Monday, February 28, 2011

State of the Union February 28, 2011

Feb 28, 2011 online at www.uawlocal2250.com

The March schedule has been released. It has 10.3 off the K-line every day with Friday, March 18 off.

From Automotive News: Volkswagen AG passed rival Ford Motor Co. in the auto industry earnings race last year on surging demand in China. Net income surged sevenfold to 6.84 billion euros ($9.42 billion), the German automaker said today. Ford posted 2010 profit of $6.56 billion, while General Motors Co. reported $4.7 billion. Toyota Motor Corp. forecasts 490 billion yen ($6 billion) in profit in the year ending March 31.

More Automotive News: A record 672,000 used commercial trucks were registered in the United States last year, up 22 percent, says R.L. Polk & Co. of Detroit, which collects and interprets global automotive data. It was the first year registrations of used commercial trucks exceeded 600,000 units. Gary Meteer, director of sales and client services at Polk, said the increase is an indication that large fleet operators are buying new commercial vehicles, making used ones available to smaller companies and independent owner-operators.

In a ruling that could have widespread ramifications in the auto industry, the Supreme Court said a wrongful death suit can go forward against Mazda which claims the automaker was negligent in not having three-point seat belts in the center back seat of a 1993 Mazda MPV minivan. A woman was killed in a 2002 accident while wearing only a lap belt, which complied with federal regulations at the time. The rules allowed for either a lap belt or a shoulder belt. As a result, other cases are getting another look, the Wall Street Journal reports. The U.S. Supreme Court ordered a lower court Monday to reconsider a ruling that barred a product-liability lawsuit alleging Ford Motor Co. defectively designed the side windows in a 1997 pickup truck, according to the WSJ. The Ford case focuses not on seat belts but on the type of glass the company chose to install in its 1997 F-150 pickup. The plaintiff alleged Ford was liable in the death of a passenger in an F-150 who was ejected during a 2002 accident in which the truck veered off the road and rolled over several times. The victim wasn't wearing a seat belt, and his mother alleged he would not have been ejected had Ford installed laminated side windows on the truck instead of using tempered glass. Federal safety regulations gave Ford a choice in which type of windows to install.

6 U.S. Cars that Trounce the Imports – Fortune
By Doron Levin

Apples-to-apples comparisons among vehicle models are always difficult. But the Big Three are rumbling with Toyota, Honda, and even Audi, and not getting thrown out of the ring. Detroit has managed to narrow the differences with the competition and in some cases erase them. Let's take a look at some of the matchups of foreign car vs. domestic, where every battle for a customer is a main event.
Chevrolet Cruze vs. Honda Civic
General Motors earned a reputation as a manufacturer of mediocre small cars with the Chevrolet Cavalier and Cobalt, while Honda's Civic hasn't been a best-seller for a couple of decades without reason. The new Cruze could help GM live down its reputation. Cruze comes with a 1.4 liter turbo and in its least expensive version -- a manual transmission. The car is handsome, handles nicely, with good fit and finish. Starting at $18,000, it's a value, at least initially, compared with Civic. With 94.6 cubic feet of interior space, Cruze compares nicely with Civic's 90.9 cubic feet. Finally GM is showing respect for the segment of its customers that wants a small car and doesn't want to be treated as small time.
Chevrolet Equinox vs. Honda CR-V
One of Chevrolet's hottest-selling models is its Equinox compact crossover, which competes with Honda's CR-V. It took GM a while to catch up with Honda, the Toyota RAV-4 and others in this category, but sales volume figures suggest that the buzz is getting around. The Equinox LS offers a 2.4 liter engine, same as CR-V, has a six-speed automatic to Honda's five-speed and costs only about $1,000 more with similar equipment. Equinox's fuel economy is superior, as is legroom, though it gives up a bit of cargo space to the CR-V. The engineers at GM have even come up with a feature the automaker says is exclusive: a back-up camera with a screen integrated into the rearview mirror. For this, among other reasons, the model has won a string of awards from various publications and safety groups.
Chevrolet Silverado vs. Toyota Tundra
Most of us don't have to worry about how we're going to tow our horses to the dressage competition or whether our vehicle has enough grunt to haul the speedboat up to the lake. Those who do fret about such things are still liable to choose a Chevrolet Silverado pickup with special towing capabilities. Toyota's Tundra pickup is making strides in this competition, with a 5.7 liter engine to Chevy's 6.2 liter. Either can carry about a ton of cargo. The key metric for customers considering these vehicles is maximum towing, 10,700 pounds for Silverado versus 10,400 for Tundra. (Don't overlook Ford's F-Series or Nissan's Titan, both of which are also strong contenders.)

Friday, February 25, 2011

State of the Union February 25, 2011

Feb 25, 2011 online at www.uawlocal2250.com

There will be a bake sale on Monday, Feb. 28 at the Suggestion Office from 8 am until they are sold out. During the day there will also be free suggestion items given out. Proceeds will go to this year’s Make-A-Wish dream.

Pundits everywhere are weighing in on GM’s financial results that were announced yesterday. Here are some of their comments:
"Their recovery has been fueled by significant cost-cutting, arrival of new products that consumers were seeking along with better management of incentives and supply," said Jesse Toprak, vice president of industry trends and insight at TrueCar.com, which tracks industry pricing and sales. "The sky is the limit for G.M. after becoming profitable at this low of a sales pace."

Morningstar analyst David Whiston said even a sizeable shift to small cars won't halt future profits. "As long as GM is structured to make money at a 10.5 million [U.S. industry annual sales rate], they will be printing money," he said.

Daniel Howes, Detroit News: "Here's an automaker that generated $2.4 billion in automotive cash flow, cut its debt to $4.6 billion from $15.8 billion, reported net income of $500 million for the final three months of last year and a $4.7 billion profit for the full year — its first since 2004 — and still investors pounded GM shares down to their initial public offering price of roughly $33. That says as much about a nagging feeling that the more GM changes, the more it is bedeviled by some of the same problems, as does the volatile economy, The Street and its infantile attention span.


Tom Walsh, Detroit Free Press: "Making solid profit in a soft market is quite a comeback. But as the last few weeks have shown, the world remains a volatile place. The auto industry will remain hyper-competitive."

Kelly Blue Book revealed their top 10 choices for best family vehicles. The Chevy Suburban was rated first and the Chevy Traverse was third. There were no Toyota vehicles in the rankings.

Why Americans Support Union Rights: 5 theories

New York – A clear majority of Americans back the kind of collective bargaining rights that Gov. Scott Walker is trying to strip from Wisconsin labor unions, says a Gallup poll. Why? It's still unclear who will prevail in Wisconsin's stand-off over labor union rights — but the American people seem to have chosen which side they're on. According to a USA Today/Gallup poll, 61 percent of Americans would oppose a law in their state taking away the collective bargaining power of public employee unions. Just 33 percent said they would support such a law. The public was more evenly split on labor unions themselves — 46 percent said they were "harmful" to states, while 45 percent said they were "helpful." The poll appears to show, says USA Today, that "Americans are reluctant to take away something that unions have already." Why?

1. Americans support fundamental rights for workers
Even a "sizable chunk" of Republicans are opposed to rolling back bargaining rights, says Greg Sargent at The Washington Post. Four in ten (41 percent) say they wouldn't support such a law. That's a sign that this argument has become about "fundamental workers' rights," not labor union greed. And there's still "bipartisan consensus" backing workers' rights.

2. Republicans are perceived as the aggressors
The union support may in part be down to "what chess players call zugswang," says Nate Silver at The New York Times. That's when the "first mover or perceived aggressor" — in this case, Gov. Scott Walker (R-Wis.) — is at a disadvantage. Any move to tackle the deficit is likely to be "fairly unpopular." Because Walker moved first, he may bear the brunt of the criticism.

3. Americans like school teachers
While some on the right are content to see the Wisconsin protesters as union thugs, says Michael Tomasky at The Guardian, it's clear that most Americans view them simply as working folks, just like themselves. "Most people just don't hate school teachers, and aren't going to be worked up into a frenzy against them, and don't think them greedy either."

4. Citizens suspect political motives
Americans see through Scott Walker's plan, says Joe Gandelman at The Moderate Voice, and are "turned off by what is now appearing to be a clearly political move." To many voters, what's going on in Wisconsin — and around the country — does not pass "the smell test." It reeks of a political power play.

5. The poll is confusing
The Gallup poll asked voters if they supported collective bargaining rights, says Adam Geller at The Huffington Post, rather than just collective bargaining. That might cause respondents to confuse the issue with workers rights — a very different thing — making the survey "less balanced than is the norm for a Gallup poll."

Thursday, February 24, 2011

State of the Union February 24, 2011

Feb 24, 2011 online at www.uawlocal2250.com


From Chairman Mike Bullock: We received an email from UAW VP Joe Ashton today informing us that the full share payout of profit sharing will be $4300. per qualified employee. It will be paid on your check on March 25. More good news - we will be adding one permanent, full time UAW Benefit Representative. Lisa Williams will be appointed to the position. Lisa had been serving as the alternate benefit rep. Congratulations Lisa! Management is pulling ahead with the recall of the 24 employees. 7 were called back Tuesday, 11 more will be called back next Tuesday March 1st, seniority date 10/15/07, ssn # 6000, and the remaining 5 on March 7, seniority date 6/2/08, tiebreaker OGM 6/24/85. As a note to all the employees who are "return to former group" transfers, your Par. 63b's stay on file for any other transfers you may have submitted for, they are not cancelled due to this transfer. You can go to personnel to withdraw those at any time if you so chose.

From Automotive News: Toyota Motor Corp. said today it will recall 2.17 million Toyota and Lexus vehicles in the United States to inspect and repair accelerator pedals that may get trapped in floor mats or carpeting. The automaker said more than half of the recalled vehicles -- 1.54 million units -- are being added to a giant 2009 recall to inspect and repair accelerator pedals that may get trapped in floor mats. The affected 1.5 million vehicles include about 603,000 Toyota 4Runner SUVs sold from the 2003 through 2009 model years; about 17,000 Lexus LX 570 SUVS sold from the 2008 through 2011 models years; and about 761,000 Toyota RAV4 vehicles sold from the 2006 through 2010 models years. The Japanese automaker has now recalled 19.2 million Toyota and Lexus vehicles worldwide and more than 13.7 million in the United States to address safety problems since the fall of 2009.

From the Detroit News: Federal safety regulators and Ford Motor Co. are still in talks over whether the automaker's limited recall of 135,000 F-150s over air bag issues will satisfy the government's concerns about safety. The Dearborn automaker on Wednesday agreed to recall the F-150 pickups from the 2005 and 2006 model years because of concerns about airbags deploying without warning.
GM Announces First Full-Year Results as New Company

GM achieves four consecutive quarters of profitability
Calendar year net income of $4.7 billion, earnings per share of $2.89 on a diluted basis Calendar year earnings before interest and tax (EBIT) adjusted of $7.0 billion
Material Weakness in Financial Reporting Eliminated

DETROIT – General Motors Company (NYSE: GM) today announced its calendar year 2010 results marked by $4.7 billion of net income attributable to common stockholders for its first full year of operations.

Revenue for the calendar year was $135.6 billion. Automotive cash flow from operating activities was $6.6 billion and automotive free cash flow was $2.4 billion, both reflecting the impact of a $4.0 billion voluntary cash contribution to the company’s U.S. pension plans.

“Last year was one of foundation building,” said Dan Akerson, chairman and chief executive officer. “Particularly pleasing was that we demonstrated GM’s ability to achieve sustainable profitability near the bottom of the U.S. industry cycle, with four consecutive profitable quarters.”

GM generated the following results:
Fourth Quarter ‘10 Calendar Year ‘10
Revenue (bils.) $36.9 $135.6
Net income attributable to common stockholders (bils.) $0.5 $4.7
- Adjustments and loss on preferred, included above (bils.) $(0.4) $(0.2)
Earnings per share on a fully diluted basis ($/share) $0.31 $2.89
- Adjustments and loss on preferred, included above ($/share) $(0.21) $(0.14)
Earnings before interest and tax (EBIT) adj. (bils.) $1.0 $7.0
Automotive net cash flow from operating activities (bils.) $(1.7) $6.6
Automotive free cash flow (bils.) $(2.8) $2.4
- Contribution to U.S. pension plans, included above (bils.) $(4.0) $(4.0)

GM North America (GMNA) had EBIT in the fourth quarter 2010 of $0.8 billion, up from a loss of $3.4 billion in the fourth quarter 2009. GM Europe (GME) had a loss before interest and taxes of $0.6 billion, an improvement from a loss of $0.8 billion in the same quarter a year ago. GM International Operations (GMIO) had EBIT of $0.3 billion, down from $0.4 billion in fourth quarter 2009. GM South America (GMSA) had EBIT of $0.2 billion for the fourth quarter, compared with $0.3 billion in the same quarter a year ago. GM began reporting GMSA results as an operating segment in the fourth quarter, and has revised the segment reporting for prior periods. Automotive net cash flow from operating activities for the fourth quarter was $(1.7) billion, which reflects a $4.0 billion voluntary cash contribution to the U.S. pension plans. After deducting $1.1 billion of capital expenditures, automotive free cash flow was $(2.8) billion.

As a result of GM’s 2010 financial performance, the company will pay profit sharing to approximately 45,000 eligible GM U.S. hourly employees, and approximately 3,000 eligible GM Components Holdings (GMCH) employees. The average payout per employee will be approximately $4,300 for GM employees and $3,200 for GMCH employees.

Wednesday, February 23, 2011

State of the Union February 23, 2011

Feb 23, 2011 online at www.uawlocal2250.com

Here are some excerpts from a first drive review of the Nissan NV from trucktrend.com We briefly drove a pre-production 2500 HD high-roof with the V-8. This combination is expected to be the volume seller (estimated price $33,000). There will be side and rear glass packages and a 12-passenger version coming in about a year, but our pre-production tester had no glass behind the A-pillar. It's longer than the comparable Sprinter, but the standard roof height is similar to that of the E-Series. There's a lot of room up front, thanks to the pickup-like nose. That pushes the engine forward, out of the passenger area. The downside? Not everyone is going to like the styling. There are some cool features in the cabin, such as the passenger seat that can fold flat and serve as a work area. There are also a lot of storage cubbies throughout, including several above the sun visors, like you would see in an RV.

Wards Auto also sampled the NV. Here are some comments: A person used to softer-riding passenger cars will find a commercial vehicle like the NV uninspiring, perhaps even uncivilized. Its suspension is characteristically stiff and acceleration poky. The NV’s tip-in (acceleration from a stop) is not feeble by any means, but a short test drive of a V-6Chevy Express exhibits quicker feedback. Cargo volume is ample, with 234.1 cu.-ft. (6.6 cu.-m) for standard-roof models (Chevy Express is 267.3 cu.ft. in regular wheelbase) and 323.1 cu.-ft. (9 cu.-m) with the high roof. But the Sprinter’s specs show it has more space. Optional creature comforts, part of a technology package, include Bluetooth hands-free dialing, XM satellite radio and navigation with a rear view monitor. It’s a nice add-on but looks quaint when compared with Ford’s optional Work Solutions package, which, albeit pricey, includes a $1,400 in-dash computer and wireless mouse and printer, with the ability to access files stored in a remote personal computer. The NV also offers nothing that approximates the Chevy Express’ Access package, with side panels that open up, eliminating the need to climb inside. Still, winning business from fleet companies familiar with the established players will not be easy. Perhaps that’s why Nissan expects 60% of sales to come from small-business/personal-use buyers.

America’s freedoms need strong unions to survive
By Bob King


Doing justice does not mean trying to reduce the wages, benefits and standard of living of all workers in America. Doing justice to me means that everyone has an equal opportunity, and if they make the individual decision to work hard and live by the rules, then they will be able to live a middle-class standard of living and retire with dignity and maintain their middle-class standard of living. There are strong forces in America that preach the vision of scarcity, the vision of division and the vision of fear. They try to convince us that we are not a country gifted with great abundance; they try to convince us that there is not enough abundance to go around, so we had better be jealous of anyone who has more than we do. We had better try to take away from someone who has more than us and bring them down to our level of scarcity rather than trying to bring ourselves (and everyone else) up to their level.

Doing justice means guaranteeing all workers the right to collectively sit down with their employer and bargain fair wages and benefits that allow them to have and maintain a decent middle-class standard of living. It means giving workers a real voice in decision making in building the best product or providing the best service. The First Amendment gives all Americans the right to freedom of speech and association. For workers, these First Amendment rights are the right to organize and bargain collectively with their employer. The exercise of these rights dramatically reduced poverty and the exploitation of workers in the United States and created a far greater sharing of the wealth of this country. The exercise of these rights built the great American middle class. The forces preaching scarcity, division and fear have been working successfully to destroy the American middle class. They want workers to have less and less so the wealthiest can have more and more.

We all have a choice to make. Do we want an America of scarcity, division and fear, or do we want an America of abundance, common good and deep caring about one another? The believers in scarcity, division and fear have been singling out groups of workers. First, it was textile workers, then electronic workers, steel workers, auto workers and manufacturing workers in general. Their newest target is public sector workers: police, fire, teachers and government workers. We all should support public workers in having a decent middle-class standard of living. To dismantle this standard of living is not doing justice and is harming everyone in society.

For America to be great, we need to rebuild the great American middle class. To rebuild the middle class, we need to strongly support workers' First Amendment rights and support all workers in the right to sit down and bargain fairly and responsibly with their employers. There cannot be a strong democracy without a strong middle class. There cannot be a strong middle class without strong unions.

Tuesday, February 22, 2011

State of the Union February 22, 2011

Feb 22, 2011 online at www.uawlocal2250.com

Reminder: If you, or any employee you know, have changed addresses recently you need to go to mysocrates (mygmportal.gm.com), go to "myServices" and click on the “personal” tab to update your information. This is the contact information the company will use for all correspondence, including recall of laid off or transferred members.

From FleetOwner: General Motors is planning to push hard alternative-fuel options and maintenance services for commercial fleets in 2011. The auto giant said it is building off growing sales to what had been a moribund market during the recent global economic downturn. In a conference call with reporters, Brian Small, gm of GM Fleet and Commercial Operations, said the company’s sales to commercial customers rose 11% in 2010 with continued growth expect in 2011, although sales to government fleets are expected to lag due to budgetary constraints. “We’re seeing fleets starting to reinvest in their vehicles in an expanding effort to replacing aging equipment,” Small said, pointing out that GM’s commercial sales jumped 41% in the fourth quarter last year after dipping 2% in the third quarter. In particular, GM reported that sales of cargo vans doubled in Jan. 2011 compared to figures posed in Jan. 2010. To capture more sales in the now-expanding commercial market, GM is rolling out new factory-installed alternative fuel options this year for its cutaway van chassis, along with a new maintenance service called FleetTrac, aimed at helping commercial customers schedule vehicle repairs at outside repair shops without using a fleet management firm. Available to fleets of all sizes, FleetTrac consolidates vehicle maintenance invoices, documents vehicle repair history and minimizes the process for repair authorization. Invoice details are delivered through a secure website and can be customized to fit any business structure.

GM is expected to report fourth quarter and full-year earnings this Thursday. Along with that could (should?) be the amount of profit sharing to be paid out. The Detroit Free Press is reporting that the average estimate of 18 analysts is $5.3 billion for the year. As Jonothan Oosting of Mlive.com wrote, “it's further proof that Sen. Mike Johanns (R-Nebraska) was wrong when he called GM "the worst investment you could possibly make."

State of the Union February 21, 2011

Feb 21, 2011 online at www.uawlocal2250.com

From Chairman Mike Bullock: Seven of the 24 members to be recalled for the partial crew on second shift in body shop will be coming back tomorrow. That will make the seniority date to hold the plant 6-19-2000. Also, the expansion of prime time vacation will result in the recall of all of our laid off traditional members as well as over 40 entry level members sooner than they otherwise would have been.

The sale of raffle tickets for the use of a VAP vehicle raised $2137 for this year’s Make-A-Wish dream!! Another great example of the generosity of this workforce! The winners, in order, are: Bobby Cox (chassis); Virgil Dohack (trim); Les Shelby (skilled trades); Rich Funken (skilled trades); Renee Watson (body); Susan Spillane (quality); and Juan Saldana (quality). There will be a bake sale Monday, Feb. 28 at the Suggestions office to raise money for this year’s dream.

From Automotive News: General Motors’ fleet business grew 21 percent in 2010 and will rise again this year, the head of GM's fleet sales said. Brian Small, general manager of GM Fleet and Commercial Operations, would not predict fleet sales growth for GM this year, but said he expects industrywide fleet sales to grow 8 to 10 percent in 2011. Fleet sales include sales to rental companies, commercial customers and government agencies. Last year fleet customers bought 28 percent of the 2.2 million vehicles GM sold, up from 25 percent of GM's 2.1 million sales in 2009, according to data compiled by the Automotive News Data Center.

From the Detroit News: Federal safety regulators have opened an investigation into nearly 44,000 Toyota Highlander hybrid vehicles over concerns their engines can stall and fail to restart. The National Highway Traffic Safety Administration said in a notice posted on its website Saturday that it had opened a preliminary investigation into 43,941 2006 Toyota Highland hybrid SUVs after receiving 32 complaints. NHTSA said 21 of the incidents occurred at speeds of 40 miles per hour or more; 26 reported that the vehicle could not be restarted or that it was towed to the dealership. Toyota has had other problems with engines stalling. In August, Toyota recalled 1.33 million 2005-2008 Corolla and Matrix vehicles in North America for stalled engines.

Thursday, February 17, 2011

State of the Union February 17, 2011

Feb 17, 2011 online at www.uawlocal2250.com

From Chairman Mike Bullock: The addition of a partial crew on 2nd shift body shop has generated returns of 30 of our members. 24 of these returns will come from lay off. The first twelve will be returned on March 7, everyone up to and including seniority date 12/18/2000. The next twelve will be returned March 14, everyone up to and including seniority date 6/2/2008 with the tiebreaker being OGM date of 6/24/85. Management will be calling and sending letters to all those affected next week. These returns dates and seniority dates are all tentative and could change. The remaining 6 will come from those members who transferred to either Fairfax or Ft. Wayne under the basic relocation package (stay 6 mos.), 4 will come from Fairfax with a seniority date greater than 9/22/99 and 2 will come from Ft. Wayne with a seniority date greater than 9/16/99. The 24 returning from lay off had exhausted their sub benefits and most had exhausted their insurance benefits. They are all anxious to return. The 6 returning from out of state will all be reuniting with their families. Most have been going back and forth between their homes and plants on weekends for the previous 16 months.

From the Detroit Free Press: Honda is recalling nearly 700,000 Fit, Freed and City compact cars around the world for a defective spring part that may cause the engine to stall. No accidents have been reported related to the problem, but at least 72 complaints were filed in Japan, and 29 abroad, Honda Motor Co. spokesman Tomohiro Okada said today. Recalled are 167,000 vehicles in Japan, 156,000 in China, and 233,000 in the rest of Asia, Tokyo-based Honda said. About 122,000 cars are being recalled in North America. The spring was placed improperly in a small box inside the engine, so that, in some cases, the problem could cause the engine to stall, Okada said.

From Automotive News: General Motors is recalling over 44,000 Cadillac CTS sedans for a flaw that could cause one of the rear wheels to become unstable. The recall affects CTS vehicles from the 2009 and 2010 model years. GM said it would begin to notify owners of the vehicles covered by the recall. Dealers will inspect vehicles under recall and replace a potentially faulty rear toe link. GM said it expects to have to replace the part on about one in 20 of the vehicles covered by the recall. The automaker said it knew of no injuries or fatalities caused by a failure of the faulty part. Here are some excerpts from an article on the CNNMoney website entitled, “How the middle class became the underclass”: Incomes for 90% of Americans have been stuck in neutral, and it's not just because of the Great Recession. Middle-class incomes have been stagnant for at least a generation, while the wealthiest tier has surged ahead at lightning speed. In 1988, the income of an average American taxpayer was $33,400, adjusted for inflation. Fast forward 20 years, and not much had changed: The average income was still just $33,000 in 2008, according to IRS data. Meanwhile, the richest 1% of Americans -- those making $380,000 or more -- have seen their incomes grow 33% over the last 20 years, leaving average Americans in the dust. Experts point to some of the usual suspects -- like technology and globalization -- to explain the widening gap between the haves and have-nots. But there's more to the story. One major pull on the working man was the decline of unions and other labor protections, said Bill Rodgers, a former chief economist for the Labor Department, now a professor at Rutgers University. Because of deals struck through collective bargaining, union workers have traditionally earned 15% to 20% more than their non-union counterparts, Rodgers said. But union membership has declined rapidly over the past 30 years. In 1983, union workers made up about 20% of the workforce. In 2010, they represented less than 12%.
"The erosion of collective bargaining is a key factor to explain why low-wage workers and middle income workers have seen their wages not stay up with inflation," Rodgers said. Without collective bargaining pushing up wages, especially for blue-collar work -- average incomes have stagnated.

Wednesday, February 16, 2011

State of the Union February 15, 2011

Feb 15, 2011 online at www.uawlocal2250.com

Reminder: The Election Committee election is today. Polls are open until 7 pm this evening at the Union Hall.

Union Meeting is tomorrow at 1 pm, 3 pm and 15 minutes after the longest first shift line time.

Raffle tickets are still being sold for the use of a VAP vehicle from Feb. 23 through Feb. 27. Tickets are $5 apiece or 3 for $10 and can be bought at Suggestions, Personnel or and VAP team member or PMN member. Proceeds will go to this year’s Make-A-Wish dream. Ticket sales will end this Friday, Feb. 18 and the drawing will be Monday, Feb. 21.

Nissan is revving up their marketing efforts for the NV full-size van. Wards Auto reports that Nissan is requiring 247 of its 1,058 U.S. dealers that have opted to sell the NV to meet a slew of prerequisites such as extended service hours, at least one 12,000 pound lift, a higher-than-average part-stocking level and priority service scheduling, in order to get the driver on his way as soon as possible. To get potential NV buyers into dealerships, Nissan – recognizing that people driving commercial vans spend a lot of time inside them – will advertise heavily on radio. The auto maker also is placing print ads in trade magazines, such as Plumbing Systems & Design and Builder, as well as in consumer magazines Entrepreneur, Smart Money and Fortune. NV buyers can design and submit a graphic for their van to Original Wraps via the dedicated website that’s been set up or opt for a no-charge upfit package. The latter includes shelving or a partition, or a partition and interior or exterior utility rack. Adrian Steel, in Adrian, MI, is Nissan’s partner for the no-charge upfit, which also can be configured via the dedicated website. Sales begin in March.

From Automotive News: Nissan Motor Corp.'s operating profits in North America slid 25 percent in the latest quarter despite a double-digit surge in new-car sales. Results were undercut by the Japanese yen's steady climb against the dollar and lower sales of returned leased vehicles in the United States. Operating profit fell to ¥48.9 billion, or about $599.7 million, in the fiscal third quarter ended Dec. 31, from $798.4 million a year earlier. North American sales, by contrast, climbed 21 percent to 310,430 vehicles in the period. In the United States, Nissan sold 234,869 units, 24 percent more than the year before.

Monday, February 14, 2011

State of the Union February 14, 2011

Feb 14, 2011 online at www.uawlocal2250.com

From Chairman Mike Bullock: Management has asked the union for a meeting at 2:30pm today to discuss the possibility of adding a 2nd shift partial crew to the body shop. These talks were initially held 6 months ago but management elected at that time not to proceed. There are many issues to be resolved before this could be implemented. More to follow. The shop committee was in Detroit, MI at the quarterly sub-council meetings of production and skilled trades. I will give a full report at the union meeting on Wednesday. The following is some of the info that came from these meetings: VP Joe Ashton said that an announcement of profit sharing will come today. He remarked several times that the amounts that have been rumored in the media was inaccurate, that the amount will “far exceed” what we received in 1999, which was $1775. It since has been announced the amount and the email is on the back. It will be paid on your weekly payroll check on March 25. It will be flat taxed at 20%. You had to have worked 1850 hours in 2010 for a full share and at least 1 week for a partial share. For those that have PSP accounts, the declaration that you previously made is still in effect, you will have until February 28 to change. It can be changed by going online at www.gmbenefits.comor calling 1-800-489-4646.

There are currently 51,166 union members working at GM facilities: 39,919 production and 9,895 skilled. If you know anyone who received a car voucher with their retirement attrition package and they have not used it, let them know that they expire at the end of February 2011.

This is how Short Work Week sub benefits were calculated for week ending February 6. All available hours for Monday, January 31, count towards the 40, along with 10.3 for Thursday and 10.3 Friday. Short Work Week makes up the rest.

Message from Joe Ashton and Cathy Clegg

Dear UAW-GM Team –

In 2010, we saw a lot of progress made by our company. During the year, we announced investments in 13 U.S. plants totaling more than $2.5 billion and we created or retained more than 4,500 jobs. We witnessed our company’s return to the New York Stock Exchange. We also saw products built by the UAW-GM team win awards for quality and steadily gain market share: the Buick LaCrosse, Chevy Traverse, Cadillac CTS Coupe, Chevy Silverado HD, Chevrolet Volt, Chevy Cruze and Chevy Suburban to name a few.

We all remember the extraordinary effort it took to help GM survive and recover from the global economic crisis. Restructuring our company and changing our business model was extremely difficult, but we are beginning to see that the hard work and dedication of this team is helping to create a healthier GM, which benefits employees, our customers and the many others who depend on our success.

Therefore, we are pleased to announce that our business results are expected to generate a profit-sharing payout of upwards of $4,000 per-employee for the GM plan, and $3,000 per-employee for the GM Component Holdings plan, as dictated by the formula in their respective national agreements. This payout is a good example of how we are sharing in the success of the New GM. The final average payout per-employee will be communicated during the earnings release in late February.

We know that 2011 is an important year for both the UAW and GM with contract talks approaching. We look forward to getting a contract that is beneficial to both employees and the company.

Thank you again for your efforts.

Cathy
Joe

State of the Union February 10, 2011

Feb 10, 2011 online at www.uawlocal2250.com

The Election Committee election will be held Tuesday, Feb. 15. Polls will be open from 5 am to 7 pm at the Union Hall. If a runoff is needed it will be held Tuesday, Feb. 22 from 5 am to 7 pm.

From the Wall Street Journal: Ford Motor Co. on Thursday said it would take a charge to its first-quarter earnings and use cash or shares to shave $3 billion in debts as the auto maker takes another step toward its goal of regaining an investment-grade credit rating. The conversion, scheduled for March 15, could lower the company's outstanding automotive debt to $16.1 billion while reducing its annual interest rate expense by $190 million, the company said. It spent $1.8 billion on interest expense last year. Ford's total automotive debt at the end of 2009, excluding Ford Motor Credit Co., was $34.3 billion. The auto maker has since taken steps including redemptions and restructuring to pare its debt, leaving it with an automotive debt of $19.1 billion at the end of 2010. By comparison, General Motors had $8.6 billion in outstanding debt as of Sept. 30.

Thursday, February 10, 2011

State of the Union February 10, 2011

Feb 10, 2011 online at www.uawlocal2250.com

Reminder: There is a Women’s Committee meeting and a Veteran’s Committee meeting today after first shift at the Union Hall. And remember, tomorrow is “White Shirt Day” so wear your white shirts to commemorate the first UAW contract with GM.

We have been informed by management that there will be no layoffs this Friday due to fluctuations in manpower.

Raffle tickets are still being sold for the use of a VAP vehicle from Feb. 23 through Feb. 27. Tickets are $5 apiece or 3 for $10 and can be bought at Suggestions, Personnel or and VAP team member or PMN member. Proceeds will go to this year’s Make-A-Wish dream.

You may have noticed some large numbers for the days supply of vans in the field. Overall field supplies are indeed up in total stock (+ 794) but net field stock is down. Within those numbers, the GMC cutaway has a 488 day supply, but this number is impacted by a near doubling of the number of those cutaways – from 789 to 1417 – as well as a slow month for that particular model ( 90 units). Marketing Manager Andrew Reyntjes said, “We know that some large GMC customer’s cutaways are having bodies fitted and we therefore expect a strong GMC Fleet delivery result in February as these bodies are fitted and officially recorded as deliveries for February.” Another oddity with this month’s numbers is GMC cargo vans. While net field stock is down 68 units, the days supply has gone from 75 to 111. This is once again due to a low month for that particular model. These are reasons why the days supply numbers are not the best indicator of field supplies for our van.

From Automotive News: The long-rumored high-performance Chevrolet Camaro -- wearing the ZL1 badge -- made its debut yesterday at the Chicago Auto Show. The Camaro ZL1 packs GM's supercharged 6.2-liter V-8, rated at 550 hp. It's mated to a six-speed manual transmission with dual-disc clutch system. Other goodies include a magnetic ride control system and a hood with carbon fiber vents. The ZL1 also marks the introduction of a new electric power steering system to the Camaro, Chevrolet said in a release. Development of the Camaro ZL1 will continue through 2011 with a launch intended for January 2012.

Wednesday, February 9, 2011

State of the Union February 9, 2011

Feb 9, 2011 online at www.uawlocal2250.com

February is Women’s Heart Health month. There is a Women’s Committee meeting Thursday, Feb. 10 after first shift at the Union Hall. There is also a Veteran’s Committee meeting Thursday, Feb. 10 after first shift at the Union Hall.

From the Education Committee: Let us not forget that this Friday, Feb. 11 is “White Shirt Day”. This is the day back in 1937 that GM and the UAW negotiated our first contract. Be sure to wear your white shirt or white T-shirt.

Reports of potential profit sharing payouts are sprouting up all over the media. The familiar “unnamed sources” are providing the information. The Wall Street Journal and Bloomberg reported $3000 or more. A Detroit Free Press article raised that to $3200. UAW Vice President Joe Ashton said yesterday that this year’s payment will “far exceed” any payment we have gotten before. GM spokeswoman Kim Carpentersaid the automaker has to complete its 2010 accounting before it can finalize its profit-sharing amount. Due to SEC regulations regarding “quiet periods” prior to earnings reports, no one can officially state the amount. We should get the official word next Monday, Feb. 14, and we will communicate the amount as soon as it is announced. We should also get word then about the possibility of putting any or all of the amount in your PSP.

There has been a lot of Toyota news lately. As most of you have already heard, the NHTSA was unable to find any evidence that electronics were at fault in sudden unintended acceleration events in Toyota vehicles. They continue to blame floor mats and faulty accelerator pedals. Earlier this week, Toyota reported quarterly operating profit that was down 48 % versus last year, even as other makers report improved earnings (Honda is expected to out earn Toyota for a third straight year and Nissan profits are up 78% and within spitting distance of the much larger Toyota). Once again the strong yen is a major culprit in falling earnings as Toyota imports far more vehicles into the U.S. than either Honda or Nissan. With each one yen of appreciation Toyota loses over $350 million. They are using a target of 86 yen per dollar, even though it is trading at 82 and has gotten as strong as 80. And one more thing – almost three-fourths of Toyota’s earnings are coming from the finance side…

Tuesday, February 8, 2011

State of the Union February 9, 2011

Feb 8, 2011 online at www.uawlocal2250.com

There is a Veteran’s Committee meeting Thursday, Feb. 10 after first shift at the Union Hall.

The Vehicle Advocate Program (VAP) starts tomorrow. If you were drawn to drive a vehicle, you need to go to the main security gate after your shift. They will have the vehicle pass and the keys to your vehicle. You will need to write the beginning and ending mileage on the vehicle pass form and you are encouraged to fill out the survey. When you return the vehicle it should be full of gas and as clean as can be expected. Then return the keys and the vehicle pass to main security. Even though drivers will have the vehicles multiple days, they need to return the keys every day as there are drive events scheduled during the day.

Reminder: Raffle tickets for the VAP vehicles from Feb. 23 – 27 are on sale and available from any VAP team member, PMN member or at Suggestion, Benefits or Personnel. Tickets are $5 apiece or 3 for $10 and the proceeds will go to this year’s Make-A-Wish dream.

From the Detroit News: General Motors Co.'s hourly workers can expect some of the largest profit-sharing checks ever, when the automaker pays bonuses for the money earned in 2010, a top union official said Monday. United AutoWorkers' Vice President Joe Ashton, who oversees the union's labor relations with GM, said the bonuses are likely to top the average $1,775 workers got for 1999, the company's biggest payout to date. "I would think so," he said. The union's leadership should get an exact amount around Feb.14, Ashton said, when the automaker is required by the UAW contract to report a figure to its top officials. GM officials will announce the final figure to rank-and-file workers separately. GM hasn't set a date for the announcement. "We don't have an exact number yet," said Ashton, speaking at an event held for U.S. Labor Secretary Hilda Solis at GM's Detroit Hamtramck plant. But when it's announced, it "will be one of the bigger ones, I'm sure." GM could top off the bonuses with incentive pay not required by the contract, but Ashton declined to say if that's been decided. "We've had conversations with GM, and I'm sure GM is looking at any opportunity to reward their workers," he said. The size of the bonuses, Ashton noted, could "set the tone" for the contract talks that begin this summer. The contract expires in September.

Here is the January sales report from Marketing Manager Andrew Reyntjes:
It is worth noting that this was our best G-Van January since 2008. We are also showing a dramatic 83.5% volume increase vs last January and more importantly a share increase of 7.58% vs our performance in January of 2010. Our segment share is currently at just over 40% so we are gaining ground on Ford. With two main players in the segment share swings are more volatile and given the fact that this is a strong commercial fleet vehicle a large delivery to a big customer can swing share results substantially. To this end we are going to be paying a lot of attention to large profitable commercial fleet customers this year and do whatever we can to win their business. As we enter 2011 we are going to be facing a new competitive entry. Nissan is launching its NPV van. Nissan is entering the commercial space with this entry. While not as capable as our offering in many areas it is new, with a fresh design, has a high roof and will have significant resources put behind it as Nissan breaks into the commercial business. In this month’s sales reporting presentation I have included pictures of a Nissan van that was on display at one of our largest customer's annual convention. The customer, Belron/Safelite, is a large volume customer and we work very hard to keep them happy whenever we can. Unfortunately we are not yet able to offer rear backup cameras or sensors on our G-van. While it is in the GM plan until 2013 or 2014 Nissan has it now and is exploiting this competitive advantage as it tries to break its way into the market. We need to be very careful and do whatever we can to prevent the defection of key commercial customers to Nissan.
In 2011 we have identified some areas of opportunity to increase our sales and share in the commercial passenger van market. Working with our Engineering partners we are hopeful of timely implementation of a running board solution and we are looking forward to leveraging our relationship with NHTSA to overturn a stigma on 15 Passenger vans that has been adopted from a NHTSA white paper on an unsafe competitive vehicle from a decade ago. Both of these initiatives will help us capture customers in the van pool, hospital, hospitality, residential care, ground transportation, family services, school & university, elderly care and municipal transport vocations. We are currently not performing very well in these vocations.
Continuing in 2011 will be our grassroots promotions aimed at small and medium businesses, as we create photographic and video assets we will utilize them internally but also offer them as a goodwill gesture to our commercial customers and dealers who may then use them in their advertising. We are continuing to push to include the Express with Chevrolet divisional incentives, promotions and advertising. Wherever possible we will involve our GM Media team. GM Media and Communications will be a valuable partner as we try to raise brand awareness and opinion. We will utilize them as we launch CNG, make use of our assets at trade shows, promotional and community events and for any awards such as our 2010 IntelliChoice Full-Size Van Best overall value award for the Express 1500.

Thursday, February 3, 2011

State of the Union February 3, 2011

Feb 3, 2011 online at www.uawlocal2250.com

From Chairman Mike Bullock: Welcome back brothers and sisters. The last two days have seen unprecedented weather in our area. A decision was made to cancel production Tuesday and Wednesday to ensure the safety of the employees of Wentzville Assembly Center. To understand the severity of the situation, I-70 was closed on Tuesday from Wentzville to Kansas City. There were 9 General Motors facilities closed because of this storm. Section 12 of the Memorandum of Understanding on Overtime is as follows: “The provisions of this Memorandum of Understanding that limit or restrict the right of Management to require employees to work daily overtime or Saturdays or Sundays shall be suspended in any plant whose operations are interrupted by emergency situations, such as single breakdowns of four hours or more, government mandated work, power shortages, strike, fire, tornado, flood or acts of God, for a period of time necessary to overcome such emergencies.”
Management has informed the union that the production lost on Tuesday February 1 will be made up on Friday February 4. Short work week benefits will be paid to all eligible employees, I.E. those employees working less than 40 hours for this week, production and skilled.

Production lost on Wednesday, February 2 will be made up on Friday, February 25 instead of this Saturday, February 5. The closing of Wentzville Assembly Center for the last two days because of weather was a first in our history. I hope everyone was able to enjoy the two days with their families and loved ones.
In solidarity,
Mike

The winners of the VAP (overnight drive) program have been selected:

David Lee/ 25-1 Larry Boutin/ 50-1
John Etherton/ 25-1 Willie Ivy/ 11-1
Lori Reed/ 90-1 John Langford/ 25-1
Jerry Bizell/ 50-1 Bruce Burrows/ 44-2
M.V. Weber/ 50-1 Kelly Peters/ 42-1
Terry Huxel/ 25-1 Dale Meyer/ 25-1
Pam Emery/ 19-1 Larry Nettles/ 25-1
Roger Spradley/ 19-1 Willie Gates/ 19-1
Ron Vanderbos/ 11-1 Rich Lovell/ 25-1
Jim Hislope/ 19-1 Angela Harper/ 15-1
Mike O’Heron/ 19-1 William Smith/ 44-2
Achim Fisher/ 27-1 Regan Brand/ 25-1
Philip White/ 50-1 Tom Larko/ 40-2
John Weber/ 45-3 Mario Ammons/ 19-1
Steve Thomas/ 25-1 Jeff Futhey/ 25-1
Dirk Sutton/ 79-1 Rodney Thompson/ 50-1
Rowena Dowell/ 11-1 B.J. Brown/ 25-1
Robert Becker/ 25-1 William Chancellor/ 40-1
Dennis Boyet/ 44-1 Jacqueline Bass/ 19-1
Gary Williams/ 50-1 Aaron Umbach/ 19-1
Ralph Sharp/ 45-3 Dennis Streibel/ 45-3
Leo Yeakey/ 40-1 Tommy Spraggins/ 19-1
Cliff Hodge/ 40-2 Robert Dunston/ 44-1
Tim Wakeland/ 40-2 Rich Sommer/ 50-1
Debra Buchanan/ 25-1 Steve Rae/ 46-1
Michelle Rodamaker/ 11-1 Renee Wright/ 40-1
Valencia Tiggs-Watson/ 11-1 Cindy Sloan/ 15-1
Dave Sherry/ 03-1 Robert Baltimore/ 25-1
Jim Miller/ 19-1 Bey-Miller Bey/ 25-1
David Smith/ 40-2 Gary Shockley/ 19-1
Robert Hiatt/ 45-2 Kevin Dhur/ 25-1
Dave Tolbert/ 25-1

The drive schedule will be posted in the Cafeteria. Starting today, the winners can go to Suggestions to sign up (you will need your driver’s license to sign up). There will be a sign-up meeting Monday, Feb. 7 after first shift for those of you who have not signed up by then (bring driver’s license) and the program will kick off Wednesday, Feb. 9. Tickets are now available for sale to drive one of the vehicles from 2/23 through 2/27. They are $5 apiece or 3 for $10 and can be bought from any VAP team member, PMN members, Personnel or Suggestions. Proceeds will go for this year’s Make-A-Wish dream.