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John Goreham Contributing Writer, GM-Trucks.com 9-17-2019 As the UAW and General Motors negotiate hard to find a contract solution both parties can live with, we'd like to ask the GM-Trucks.com readership if they have a firm position now. Who do you support? This writer grew up in a union neighborhood, in a dual-income half-union household. Dad was a union welder, mom worked in retail and was not in a union. Paid union dues himself for a short time (UPS), and watched as those good-paying, blue-collar manufacturing jobs (at General Electric in Lynn Mass.) shrank, and eventually went away. These issues affect many families. Where do you stand? - If you want some background on the contract that has just expired, click here. - If you want updated profit sharing info, click here. - Want to know how much the CEO of GM makes? Click here. Test your knowledge: - Which two industries have the highest-paid union members? - Name the last American President who was a (non-government) union member and his party. - Name the last (non-government) union-member American President who preceded that president and his party. (Hint, he was actually also a union president).
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John Goreham Contributing Writer, GM-Trucks.com 9-18-2017 The General Motors plant that assembles GM's hottest crossover just went on strike. The Cami plant in Ontario went on strike last night. The Local 88 Union of Auto Workers is seeking better wages and benefits. The strike comes as GM's hot new Equinox is gaining critical market share. After being in last place among all leading automakers in the largest automotive segment, GM's new Equinox has suddenly become very competitive. Last month, the Equinox came within striking distance of passing the Honda CR-V in sales. - Related - What do GM's Automakers earn?
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John Goreham Contributing Writer, GM-Trucks.com 7-21-2017 Cars have jumped the shark. We have been reporting on this trend for years now at GM-Trucks.com. Trucks still hold the title for most sold single nameplate (Ford F-150), but trucks are no longer the largest segment anymore either. Compact crossovers are. Midisze crossovers have also now surpassed midsized sedans in sales, though the size alignment is a bit screwy. Compact crossovers are actually more roomy than midsize sedans in most ways. These new facts have not been lost on the Americans who build some of GM's vehicles. The UAW is asking GM to stop having them build cars domestically and to shift its workers to build the vehicles that consumers actually want and will buy. A Reuters report quotes the president of the United Auto Workers union, Dennis Williams, as saying "We are talking to (GM) right now about the products that they currently have at underused car plants such as Hamtramck in Michigan and Lordstown in Ohio, and whether they might be replaced with newer, more popular vehicles such as crossovers. We are tracking it (and) we are addressing it," Long-time friend to GM-Trucks.com, Sam Fiorani, vice president of AutoForecast Solutions, says that GM needs to get some innovative products in the pipeline. GM is certainly trying. The Buick brand, in particular, is reshaping its lineup to include more crossovers. Unfortunately for the UAW, and the American families that those workers support, Buick's top-selling new crossovers are made in China (Envision) and in multiple non-North American locations (Encore). The UAW is wise to start looking closely at what it is building and what the sales trends are.
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John Goreham Contributing Writer, GM-Trucks.com 2-7-2017 General Motors' record profits for the past fiscal year will have a very positive impact on the UAW workers that build its vehicles. Union members will receive profit-sharing payments of up to $12,000. That is up from last year's payments of up to $11,000. GM's union workers with three or more years of experience earn about $60,000 per year before overtime and bonuses. General Motors issued a statement on this year's financial results, saying: "General Motors Co. (NYSE: GM) today announced record full-year 2016 results driven by strong retail demand for full-size trucks and SUVs in the United States, continued industry growth in China and effective cost performance across the globe." The Detroit Free Press quoted Mary Barra as saying "By almost any measure, 2016 was a great year for our business and I am confident we can achieve even stronger results. We’ll work to build on our momentum, while continuing to drive our company to innovate and shape the future of mobility.” General Motors workers' checks will arrive by February 24rth.
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John Goreham Contributing Writer, GM-Trucks.com 5/26/2016 The publication MLive Michigan is reporting that General Motors will move some production of Silverados from Mexico to Flint, Michigan. The move seems to be for all the right reasons. The report quotes Local 598 Shop Chairman Eric Welter, who says the addition is because truck buyers want a light duty, American-made truck. "This was just a need to satisfy their customers," he said. "We're having a hard time getting the four-door." In related news, the Lansing, Michigan plant where Chevy moved the Camaro's production (from Canada) is doing very well. Managers are being promoted and moved to new responsibilities, and the plant is adding shifts. The Lansing State Journal says that this has created 500 new jobs recently - In the USA.
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Under the current contract, GM's workers represented by the United Auto Workers max out at about $29 per hour. That is roughly $60K in earnings per year before overtime. This $11,000 bonus is ,therefore, about 20% of each worker's annual pay. For details on the contract recently ratified, please see out prior story. News Source Credit - Detroit Free Press. -
John Goreham Contributing Writer, GM-Trucks.com 2/5/2016 Those of us that grew up in a union household know that overtime pay, shut-down overtime pay and annual profit sharing bonuses mean a lot to a family. For about 50,000 families in the U.S., GM's huge $6.3 billion in profits last year means that workers that worked their full-time shifts will receive $11,000 in profit sharing. This is the largest profit sharing check the UAW workers will have received in a long time. Under the current contract, GM's workers represented by the United Auto Workers max out at about $29 per hour. That is roughly $60K in earnings per year before overtime. This $11,000 bonus is ,therefore, about 20% of each worker's annual pay. For details on the contract recently ratified, please see out prior story. News Source Credit - Detroit Free Press.
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The contract is still viable and many more plants will be voting shortly. For more details please see the Detroit Free Press story we used as a source for this report. -
John Goreham Contributing Writer, GM-Trucks.com 11/02/2015 General Motors' Kansas City, KA plant union membership has voted no on the new contract that its UAW representation negotiated with General Motors. We detailed the contract in our recent story. In brief, the new contract did away with the old two-tier pay system established around the time that the U.S. taxpayers bailed out GM in 2009. The new contract also offered each member an $8,000 signing bonus, profit sharing bonus, and other bonuses. The Lansing Michigan plant voted yes for the contract, with 57% of the members voting yes. The contract is still viable and many more plants will be voting shortly. For more details please see the Detroit Free Press story we used as a source for this report.
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John Goreham Contributing Writer, GM-Trucks.com 10/29/2015 The new contract that the United Auto Workers (UAW) secured in recent talks with GM goes beyond the gains made by the union in negotiations with FCA US (Chrysler). The Detroit Free Press reports that in addition to the gains made by the UAW in the recent talks with FCA, GM workers also get double the signing bonuses that FCA workers do ($8,000). Other highlights include the restoration of double time on Sundays, and the elimination of the two-tiered wage system. Workers can now get to $29 per hour in eight years. Workers with just three or more years of service will reach the $29 mark by the end of this new contract, the equivalent of $60,000 per year before bonuses, profit sharing and overtime. Workers at GM since 2007 will receive a raise of 3 percent in the first and third year of this new contract and 4% in the second and fourth year. Each worker will receive a $500 quality bonus in November of each year of the contract Retirees will also benefit. A pool of about 4,00 GM workers set to retire this February through May 2016 will get a $60,000 bonus (not a typo). All retires also now get a $500 gift card from GM. Profit sharing, health care and legal services remain at or above prior levels. The contract also includes 3,000 new jobs at 12 U.S. plants.
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UAW President Dennis Williams (shown in the blue sport coat in the image), commented on the agreement, saying “We believe that this agreement will present stable long-term significant wage gains and job security commitments to UAW members now and in the future. We look forward to presenting the details of these gains to local union leaders and the membership.” The agreement is expected to be the same as that which was recently struck with FCA US. The agreement will now be sent to the UAW membership for a vote. Image note - Image is from the UAW media page. -
John Goreham Contributing Writer, GM-Trucks.com 10/26/2015 Shortly after the end of Sunday Night Football (11:43pm) last night, GM and the UAW came to an agreement that will boost wages for UAW members working at GM plants. The Detroit Free Press reports that the two-tiered wage system negotiated during the dark days in the mid-2K decade will be eliminated. Presently, UAW workers earn about $10 more per hour than non-union U.S. autoworkers. This new agreement will only add to that disparity. UAW President Dennis Williams (shown in the blue sport coat in the image), commented on the agreement, saying “We believe that this agreement will present stable long-term significant wage gains and job security commitments to UAW members now and in the future. We look forward to presenting the details of these gains to local union leaders and the membership.” The agreement is expected to be the same as that which was recently struck with FCA US. The agreement will now be sent to the UAW membership for a vote. Image note - Image is from the UAW media page.
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Here are GM's last two press release titles: 1) GM’s Detroit-Hamtramck Assembly to Add Second Shift and More Than 1,200 Jobs 2) GM Reports Third-Quarter Net Income of $1.4 Billion and Record EBIT-Adjusted of $3.1 Billion. Given that GM does not need to pay federal tax on its profits, courtesy of the 2009 taxpayer bailout, it is hard to see how GM gets to an agreement with the UAW without significant concessions. -
John Goreham Contributing Writer, GM-Trucks.com 10/25/2015 The UAW has threatened to strike starting tonight at 11:59. The union used a similar approach in its negotiations with FCA US and from the reports we have seen the UAW is getting most of what it wants. As has been widely reported the UAW wants to get rid of two-tier pay structures and in general, a bigger slice of the pie. Here are GM's last two press release titles: 1) GM’s Detroit-Hamtramck Assembly to Add Second Shift and More Than 1,200 Jobs 2) GM Reports Third-Quarter Net Income of $1.4 Billion and Record EBIT-Adjusted of $3.1 Billion. Given that GM does not need to pay federal tax on its profits, courtesy of the 2009 taxpayer bailout, it is hard to see how GM gets to an agreement with the UAW without significant concessions.
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"The bargaining teams on both sides worked hard, for many days and nights, to craft a transformational agreement that would adequately reward the commitment of our workforce while ensuring the Company’s continued success and competitiveness. Striking the right balance in these two objectives has been the most difficult thing to accomplish in these negotiations, but after many hours of dialogue and debate between the UAW and FCA US leadership, the Company felt that a just and equitable compromise had been reached. The memories of our near-death experience in 2009 are vivid to this day in the minds of most of us at FCA. A large number of new employees have been brought into the Group since then who, thankfully, did not have to endure the pain and sacrifices that were required of the workforce then. But it is that knowledge and those memories that continuously reinforce the FCA leadership’s resolve to never let those events repeat. While significant progress has been made since the events of less than seven years ago, much more work remains to be done and challenges remain while new, significant ones surface. The cyclical nature of the automotive business demands that while we must recognize the need for rewarding employees during times of prosperity, we must also protect against the inevitable market downturn. This agreement accomplished both of these objectives. The tentative agreement was designed to yield a strong and competitive FCA US, thus providing stability for our workforce and opportunity for future growth and investment in an increasingly complex global marketplace. The Company will make decisions, as always, based on achieving our industrial objectives, and looks forward to continuing a dialogue with the UAW." -
John Goreham Contributing Writer, GM-Trucks.com 10/1/2015 FCA US (Chrysler) was the automaker that the UAW chose to bargain with for its new contract. The contract will form the basis for all the contracts which will be ratified by Ford and GM as well. We have just heard that the UAW membership voted "no" on ratification of the contract its leadership negotiated with FCA. FCA's announcement is below unedited: "The bargaining teams on both sides worked hard, for many days and nights, to craft a transformational agreement that would adequately reward the commitment of our workforce while ensuring the Company’s continued success and competitiveness. Striking the right balance in these two objectives has been the most difficult thing to accomplish in these negotiations, but after many hours of dialogue and debate between the UAW and FCA US leadership, the Company felt that a just and equitable compromise had been reached. The memories of our near-death experience in 2009 are vivid to this day in the minds of most of us at FCA. A large number of new employees have been brought into the Group since then who, thankfully, did not have to endure the pain and sacrifices that were required of the workforce then. But it is that knowledge and those memories that continuously reinforce the FCA leadership’s resolve to never let those events repeat. While significant progress has been made since the events of less than seven years ago, much more work remains to be done and challenges remain while new, significant ones surface. The cyclical nature of the automotive business demands that while we must recognize the need for rewarding employees during times of prosperity, we must also protect against the inevitable market downturn. This agreement accomplished both of these objectives. The tentative agreement was designed to yield a strong and competitive FCA US, thus providing stability for our workforce and opportunity for future growth and investment in an increasingly complex global marketplace. The Company will make decisions, as always, based on achieving our industrial objectives, and looks forward to continuing a dialogue with the UAW."
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Today, UAW Vice President Jimmy Settles issued a 5-day strike notice to Ford for its Kansas City F-150 plant according to the Detroit Free Press. Settles was quoted as saying "The company (Ford) has failed to negotiate in good faith at the local level on issues surrounding manpower provisions, the national heat stress program, and skilled trades scheduling amongst others." -
John Goreham Contributing Writer, GM-Trucks.com 9/30/2015 The UAW is not happy with the contract negotiated by its membership with FCA US (Chrysler). The rank and file may reject it. Today, UAW Vice President Jimmy Settles issued a 5-day strike notice to Ford for its Kansas City F-150 plant according to the Detroit Free Press. Settles was quoted as saying "The company (Ford) has failed to negotiate in good faith at the local level on issues surrounding manpower provisions, the national heat stress program, and skilled trades scheduling amongst others."
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After the $10 billion taxpayer-funded bailout of GM and what we used to call "Chrysler", the UAW agreed to a temporary no-strike clause. -
John Goreham Contributing Writer, GM-Trucks.com 8/17/2015 Not being expert in all things United Auto Workers, we will report without too much speculation that the UAW has begun to prepare for a strike against General Motors if the contract negotiations don't go to the union's liking. Multiple news outlets following the contract talk's progress reported this afternoon that the UAW is setting up votes to authorize the use of a strike if needed. To be clear, the vote is not to strike or not, but to get the Locals' support in advance so that tool is available later if it is required. Marketwatch reported that UAW President Dennis Williams commented on the topic of a strike, saying that if it came to pass a strike would be a "failure on both parties' part." After the $10 billion taxpayer-funded bailout of GM and what we used to call "Chrysler", the UAW agreed to a temporary no-strike clause.
