knowledge to take action on our own campaigns to win change.”

Over the weekend, the UAW sent an email to its members, encouraging them to take part.

“We are at a crucial point in America where if we continue to ignore the opportunity to rebuild this great country, then we risk losing the very essence of what has made this country great,” the email said. 

Some 918 events have been scheduled thus far. MoveOn.org, which is associated with the Democratic Party, has a locator for events, where you can put in your zip code and find those closest to you.

Here are the ones for the Detroit area, Chicago and Milwaukee, and Cleveland. To be sure, the 99% Spring movement hasn’t said what will happen once people are trained, but given the training events, it’s pretty clear it will meet its goal of training 100,000 people.

Are you planning to take part in 99% Spring? Let us know where and when.

United Auto Workers President Bob King says a coalition of unions will push for an amendment to the Michigan Constitution that bars so-called "right-to-work" legislation outlawing contracts that require employees to join unions.

Republicans who control the state Legislature have been pushing for a law that would ban labor agreements with mandatory union dues. Republican Gov. Rick Snyder has said the issue is not a priority for his administration.

King told about 1,000 people at the UAW's national convention in Washington on Thursday that a union coalition will push for a November ballot issue protecting the right to have union shops.

The Detroit News reports King says unions agreed on the drive at a meeting Wednesday. He says they'll seek 500,000 signatures, about twice what's needed.

Chrysler's Windsor Assembly Plant.
Chrysler

Publicus Tacitus, the Roman senator, is given credit for coining the phrase, “Success has many fathers, but failure is an orphan.”

He’d feel right at home during the Michigan Republican primary campaign.

Over the past few weeks, candidates, their opponents and those who played a role have been debating just who should get credit for the auto industry bailout.

It’s a long-overdue discussion of what happened a little over three years ago, and the conversation shows just what a political hot button the situation still is for people in Michigan and the Midwest. Here’s a list of credit takers and how they make their cases.

(photo by Steve Carmody/Michigan Radio)

Saturday marks the 75th anniversary of the end of the Flint Sit Down Strike.   

Hundreds of UAW members gathered in Flint today to commemorate the pivotal moment in the history of the union movement.   

Union members honored in song the six surviving sit down strikers and women’s brigade members who gathered to mark the anniversary of the strike that many say legitimized the United Auto Workers union.

Art Reyes is the president of UAW local 651.   He says the surviving sit-down strikers are an inspiration.

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Last week, we reported an Associated Press estimate that predicted a $1,500 profit-sharing bonus for Chryslers hourly employees based on the automaker's earnings figures contractual obligations with workers.

Now an email from Chrysler CEO Sergio Marchionne to UAW members posted by the Detroit News suggests the bonuses will go out early.

screen grab from YouTube video

DETROIT (AP) - Factory workers at Chrysler are getting $1,500 profit-sharing checks next month, a sign the automaker's turnaround is succeeding.

About 26,000 union-represented workers in the U.S. should get the payments, according to Chrysler's contract with the United Auto Workers union. The profit-sharing figure is based on an Associated Press analysis of company earnings, and the labor contract formula for profit-sharing.

Chrysler would not say how much the workers will get. But the formula in its new four-year contract with the UAW shows that the checks will be about $1,500. The checks are based on Chrysler's $2 billion operating profit for 2011, reported on Wednesday.

Chrysler reported full-year net income of $183 million, its first since 1997.

Ian Britton / freefoto.com

Union leaders, environmental groups and some auto industry representatives are applauding new fuel efficiency standards proposed by President Obama.

The Environmental Protection Agency held a public hearing on the new rules in Detroit Tuesday.

The Obama administration’s proposed rule actually measures greenhouse gas emissions. But when translated into the usual lingo, that’s about 54 miles per gallon—roughly double the current standard.

Library of Congress

Last month, Michigan Radio's Steve Carmody visited Flint to report on the 75th anniversary of the start of the Flint sit down strike, a work stoppage at multiple GM facilities beginning in 1936, which Carmody says was "pivotal to the birth of the United Auto Workers," and had profound implications for American organized labor in general.

Carmody writes:

(photo by Steve Carmody/Michigan Radio)

Today is the 75th anniversary of one of the key moments in the history of organized labor in the United States: The beginning of the Flint Sit Down Strike.   

The Flint Sit-Down Strike was pivotal to the birth of the United Auto Workers.   

Three-quarters of a century later the echoes of the event still resonate.  

After a four-year absence, the United Auto Workers and Detroit automakers Chrysler, Ford and General Motors will be one of the sponsors for the Little Caesars Pizza Bowl.

This year's college football bowl game features Western Michigan University against Purdue.

The return to sponsorship of the nationally televised game is another sign of the domestic auto industry’s return to normal.  

© GM Company

UAW members in Lansing voted this week to authorize a strike at a General Motors plant.  

Local 602 reported tonight that 86 percent of its members voted to authorize a strike at GM'S Lansing Delta Township plant.

Union leaders say they hope the vote will encourage both sides back to the bargaining table.

The union and GM have been unable to reach an agreement on several workplace issues.

The plant produces the Chevrolet Traverse, GMC Acadia and Buick Enclave.

United Auto Workers members are voting on whether to authorize a strike at General Motors’ Lansing Delta Township plant.   The vote centers on several workplace issues.   

The Delta Township plant produces the Chevrolet Traverse, GMC Acadia and Buick Enclave.  Tracy Handler is an analyst with IHS Global Insight.    She says if UAW members strike at the Lansing plant, the effect would not be immediate on GM.   

user socialisbetter / Flickr

Chrysler CEO Sergio Marchionne said the two-class pay system currently in place will have to be replaced with a single wage system in the next round of contract talks with the United Auto Workers.

The UAW and Chrysler just approved a 4-year contract with the two-class pay system in place, so the next opportunity to revise the system won't come until the next round of contract negotiations.

More from the Associated Press:

Negotiations for that contract start in 2015.

He says the current system creates two classes of workers. New workers in the bottom tier make about half as much money as longtime UAW members.

Marchionne didn't say how he would come up with one wage. But it's likely he'll try to reduce the pay of top-tier workers. General Motors and Ford could follow and pay could be cut for most of the UAW's 112,000 members.

UAW workers approved a four-year contract with Chrysler on Wednesday. It includes raises for bottom-tier workers.

More on what Marchionne said comes from Changing Gears reporter, Pete Bigelow:

The structure is, “not something that can go on for a long period of time,” he said on a conference call to discuss the company’s second-quarter earnings. Marchionne continued, saying, two-tiers is “not a viable structure on which to build our industrial footprint.”

Changing Gears reporter Kate Davidson provided some insights into the two-class pay system in a piece she produced last year for Changing Gears.

At the time, the starting rate for a "two-tier" worker was $14 an hour. The new contracts have pushed the starting rate for "two-tier" workers above $19 an hour.

Chrysler made a profit in the third quarter of this year.

The news comes a day after Chrysler workers narrowly approved a new four-year contract.

The $212 million profit is small compared to Detroit rival Ford, which made $1.6 billion in the same period.

But it’s the second quarterly profit this year for Chrysler, and a sign that its recovery from the 2009 bankruptcy is gathering some steam.

In fact, Chrysler would have made a profit last quarter too, were it not for one-time costs associated with paying off its federal loans.

Chrysler CEO Sergio Marchionne said the just-ratified contract with the UAW will support the company in its growth plans.

The contract includes a much smaller signing bonus than the one Ford union members will get.

That was likely one of the main reasons the contract was so narrowly approved.

Update, 6:30 pm:

Speaking with reporters on a late afternoon conference call, UAW President Bob King says its International Executive Board followed the union’s constitution, which gives skilled trades workers a separate right of ratification on skilled trades issues.

But King says the board investigated the reasons skilled trades workers voted the contract down. He says according to Facebook posts and leaflets, the main reasons were general economic ones affecting all workers, such as bonuses - and not issues specific to skilled trades workers.

"You want to protect the rights of the minority, but you can’t let the minority overrule the rights of the majority," King said.

King says with all three contracts with the Detroit automakers now finalized, the union will turn its attention to organizing efforts, and the 2012 elections.

Here's the breakout of the vote, according to the UAW:

The United Auto Workers is expected to announce the results of voting on a tentative contract with Chrysler by Wednesday.

Chrysler is the last of the Detroit Three to reach a settlement on a new, four-year contract.

Kristin Dziczek is with the Center for Automotive Research.

She said so far, the vote looks very close.  Union members with Chrysler may have been expecting more than they got, she said.

This is coming on the heels of two very strong agreements with General Motors and with Ford that had more cash and fewer contingencies.

Entry-level workers, who receive about 1$14 an hour now, would get a raise of about $4 an hour, phased in over the four years of the contract.

Workers would get an immediate signing bonus of $1,750.00, with the promise of another $1,750.00 dollars if Chrysler meets certain financial goals.

If the contract is rejected, it goes to binding arbitration, because of an agreement the union made with Chrysler during the company’s bankruptcy.

Staff / Chrysler Media

Chrysler union workers vote this week on a tentative new contract. 

Ford workers approved their contract on Wednesday, 63-percent in favor to 37-percent against. 

But the contract was narrowly rejected at the Michigan Assembly plant in Wayne.  Bob King is President of the union. 

"I don’t feel bad or in any way negative towards those workers because they voted against it," says King.  "I think they expressed honest, legitimate concerns.   I have the same concerns.   I don’t like a system where people on the same assembly line are making a different rate of pay."

A majority of the 41,000 UAW workers at Ford have ratified a four-year contract with the company.

From the Detroit Free Press

The UAW said 63% of production workers voted in favor of the agreement and 65% of skilled-trades workers voted in favor of the deal.

“I am pleased with the strong support for this agreement from UAW Ford members,” UAW Vice President Jimmy Settles said in a statement today. “I believe UAW Ford workers understood the importance of each and every vote.”

The contract needed to pass by a simple majority.

Ratification of the agreement leaves Chrysler as the only member of the Detroit Three without a contract. Chrysler workers began voting Tuesday on a tentative agreement while General Motors workers ratified a deal on Sept. 28.

Ford Motor Company officials say the new agreement will add jobs and improve the company's competitiveness in the U.S.

From a Ford press release:

Ford is adding 12,000 hourly jobs in its U.S. manufacturing facilities through the four-year term of the contract, including in-sourcing work from Mexico, China and Japan. The company also is investing $16 billion in its U.S. product development and manufacturing operations – including $6.2 billion in plant-specific investments – by 2015. 

“This agreement is proof that, by working together with our UAW partners and local communities, we can significantly create new jobs, invest in our plants and people, and make a very positive impact on the U.S. economy,” said Mark Fields, Ford Motor Company’s president of The Americas. “Our agreement is fair to our employees and it improves our competitiveness in the U.S."

Company officials say new production shifts will be added at Auto Alliance International in Flat Rock, Michigan, and at the Michigan Assembly Plant in Wayne.

Workers at Ford's largest local union have approved a new labor contract with the company.

Ford and the UAW reached a tentative agreement on the contract earlier this month but it must be ratified by Ford's 41,000 UAW workers.

The union says 62 percent of the more than 5,000 workers at Local 600 in Dearborn favored the agreement.

Chrysler and the United Auto Workers have agreed to terms for a four-year contract deal.

Chrysler is the last of Detroit’s three carmakers to reach a tentative agreement with the UAW.

The agreement follows some tense negotiations between the UAW and Chrysler, which is majority-owned by the Italian automaker Fiat.

Chrysler is smaller and more indebted than its fellow U.S. automakers, but the UAW sought a contract with similar terms to those it got from GM and Ford.

Like in the GM and Ford contracts, entry-level Chrysler workers will get a wage hike under this deal. Workers also stand to get more in bonus pay and profit-sharing.

“The overall framework, the overall labor cost agreement [compared to GM and Chrysler] is very, very comparable,” said UAW President Bob King. “We tweaked them, shifted them a little bit in each case, because of the specific needs of the individual companies.”

Also like the GM and Ford contracts, this agreement focuses more on creating and retaining jobs for U.S. workers than on boosting worker pay. Chrysler says it will invest $4.5 billion in U.S. production, and create 2100 U.S. jobs.

King thinks most of his members understand the focus on future investment.

“Our members overwhelmingly supported the goal of bringing more jobs into our plants,” King says.  “And our members understand overall that they can’t be secure unless there’s product and investment long-term in their facility.”

UAW officials hope to get Chrysler workers to ratify the deal within the next two weeks.

GM UAW workers ratified their contract by a roughly 2-to-1 margin. Ford workers are still voting.

Chrysler Group and the United Auto Workers have reached a deal on a new four-year contract that creates 2,100 new jobs.

The union says in a statement Wednesday that Chrysler will invest $4.5 billion in its plants under terms of the deal.

The union gave few other details.

But the agreement is expected to be similar to deals reached earlier with General Motors Co. and Ford Motor Co.

Workers at those companies gave up pay raises for most union members in exchange for profit-sharing payments.

The Chrysler deal covers 26,000 workers.

Contract talks between the United Auto Workers union and Chrysler resume Tuesday morning.  That’s after after negotiators were unable to reach a deal over the weekend. 

The UAW has asked its local presidents to come to Detroit on Wednesday.  That could mean an agreement is imminent. 

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