Thursday, May 26, 2011

State of the Union May 25, 2011

May 25, 2011 oline at www.uawlocal2250.com


General Motors is adding two shifts and about 2,500 hourly and salaried jobs at the Detroit-Hamtramck assembly plant to build the new Chevrolet Malibu mid-size sedan and the next-generation Impala large sedan alongside the Chevrolet Volt and Opel Ampera electric cars. GM on Wednesday announced the additional shifts and a $69 million investment in tooling and equipment to support the next-generation Impala. In April 2010, GM announced a $121 million investment to support Malibu production. “Filling this plant with new work is very satisfying because GM is dedicated to helping rebuild this city,” GM North America President Mark Reuss said at the plant Wednesday. “We are confident in the flexibility of the plant, the excellence of our workers and the great cars assembled here.” Joe Ashton, UAW vice president-GM Department, said “Given the competitive nature of the auto industry in the United States, the bar for success is placed very high. The members of UAW Local 22 soar over the bar every day by demonstrating their flexibility, hard work, and their intense focus on the customer. This workforce understands that meeting our diverse and sophisticated customers’ need for high-quality and reliable transportation is our most important task.”

From USA Today: Nearly six of 10 Americans — 57% — say they won't buy an all-electric car no matter the price of gas, according to a USA TODAY/Gallup Poll. That's a stiff headwind just as automakers are developing electrics to help meet tighter federal rules that could require their fleets to average as high as 62 miles per gallon in 2025. And President Obama has set a goal of a million electric vehicles in use in the U.S. by 2015. The anti-electric sentiment unmasked by the poll shows that pure electrics — defined in the poll question as "an electric car that you could only drive for a limited number of miles at one time" — could have trouble getting a foothold in the U.S. Nissan (ever in denial) interprets the poll numbers as a good sign, pointing out that "as many as 40% are considering driving electric vehicles." Researcher J.D. Power and Associates projects sales of pure electrics this year will be 10,727, rising to 95,939 in 2015. Industry estimates for total 2011 light-vehicle sales are in the 13 million range, rising to about 14 million by 2015.

From the Detroit News: The Obama administration unveiled revamped fuel economy labels today — including new ratings for electric vehicles — but dropped a proposal to assign "A+" through "D" grades for vehicle efficiency. The decision — announced this morning by the administration — is a win for automakers that have lobbied against the letter grades, worried that it would have deterred customers from buying larger vehicles that got poor grades. The new labels — required by a 2007 energy law and jointly revised by the Environmental Protection Agency and the National Highway Traffic Safety Administration — will take effect with the 2013 model year. The new label retain the traditional focus on miles per gallon and annual fuel costs, while updating the overall design and adding required new comparison information on fuel economy and emissions. The new labels have some new features, including a QR Code that will allow users of smartphones to access online information about how various models compare on fuel economy. Consumers will be to enter information about their commutes and driving behavior to get a more precise estimate of fuel costs. (Below is an example label from a Ford F150 pickup with a 3.7 liter V6)

State of the Union May 26, 2011

May 26, 2011 online at www.uawlocal2250.com


From Chairman Mike Bullock: Unfortunately there will be extra overtime to make up the lost jobs due to the 10-hour body shop breakdown Monday. The Memorandum of Understanding on Overtime (page 243 of the National Agreement), paragraph 12, Emergencies, reads, “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…” The lost production – 80 units – will be made up off of K-line. On a positive note, welcome back to 4 members recalled today. The new seniority date to hold the plant is 7-14-2008 with a last four of 6050. Also, Friday is a VR blackout day and Monday is the holiday qualifying day and a VR blackout day.

From the Chaplaincy Committee: The 11th Annual Blessing of the Bikes will be today 15 minutes after the longest first shift line time at the Arch in front of the plant. You don’t need your bikes to attend. Also there is a memorial service today at lunch for Duane “Cadillac” Anderson in stamping at the bleachers, column V-8.

Resumes for the 2011 UAW-LUPA Communications Conference at Black Lake are being accepted at the Union Hall through next Friday. The conference runs from Sunday, June 12 through Friday, June 17. Applicants should have computer and writing skills as one of the main tasks will be running the Local 2250 website.

GM has issued a media advisory, “General Motors and United Auto Workers leaders will make a positive news announcement on Thursday the Arlington Assembly Plant in Texas.” The Detroit Free Press is reporting that an investment will be announced that will add 110 jobs.

From Bloomberg: General Motors’ plan to build the Chevrolet Impala in a Michigan plant next year “creates a sense of nervousness” for the Ontario factory that makes the sedan now, the Canadian Auto Workers’ leader said. Workers at the Oshawa, Ontario, factory don’t know what the consequences will be from GM’s announcement today that it will spend $69 million and create 2,500 jobs at the Detroit-Hamtramck plant to add production of the Impala and Chevrolet Malibu, CAW President Ken Lewenza said today in a telephone interview. “It creates a sense of nervousness because you need the market to substantiate two facilities building the same vehicle,” he said. “If the market isn’t there, one would have to take a look and question GM’s decision when they already had the investment in the Oshawa facility.” Jason Easton, a spokesman for Detroit-based GM, said in response to Lewenza’s comments, “We have made public Canadian production commitments and fully intend to meet those targets.” The company has said annual output in Canada will be at least 16 percent of GM’s total North American production and will be equal to 19 percent of what it builds in the U.S.

From Reuters: Volkswagen AG has opened a U.S. assembly plant that boasts ultra-low labor costs, but General Motors and United Auto Workers officials do not see it affecting this summer's labor talks. "I'm not sure there's any impact," GM North American President Mark Reuss said of the lower wages at the VW plant. "The partnership we have with Joe Ashton and Bob King is to be competitive in our workforce in these plants in the United States and North America," he added, referring respectively to the head of the UAW's GM department and the union president. Reuss told assembled workers that GM was investing in the company's relationship with the UAW as it heads into the talks for a new labor deal. On Wednesday, Ashton said hourly workers earning second-tier wages make up only 3 percent of the Big Three U.S. automakers' workforce and had become an "obsession" for many. "This will be just like any other normal set of negotiations," Ashton said. "GM, Ford and Chrysler were very profitable this year with their labor costs. "People are starting to realize, especially in this country, how productive the Big Three auto workers are." While agreeing that the share of workers being paid second-tier wages will rise as U.S. automakers add jobs, Ashton said there are still some workers on layoff who, when recalled, will make the higher, traditional wages. He acknowledged the U.S. automakers need the second tier to be competitive. Moving workers earning the lower wages up to a higher level will be discussed during the contract talks, but agreeing to cut wages further is not on the union's agenda, Ashton said. The auto industry helped build the U.S. middle class, and $14 an hour is not a middle-class wage, Ashton said. "We're not looking to make the plants uncompetitive, but we're looking (for) people to make a decent wage, and that will be part of our negotiations," he said. "I think $13.87 an hour, you can apply for food stamps."

Wednesday, May 25, 2011

State of the Union May 24, 2011

May 24, 2011 online at www.uawlocal2250.com


Recently there have been several instances where eligible employees/retirees have been unable to get their employee discount for a new vehicle purchase. If that has happened to you or anyone you know, you can see Robyn Bohn in personnel or call her at x2124 to get reinstated. Also, a recent audit of the Bommarito South dealership has generated letters from GM to customers using the employee discount informing them they have violated the rules of the program and are subject to penalty and suspension from the program. These notices are not accurate and correction letters should be forthcoming. The misunderstanding was apparently due to a free service offered by the dealer. Here is what the rules state: “Participants shall not solicit or accept money or discounts from dealers, other persons or other business entities, except GM sponsored incentives, in connection with the sale of vehicles under The Programs. At no time should a Participant accept payment or other consideration from dealers for referrals. Participants may accept inducements of nominal value, up to $50, provided the inducements are offered to the general public and are noncash in nature, such as a free first oil change. This prohibition does not apply to a fuel fill if provided by the dealer at the time of delivery.” If you have any issues with new vehicle purchases you should always call 1-800-235-4646.

From TruckTrend: Cummins appears to be in the advanced stages of developing a four-cylinder diesel engine that could potentially be offered in trucks sold in the U.S. In January 2010, the DOE provided Cummins with $15 million to help fund development of an efficient diesel for light-truck use. Cummins began work last September with a goal to produce a diesel engine that would nearly double the efficiency of a Nissan Titan equipped with the current gasoline 5.6L V8 engine while not exceeding strict Tier 2 Bin 2 emissions standards. Cummins hopes to achieve 28 mpg combined with the new engine. A two-wheel drive Titan is currently rated at 15 mpg combined city and highway. The prototype engine – likely based on the European market Cummins ISF2.8 – produced 350 lb-feet of torque during a recent dyno test. Cummins has set the final target output at 220 hp and 380 lb-ft of torque. The Titan's V8 puts out a bit more (317 hp and 385 lb-ft of torque).

Monday, May 23, 2011

State of the Union May 23, 2010

May 23, 2011 online at www.uawlocal2250.com

There are just 6 working days left in May and the canned food drive has barely gotten started. Containers are at the entrances for your donations. You can also donate money to Wanda Richard, Mike Bridgins, Tina Hayes or any other Community Services committee member. There is still time to make this a success and help those less fortunate than us as well as those who have sudden needs arise – like tornado victims.

From the Wall Street Journal: Volkswagen AG on Tuesday will celebrate the opening of a new Tennessee auto plant that gives the German auto maker much lower U.S. labor costs than not only its Detroit rivals but its Japanese competitors on American soil. Located near Chattanooga, Tenn., the plant will pay starting workers about $27 an hour in wages and benefits, according to estimates by industry analysts. That's roughly half the $52 an hour cost of labor at the Detroit Three auto makers and some non-union U.S. plants owned by Toyota Motor Corp. and Honda Motor Co. It comes as Korea's Hyundai Motor Co. and Kia Motors Corp., whose Alabama and Georgia plant labor costs are similar to VW's, are gaining share against Detroit and Tokyo rivals. Over the next three years, VW is expected to boost the average worker's wage from $14.50 to $19.50, pushing up the total cost for a worker to roughly $38 an hour, according to the Center for Automotive Research in Ann Arbor, Michigan.

From the New York Times: The average price for a new car in the United States is edging toward $30,000, as automakers remain stingy with discounts and there just are not enough of the most popular vehicles available. Though the average price remains below historic highs when adjusted for inflation, nominally it has never been so high, according to the auto-research site TrueCar.com. That concerns some car company executives, who fear that the industry’s recent comeback could be stalled if buyers start experiencing sticker shock. And early sales data for this month are not encouraging: Retail sales of new vehicles are projected to total about 850,000 in May, according to J. D. Power & Associates. That translates to an annual seasonally adjusted selling rate of about 9.6 million units, a significant drop-off from the 10.7 million rate achieved from January through April. The data exclude sales to rental car and other fleets.

“You’ve got to figure out that sweet spot where you offer just enough incentives to get people to buy your cars without sacrificing profitability,” said Jesse Toprak, vice president of industry trends at TrueCar. The average transaction price for a new vehicle in the United States, including rebates and other incentives, reached $29,602 in April, according to TrueCar.com. That figure represented an increase of $324 over March. But automakers are not necessarily getting greedy, industry analysts said. Some of the increases are going toward covering higher material costs, and the companies are also taking advantage of strong demand. General Motors, for example, is running short on supply of its Chevrolet Cruze compact car, and the Ford Motor Company is low on inventories of its Focus sedan and Explorer S.U.V. Some of the biggest year-over-year price increases are found on revamped, hot-selling models like Chrysler’s Jeep Grand Cherokee and Honda’s Odyssey minivan. “The pricing is more of a symptom of lack of supply than anything else,” said Jim Farley, Ford’s head of global sales marketing. “But it is affecting the industry’s volumes.” Ford and Toyota announced across-the-board price increases this year on their 2011 models. Ford said it would raise prices by an average of $117, or 0.4 percent, while Toyota said it would lift prices by about 1.7 percent on many of its Toyota, Lexus and Scion models. G.M. has said it will charge more for many of its vehicles, by an average of $123. But the increases are only part of the equation. Overall discounts and sales incentives fell to their lowest levels in five years in April, according to the automotive site Edmunds.com. Incentives averaged about $2,320 per vehicle in April, a $370 reduction from the period a year earlier. Some of the reduction is attributed to sales programs that expired and were not renewed. Japanese carmakers have also pulled back incentives because of the earthquake-related shortages, and the American companies have followed suit.

Thursday, May 19, 2011

State of the Union May 19, 2011

May 19, 2011 online at www.uawlocal2250.com

Attention Veterans: There will be a Veterans Benefit Fair this Saturday from 9 am to 1 pm at the St. Peters City Centre. Representatives will be there to talk about veteran’s benefits, health screenings, job searchhttp://www.blogger.com/img/blank.gif assistance, social security and legal assistance among other things. There will also be military displays, family activities and refreshments.

GM Press release: General Motors’ Detroit-Hamtramck Assembly plant, home of the Chevrolet Volt, will close for four weeks beginning in June for planned upgrades to prepare for a significant increase in the rate of Volt production, along with assembly of the 2013 Chevrolet Malibu midsize sedan. “The Volt will be available to customers nationwide by the end of 2011,” said Cristi Landy, director of Chevrolet Volt Marketing. “By taking the time to reconfigure the plant, we will be better able to meet the tremendous consumer demand.” As a result of the plant upgrades, planned Volt and Opel Ampera production capacity this year will increase to 16,000 units, including exports and a fleet of several hundred demonstration units sent to U.S. dealers. In 2012, global production capacity is expected to be 60,000 vehicles with an estimated 45,000 to be delivered in the United States. During the four-week shutdown the plant will complete some pre-scheduled upgrades, including the installation of new tools, equipment and overhead conveyor systems throughout the facility. The plant is running on one shift but soon will stop building the Buick Lucerne and Cadillac DTS — two models GM is retiring. It employs about 958 hourly and 159 salaried people. Workers will be laid off during the shutdown, said GM spokesman Chris Lee.

From Automotive News: Japanese automakers and suppliers have collectively agreed to work on weekends and rest instead on Thursdays and Fridays during the peak power consumption months in the summer, an industry group said today. The extraordinary measure would be taken for three months from the first week of July to September at factories nationwide to ease the burden on the power grid on weekdays, the Japan Automobile Manufacturers Association said. Chubu Electric Power Co., which supplies electricity to 12 Toyota factories in Aichi prefecture, decided earlier this month to shut a nuclear plant in Shizuoka prefecture west of Tokyo. Prime Minister Naoto Kan requested the shutdown until the plant’s tsunami defenses are improved, citing a government study that showed an 87 percent likelihood of an 8-magnitude quake striking the area within 30 years.

Motor Trend blogger Scott Evans took his turn with the Nissan Leaf but tried a little different approach. Being an “apartment dweller” he set out to see if the Leaf could provide reliable transportation for his work week commute to the office – a mere 6 miles away – without plugging the car in. With an estimated range of 85 miles indicated for the Leaf when he picked it up (and he saved 6 miles by driving to work in his pickup) there should be no problems right? Fast forward to Thursday morning: “I left home with only a third of my battery gauge remaining (four of 12 bars) and an estimated 37 miles of range left. The drive to work was perfectly routine and done in 5.4 miles, slightly further than the 32 miles of range remaining would indicate. My trip home was a bit more interesting, and where my experiment took a turn. I had to swing by the grocery store again since my trip earlier this week returned only beer and a candy bar. That added a few blocks to the trip and by the time I was home, my estimated range was down to 24 miles, several more than expected, and it was dropping fast. Thursday, as you know, was Cinco De Mayo and my wife and I made plans to go out for a bit of dinner and celebrating. By the time I found parking, my estimated range was down to 18 miles and it was blinking to let me know I was living dangerously. At this point, I was getting a little nervous. I needed to use the headlights on the way home and the range was dropping quickly. When we left the restaurant, we got our first audible warning that the charge was getting low and advising us to find a plug. Warning messages also popped up on the screen in the gauge cluster and the nav/radio screen and offered to locate the nearest plug for us. We declined and headed home. By the time we got there, the estimated range was down to nine miles, far more than the actual distance traveled. The situation looked grim the next morning. The Leaf doubled up the audible warnings, advising that the battery level was both “low” and “very low” and again offering to find the nearest charging station. Short of running an extension cord out the window of my apartment, my options consisted of the airport or the office. Making the decision harder was the fact that my estimated range was now reading “—“ and the battery gauge was in the red zone with only two bars left. At the same time, I’d picked up three warning lights on the dash, a yellow triangle with an exclamation point near the speedometer, a yellow icon showing a gas pump with an extension cord hanging off it in the center of the main gauge cluster and a similar icon with an arrow next to the range indicator. I was not feeling confident. With a gentle touch of the throttle and the climate control and stereo off, I rolled out. I lost one of my remaining two bars of battery power and the “—“ readout began flashing. Less than a mile from the office, I lost the last bar. But I made it. (And you thought he was going to be stranded. This is the very definition of “range anxiety”. Mr. Evans travelled 67.6 miles total and averaged 20.1 mph while falling woefully short of the 85 miles he was supposed to get.)

Wednesday, May 18, 2011

State of the Union May 18, 2011

May 17, 2011 online at www.uawlocal2250.com
•    Union meeting is this Wednesday, May 18 at 1 pm, 3 pm and 15 minutes after the longest first shift line time. There will be votes on three by-laws changes at this month’s meeting.
•    From Automotive News: Almost 200,000 U.S. customers looking to buy new vehicles are "up for grabs" because of parts shortages caused by the March 11 earthquake and tsunami in Japan, according to a new report for A.T. Kearney. If full production at Japanese plants does not resume until the fourth quarter, the number of new vehicle sales up for grabs will rise to 328,000, or the equivalent of 2-1/2 points of market share, Cheng said. Of those, 263,000 would be with Toyota, Honda and Nissan. A.T. Kearney also expects U.S. new-vehicle sales to grow almost 14 percent to 13.2 million this year from 11.6 million in 2010, and reach 16 million in 2013. After that, growth will rise more slowly, hitting 16.7 million in 2016 (the average age of vehicles on the road is 10.4 years, a post-WWII high)
•    From the Detroit Free Press: Federal safety officials are investigating complaints that the Ford Freestyle crossover vehicle can lunge unexpectedly when driving at low speeds or idling. The National Highway Traffic Safety Administration says it has received 238 complaints involving 2005 through 2007 Freestyles. Eighteen minor crashes were reported with one minor injury. The agency said the seven-seat family haulers can lunge up to 10 feet when the driver's foot is not on the accelerator or firmly on the brakes. Incidents of brief acceleration have been reported in both forward and reverse gears, NHTSA said.
•    From the Flint Journal: Construction on General Motors planned new $418-million paint facility is slated to begin as soon as October, according to city documents. The proposed building would be constructed adjacent to the Flint Truck Assembly plant at the Van Slyke Road Complex, where GM once proposed to build a new Chevrolet Volt engine plant. The Flint City Council is scheduled on Wednesday to consider changes to an existing redevelopment plan for the property.
continued on back:
•    Here are some details on the proposal, as outlined in city of Flint documents:
o The paint shop is expected to be fully operational in late 2013 or early 2014.
o The potential investment would be about $417.8 million:

- $112 million for building construction
- $6 million for building improvements
- $6.5 million for site improvements
- $293.3 million for machinery and equipment
o It would create an estimated 50 new jobs.
o Once completed, the project will be "GM's most modern paint facility," according to the proposal.
o The building would be approximately 850,000 square feet.
o The shop will allow workers to paint vehicles that come out of nearby Flint Truck Assembly.

Friday, May 13, 2011

State of the Union May 13, 2011

May 13, 2011 online at www.uawlocal2250.com
•From Chairman Mike Bullock: There will be 4 more members temporarily recalled Monday, May 16 to replace sick leaves.

•Regarding the headcount numbers published yesterday: The numbers were from the April report and have since changed and in fact change on nearly a daily basis. There was an omission of the stamping skilled trades from the plant total, which stands at 255.

•From Automotive News: Chrysler Group LLC is pulling ahead summer shutdowns at some factories and canceling overtime at a plant in Mexico to conserve parts from suppliers affected by the March earthquake in Japan. Chrysler's Toledo North Assembly Plant that builds Jeep Liberty and Dodge Nitro SUVs in Ohio will shut down during the weeks of June 20 and June 27 instead of during the week of July 11 and July 18, she said. The Toledo Supplier Park that produces Jeep Wranglers will shut down for the week of June 20 instead of the week of July 11, Tinson said. A factory that makes Ram 1500 and Dakota pickups in Warren, Mich., will be closed during the weeks of June 20 and June 27 instead of July 11 and July 18, she said. The assembly plant in Saltillo, Mexico, that makes Ram trucks will eliminate overtime scheduled for May 20, May 27, June 10 and June 24 instead of taking down time during the week of July 11, she said.

•Per a press release, General Motors will invest $109 million in its operations inFlint and Bay City, Mich., to support engine production for current and future fuel-efficient small cars produced for the U.S. market. The investment will protect or add 96 jobs at the two sites. “This additional GM investment in the Ecotec engine is a testament to all the UAW Local 599 members who have worked so hard to make the 1.4-liter engine America’s first choice,” said Terry Everman, chairman of UAW Local 599 at Flint Engine Operations. Of the $109 million, $84 million will be used at Flint to increase 1.4-liter engine capacity. Bay City’s investment of $25 million is for connecting rods and camshafts used in the engine. Said Todd McDaniel, chairman of UAW Local 362 in Bay City: "Once again General Motors has recognized the hard work and dedication of our work force at Bay City. With this most recent addition to our previous announcements, we are one step closer to filling our plant with work. I feel very confident that it is just a matter of time."

•Edmunds.com editor Warren Clarke was the latest victim of the Nissan Leaf. Here are some excerpts from his account of his experience: Friday evening. The car board comes around, so that the editors can each select a car for the weekend. I sign up for the Leaf -- I don't have a lot of driving planned, and figure the quiet weekend will be a good match for the Leaf's limited range. By the time Monday morning yawns and stretches, I've put 53 miles on the Leaf's odometer -- almost all of that from city driving. As I'm pulling out of the carport on the way to work, the Leaf's distance-to-empty (DTE) gauge is showing 13 miles. Thirteen miles. No cause for concern, I reason. After all, I live only seven miles away from the Edmunds nerve center. Should be able to get there with a few miles to spare…. I'm in "Eco" mode, driving like a Pasadena schoolteacher, and I'm almost there. The electric eagle has almost landed when I remember: Hey, on Monday mornings, each editor is expected to lather up the car that he or she borrowed over the weekend. I guess the detour adds no more than a mile or two to the journey, if that. By now, the DTE gauge has given up trying to make any predictions -- it's thrown its hands up in the air, offering this not-so-helpful estimate: "---". But I've still got one bar of electricity left on the charge gauge. Should I risk it? I decide to go for it. A few minutes later, the car is freshly washed. I start her up, pull out of the car wash, and get the message shown below (Very low battery. Would you like to search for a charging station?). Not very encouraging. But I'm almost there. Our office is only two miles from the car wash -- 1.74, to be exact. A couple moments later, I see it -- the flashing tortoise. The one you see in the Leaf when it's about to slash the speed and cut the power. The car slows down. After a block or so, the Leaf checks out, at 62.6 miles. I'm half a block from a major intersection. No nearby spots to push the car into -- nothing to do but call AAA and wait.

Wednesday, May 11, 2011

State of the Union May 11, 2011

May 11, 2011 online at www.uawlocal2250.com

From Chairman Mike Bullock: I want to thank everyone who supported me in my re-election. The turnout was outstanding with 92% of you returning to vote. I am honored to serve a second term as your chairman and I pledge my efforts to unifying your committee to work for you. I heard your concerns loud and clear and will continue our work toward the return of the second shift and landing the new product that will secure our future here. Together we will succeed. Once again, Thank You!

There will be a Veterans Committee and a Women’s Committee meeting this Thursday, May 12, at the Union Hall after first shift.

The Annie Malone Parade is this Sunday, May 15 at 1 pm. This year’s theme is “…more than a parade, we give HOPE TO CHILDREN AND FAMILIES”. The parade route starts at 20th & Market and heads east on Market to Broadway. Those who wish to participate must meet at the parking lot of Behlmann Buick, GMC at Hwy. 270 and McDonnell Blvd in St. Louis County NO LATER than 10:15 am. Vehicle decorating is between 11:30 am and 12 noon inside the staging area (admittance by sticker only) We will be in section A-2. There is only space for 25 participants so please arrive early to reserve a seat. For questions or detailed directions call Dan Williams at (314) 616-2271.

From Bloomberg: General Motors Co. (GM) will invest $2 billion in plants in eight U.S. states as it works to boost production and market share. GM said the rest of the investment, which would create or save 4,000 jobs at 17 facilities, depends on completing local tax deals and will be announced in the coming months. GM is growing less than two years after declaring bankruptcy in June 2009. The Detroit-based automaker’s U.S. market share increased to 19.6 percent through April from 18.7 percent in the same period last year, according to Autodata Corp., in Woodcliff Lake, New Jersey. “It’s not only good for GM, it’s good for the United States of America,” Chief Executive Officer Dan Akerson told workers today in Toledo. “We’re committed to investing in the manufacturing infrastructure of this country.”
GM’s investment during the next year will support more than 28,000 U.S. jobs when including indirect employment at suppliers and work created from those employees spending their earnings, according to the Center for Automotive Research. Those jobs will contribute almost $2.9 billion to U.S. gross domestic product, the Ann Arbor, Michigan-based research group said today in an e-mailed statement. The United Auto Workers union has 1,357 members on layoff waiting for jobs at GM, UAW Vice President Joe Ashton told reporters at the event. Akerson said that once those workers are recalled, GM will start hiring people to fill the remainder of the 4,000 jobs. The union will discuss bringing new products to plants in Janesville, Wisconsin; Shreveport, Louisiana, and Spring Hill Tennessee, all of which have either slowed output or been idled, Ashton said. ‘‘That will be discussed at the table,” Ashton said. “We’re hoping. It will depend on sales volume.” The UAW also will negotiate to get more cash put into a trust set up by GM to pay for retirees’ medical benefits, he said. GM, Ford Motor Co. and Chrysler Group LLC all have funds called Voluntary Employee Beneficiary Associations that are seeded with cash and securities to pay benefits. “I’m sure that will be part of the discussion,” he said.
•    Opinion writer E. J. Dionne recently wrote a piece defending the auto industry “bailout”. Here are some excerpts: Far too little attention has been paid to the success of the government’s rescue of the Detroit-based auto companies, and almost no attention has been paid to how completely and utterly wrong bailout opponents were when they insisted it was doomed to failure. “Having the federal government involved in every aspect of the private sector is very dangerous,” Rep. Dan Burton (R-Ind.) told Fox News in December 2008. “In the long term it could cause us to become a quasi-socialist country.” I don’t see any evidence that we have become a “quasi-socialist country,” just big profits. Rep. Lamar Smith (R-Tex.) called the bailout “the leading edge of the Obama administration’s war on capitalism,” while other members of Congress derided the president’s auto industry task force. “Of course we know that nobody on the task force has any experience in the auto business, and we heard at the hearing many of them don’t even own cars,” declaredRep. Louie Gohmert (R-Tex.) after a hearing on the bailout in May 2009. “And they’re dictating the auto industry for our future? What’s wrong with this picture?” What’s wrong, sorry to say, is that you won’t see a news conference where the bailout’s foes candidly acknowledge how mistaken they were.

State of the Union May 10, 2011

May 10, 2011 online at www.uawlocal2250.com

•Reminder from the CAP Committee: Run-off Electhttp://www.blogger.com/img/blank.gifion for Chairman - Vote Tuesday, May 10. Polls are open until 8 pm.

•The road construction starting today between 8 am and 8 pm on Highway A will involve removing sections of concrete along the highway and replacing them. It is scheduled to end Thursday if there are no weather interruptions. One lane will remain open at all times.

•There will be a Veterans Committee and a Women’s Committee meeting this Thursday, May 12, at the Union Hall after first shift.

•The Annie Malone Parade is this Sunday, May 15 at 1 pm. This year’s theme is “…more than a parade, we give HOPE TO CHILDREN AND FAMILIES”. The parade route starts at 20th & Market and heads east on Market to Broadway. Those who wish to participate must meet at the parking lot of Behlmann Buick, GMC at Hwy. 270 and McDonnell Blvd in St. Louis County NO LATER than 10:15 am. Vehicle decorating is between 11:30 am and 12 noon inside the staging area (admittance by sticker only) We will be in section A-2. There is only space for 25 participants so please arrive early to reserve a seat. For questions or detailed directions call Dan Williams at (314) 616-2271.

•From the Wall Street Journal: Three times before in the last seven years, Tina Shaw, a 35-year-old stay-at-home mom, bought cars from GM's now-defunct Saturn division. But when she shopped for a new ride a few months ago, the Ft. Worth, Texas, resident didn't bother checking out any GM models. Ms. Shaw is one of more than three million Americans who are driving vehicles produced by the three GM divisions that were shuttered in the auto maker's 2009 bankruptcy reorganization—Saturn, Pontiac and Hummer. GM is racing to hold onto those customers. So far this year, about 70% of customers who traded in a Pontiac this year replaced their car with a non-GM model; with Saturn that number rises to 71%. Ford, which killed its Mercury division last year, isn't doing any better. About 65% of the Mercury owners who have bought new cars this year have defected to auto makers other than Ford. In January and February, GM offered extra discounts of $1,000 to owners of its defunct-brands, putting more Pontiac and Saturn owners into other GM brands. Buyers who opted to stay with GM those months climbed, especially for Pontiac, which hung on to 57% of customers who traded in their vehicles, according to Edmunds.com.

•The UAW/GM Lifesteps consultant Cameron Russelburg is back this week (Wednesday and Thursday) to provide personal fitness and diet consultation or followup for those who met him last month. He will be in the fitness center if you want to walk up for a consultation.

•Here is the official press release from today’s announcement by GM regarding plant investments:
General Motors Co. announced Tuesday it will invest about $2 billion in U.S. assembly and component plants, creating or preserving more than 4,000 jobs at 17 facilities in eight states. “We are doing this because we are confident about demand for our vehicles and the economy,” GM Chairman and CEO Dan Akersonsaid during an event at the 54-year-old Toledo Transmission Plant. “This new investment is on top of $3.4 billion and more than 9,000 jobs that GM has added or saved since mid-2009.”
With Ohio Gov. John Kasich, U.S. Rep. Marcy Kaptur, D-Toledo, and Toledo Mayor Michael Bell in the audience, Akerson said GM will invest $204 million to retain about 250 jobs for an all-new, advanced 8-speed automatic transmission for future vehicles that offer customers improved fuel economy and outstanding performance. GM’s U.S. sales through the first four months of the year are up 24.8 percent over 2010, and the company last week reported its fifth-consecutive profitable quarter since emerging from bankruptcy reorganization in July 2009.

"The UAW's goal has been to return all laid-off workers to active status and see the company begin hiring again,” said Joe Ashton, UAW vice president – GM Department. “These announcements will create and retain thousands of jobs and bring General Motors back to full employment of our hourly workforce."

The first of the new investments -- $131 million and about 250 additional jobs in Bowling Green, Ky., -- was announced last week. Plant improvements and installation of new equipment to make the next generation Chevrolet Corvette will begin soon while the current-generation Corvette is assembled for at least the next two model years. Over the next few months, GM will make specific facility investment announcements dependent on successful completion of state and local incentives in some communities. According to the nonprofit Center for Automotive Research, the ripple effect of the planned investments would add almost $2.9 billion to the U.S. Gross Domestic Product and create or retain more than 28,000 jobs.

“If the market continues to recover, we are confident that GM will hire new workers to meet the strong demand for the products our UAW members build,” Ashton said. “I am proud of how our membership has worked hard to ensure the company's success."
Akerson said working in partnership with the UAW is essential to GM’s success. “Nobody builds ‘em more fantastic than you do,” Akerson told the employees in Toledo, where GM has had a presence since 1916. ”We need you and the rest of our teams at all our facilities to keep working hard and keep being the best.”

Tuesday, May 10, 2011

State of the Union May 9, 2011

May 9, 2011 online at www.uawlocal2250.com


Reminder from the CAP Committee: Run-off Election for Chairman - Vote Tuesday, May 10. Voting Hours 4:30 am – 8 pm. Second shift needs to vote before their shift or at lunch.... before 8 PM.

From the Tennesseean: The General Motors auto plant in Spring Hill has a good friend in GM North America President Mark Reuss, a Vanderbilt University engineering graduate who says Middle Tennessee will always occupy a warm place in his heart. But he’s a realist, too, and no matter how much he likes this area, Reuss won’t be restarting Spring Hill’s idled vehicle assembly line until there’s a solid business case to justify increasing capacity for making new cars, he said during a trip to Nashville last week. “We have a tremendous facility in Spring Hill, and I have always said it’s a jewel,” Reuss said in an interview with The Tennessean. But Reuss said the company needs to see a longer track record of sales growth. “We’re just not there yet,” he said. “The economy is the key. People are calling this the ‘jobless recovery,’ and there is a little bit to that. Now, the higher gas pricing makes (for) another element of instability, although it isn’t yet a crisis. The question is how fast is the recovery going to be, and how long can it be sustained?” GM has no plans to abandon the Spring Hill plant. The company still builds four-cylinder engines and key body panels for various vehicles there, and about 1,000 people continued to work there (516 are still laid off). But getting another entire vehicle to build there remains in the future, Reuss said. “As much as I love it down here, and love the plant and all that, I’m not going to do it too soon and be burned by it,” he said. “So, we’re going to do it at the right time. I would love to do it, and the union would love to do it, too. But we’ve got to be vigilant (about) our break-even and capacity plans.”

From Automotive News: Ford Motor Co. set to enter contract talks with the United Auto Workers, said its U.S. labor costs are now $8 an hour higher than the mostly nonunion U.S. factories of foreign automakers such as Hyundai Motor Co. Ford, on a website it posted last month, said it pays about $58 an hour in wages and benefits to its 40,600 U.S. hourly workers, $3 more than the automaker said last year. Ford's labor costs have risen, in part, because of the $5,000 profit sharing checks the automaker handed out to U.S. workers this year, said Marcey Evans, a company spokeswoman. "Profit sharing has been added to the amount and the $5,000 adds about $2 an hour to our labor costs," Evans said. "Without that, our labor costs are closer to $56 an hour."

From the Detroit News: Federal regulators have expanded an investigation into 2.7 million Ford F-150 pickups over complaints fuel tank straps have rusted and failed, putting vehicles at risk of a fire. In a notice posted on the National Highway Traffic Safety Administration website Sunday, the agency said it had upgraded its investigation into 2.7 million 1997-2001 F-150 pickups after reviewing about 300 complaints. NHTSA said there are two reports of fires. In one, leaking fuel ignited, but quickly burned out. In the other incident, Ford said "the leaking fuel ignited and the … fire destroyed the vehicle." No injuries have been reported. If the straps break, the tank might tilt, drop and hit the road, causing a fuel leak. The leaking gasoline can potentially cause a fire, NHTSA said.

Here are some excerpts from a Car and Driver review of the Nissan NV large van: “The surprises here are multiple: first, that Nissan chose to play in this game at all. The full-size-van market amounts to about 300,000 units in most years (although it dipped sharply in 2008 and ’09), and it’s dominated by Ford (about 50 percent) and General Motors (around 45 percent)…. Apparently, Nissan took that as a challenge. Another surprise is that Nissan chose to create a dedicated chassis for its new van…. Engine performance is pretty good for a vehicle in this size and weight class, and fuel economy is about what you’d expect. We logged 11 mpg during the van’s two-week stay—not impressive, but that did include almost 400 miles of towing to and from GingerMan Raceway in western Michigan….This van’s dynamics also are what you’d expect… but this isn’t the kind of rig you take to your weekend autocross. The steering is slow—4.0 turns lock-to-lock—and transient responses tend toward ponderous…The Nissan’s ride quality is surprisingly smooth for a big van with spring rates selected for heavy loads, and the NV is quiet at highway speeds, considering its cargo-space acoustics rival those of a railroad depot. The optional sound system is respectable for a vehicle of this type, and there’s an iPod jack, as well as a USB port. Nissan chose not to include a provision for wireless internet connectivity like the Ford Transit Connect does. On the other hand, the cavernous center console will swallow a laptop, files, and all sorts of other stuff that might be useful to a commercial-van driver. The as-tested total came to $33,270, more than $3000 cheaper than the most basic Sprinter’s price of entry…What we can say is that those who do opt for the NV will be very pleased with Nissan’s latest non sequitur.”

More Detroit News: The pace of new model introductions in the U.S. auto market is expected to pick up in the next three years, with General Motors Co. and FordMotor Co. taking a lead, according to a Bank of America-Merrill Lynch report. The Japanese automakers' product cycles, meanwhile, are converging to the industry average, suggesting their market share gains will slow down, the investment firm said in its annual "Car Wars" report. Between 2012 and 2015, GM and Ford will have the highest model replacement rates — 29 percent each, compared with 28 percent at Honda Motor Co. and 27 percent for Toyota Motor Corp. ChryslerGroup LLC lags with a 22 percent renewal rate. That compares with replacement rates of 12 percent to 14 percent for GM and Ford between 2001 and 2011, and 18 percent for Toyota and Honda, which have the freshest model lineups.

Monday, May 9, 2011

State of the Union May 6, 2011

May 6, 2011 online at www.uawlocal2250.com
•GM announced three recalls yesterday. One involved our van. The issue is possible brake fluid leaks on 8,723 2011 Chevrolet Express and GMC Savana vans per a GM statement. GM sahttp://www.blogger.com/img/blank.gifid of the total, 7,593 on the vans in the United States may be out of compliance with the applicable federal motor vehicle safety standard. No crashes or injuries are associated with this issue. The other recalls involve proper installation of the intermediate steering shaft that covers 154,112 Cruze models built in Lordstown, Ohio, and sold in the United States and Canada. There are 120,295 vehicles in that population with an automatic transmission that will be inspected for proper installation of the transmission shift linkage. Unsold vehicles on dealer lots also will be inspected. And finally, a nut on the windshield wiper motor crank arm on certain 2011 Chevrolet Colorado and GMC Canyon pickup trucks may not be tightened to specification. A loose nut could make the wipers inoperative, which could reduce driver visibility. A total of 6,303 vehicles are involved, including 4,674 in the United States. There are no known crashes or injuries. GM VP of Global Quality Terry Woychowski had this to say about the Cruze recall: “While there were very few incidents involving the Cruze, none are acceptable. We will do everything possible to give customers peace of mind about the quality of their vehicles.”

•GM announced it will invest $131 million in the Bowling Green Assembly plant to support production of the next generation Chevrolet Corvette, adding about 250 jobs. The plant in Bowling Green is scheduled to continue building the current generation Corvette for at least the next two model years, including the 2012 model year that begins this summer. During this period, the investment starts to take effect, preparing the facility for the next-generation Corvette. Nearly 400 production workers, represented by the UAW Local 2164, assemble these vehicles on a one-shift, 10-hour, Monday-Thursday production schedule. The plant employs many specialized operations, including unique hand-crafted techniques. The plant schedule is 79 units in a 10-hour shift.

•For the first time in several months, GM actually sold fewer vehicles in China than the U.S. Sales declined 4.6% to 203,367 as compared to 232,538 vehicles sold here. For the first four months this year GM has sold 888,950 vehicles in China and 825,083 in the U.S.


Revive middle class by taxing rich by UAW President Bob King
When I think of the middle class, what comes to mind isn't so much a particular income group, but a vision for our society and economy. A middle-class society isn't polarized between a handful of the very rich and a mass of the desperately poor, and its politics aren't driven by fear and selfishness. An economy that works for the middle class offers jobs for all who are able to work, with pay and benefits that support a decent standard of living now, a rising standard of living in the future and a secure retirement. An economy that works for the middle class takes care of those members of society who are unable to work. It provides quality public services — good schools for every child, access to parks and green spaces, clean air and water, affordable health care and arts and culture for all — and makes smart investments in the future. That's our vision, and we are proud of what our union has done to turn that vision into a reality. The American middle class was built by workers' struggles. It was expanded and made more inclusive by the struggles of the civil rights movement. UAW members played an important role in both struggles.
Unfortunately, our vision of a strong, expanding and inclusive middle class is under attack. It's under attack in state capitols and in Washington, where the budget proposal passed by House Republicans is an assault on working families, the elderly and the poor. Unbelievably, their proposal couples devastating cuts in Medicare for future retirees, food assistance for the poor and Pell grants for low-income college students with new tax breaks for the very rich.
Those cuts are as unnecessary as they are wrong. The list of profitable corporations that have whittled their U.S. tax bills down to little or nothing is long and shameful, but these corporate tax dodgers are just the tip of the iceberg.
In the 1950s, on average, corporate income taxes amounted to nearly 5 percent of our Gross Domestic Product. Last year, they came to just 1.3 percent. In an economy our size, that's a difference of hundreds of billions of dollars. Why, then, are we attacking teachers' pensions and cutting education funding for our children? Why are cuts in Head Start even on the table?
And why does our tax code treat income from buying and selling assets more favorably than income from working? The top rate on the wages of the highest earners is currently 35 percent (down from 39.6 percent in the 1990s). But, if you're really, really rich, chances are you make far more from investments than from your paycheck. In 2007, the 400 richest taxpayers (average income: $345 million) received just 6.5 percent of their income from wages. The bulk came from capital gains, taxed at a maximum rate of just 15 percent. If the capital gains on those 400 tax returns had been taxed at the 35 percent rate that applies to wage income, it would have brought in $18 billion in revenue. That's enough to provide Pell grants to more than 3 million students for college education. Rebuilding the middle class is all about priorities.

Tuesday, May 3, 2011

State of the Union May 3, 2011 Election Results

May 3, 2011 online at www.uawlocal2250.comhttp://www.blogger.com/img/blank.gif
•    From Chairman Mike Bullock: Thanks to everyone who came out to vote yesterday. There was an 89% turnout for active members and a record turnout for retirees. Congratulations to all the winners. There will be a runoff for chairman next Tuesday, May 10.(election results are on the back)
•    Here are the April sales numbers for the van segment:
2011 2010 Change Share
Ford Econoline 11,611 10,167 +14.2% 53.6%
GM 8,669 6,034 +38.3% 40.1%
Mercedes Sprinter 1,115 600 +85.8% 5.1%
Nissan NV 260 --- --- 1.2%
Ford Transit 2,268 2,229 +19.7%
•    From the International Union UAW: UAW President Bob King announced today the appointment of Mary Beth Cahill as director of the UAW Washington office and director of the UAW Community Action Program (CAP) with responsibility for the UAW's political program nationally. Cahill will also serve as a senior adviser to King. Cahill is one of the nation's top political strategists, serving as assistant to the president and director of the Office of Public Liaison in the Clinton White House, chief of staff for the late Sen. Edward M. Kennedy and campaign director for John Kerry's 2004 presidential campaign. "We are thrilled to have Mary Beth join the UAW leadership team especially in light of the difficult challenges ahead for our union," King said. "As we navigate the tough political environment in this era of attacks on American working families and the middle class, and head into national contract talks for the domestic automakers, I'm confident that she will help us elect officeholders who are allies in the battle to save the American middle class. And most importantly, she will help us move forward in achieving global social justice, rebuilding the U.S. middle class and building a global middle class. She is a renowned authority on women and politics and will bring a wealth of knowledge and experience to the union's political operations.” Cahill is a Massachusetts native and daughter of a UAW autoworker.

Election Results

President Van Simpson

Vice President Tom Bowman

Financial Secretary Bill Wright

Recording Secretary Bill “Toe” Loretto

Sergeant-at-Arms Terrance “Santa” Mosley

Trustees Wanda Richard,
“Sandy” Sandra W. Johnson,
Rick “Da Kid” Gotch

District 1 Committeeman Melvin Perry
Alternate Rick Visor

District 3 Committeeman Steve Williams
Alternate Dave Devine

District 5 Committeeman Alan Chambliss
Alternate “Big John” Langford

District 7 Committeeman Dale Averitt
Alternate Bob Warren

District 8 Committeeman Torkey E. Graham
Alternate Tim Wakeland

District 9 Committeeman Lou Jones
Alternate Michael “Big Z” Prescott

Run-off for Chairman Ernie Pace and Mike Bullock

State of the Union May 3, 2011

May 3, 2011 oline at www.uawlocal2250.com
•    From the Chaplaincy Committee: The 60th annual National Day of Prayer will be this Thursday, May 5. Services will be held at the flagpoles in the front of the plant at 5:30 am, lunchtime and 5:45 pm. All are welcome.
•    Ford is closing down its Windsor engine plant (V8 truck engines) this Friday and the week of June 6 because of tire shortages at assembly plants according to CAW Local 200 VP Marc Renaud. Last week both the Dearborn truck plant and the Avon Lake Econoline van plant were down but a Ford spokesperson would only say it was not earthquake related.
•    From Automotive News: Renesas Electronics Corp.'s sprawling Naka chip foundry in Japan is ground zero for the global shortage of automotive microcontrollers that has paralyzed assembly plants from Toyota City to Ohio. And despite working around the clock for a fix, full production is still months away. Naka will restart production of its critical 200-millimeter wafer on June 15. Those are the chips most often used in automotive components, and about 60 percent of Naka's output of these chips ends up in cars. But output will resume at only 3,000 wafers a month -- a fraction of the plant's pre-quake rate of 34,000 wafers a month. Test production began April 23. In the meantime, Renesas has shifted automotive microcontroller production from Naka to its Tsugaru plant in northern Japan and to an affiliate chip maker in Singapore. Testing at those sites began this month as well, and it may take at least a month for production to begin there.
•    Sales numbers for April are starting to come out. GM reported 232,538 total sales in April, a 27% increase versus April a year ago. Retail sales, those to individual customers, rose 25% versus last April with cars and crossovers up 49% and 28%, respectively. Total sales of GM passenger cars improved 50% during April, led by the sale of 25,160 Cruzes and 24,701 Chevrolet Malibus. The Chevrolet, GMC and Cadillac brands each set April total and retail sales records for crossover sales, driven by a 49% increase in combined retail sales by the Equinox, Terrain and SRX. Total combined sales of Chevrolet Silverado and Avalanche, and GMC Sierra increased 2%. Van sales totaled 8669, up 43.7% over last April. This is the biggest sales month since November 2008. More to come tomorrow.

Monday, May 2, 2011

State of the Union May 2, 2011

May 2, 2011 online at www.uawlocal2250.comhttp://www.blogger.com/img/blank.gif
•    From Chairman Mike Bullock: Welcome back to the 9 employees returning from lay off, glad to have you back. The new seniority date to hold the plant is 7-14-2008, last four of 2000. That leaves 62 members still laid off. About Friday: The Union never agreed with management that the 237 only pertained to the K-line number. It was and should have been by each zone/area. The Union is in the process of writing a group grievance for each affected area for this violation. The demand on each grievance will be that management comply with our contract and that each affected employee be made whole. We will process these grievances as expeditiously as possible.
•    Reminder: Tomorrow is election day. Polls are open from 4:30 am until 8 pm. Here is a breakdown of the 6 shop districts in the plant:
o Shop District 1, 1st shift 1st shift stamping and body shop
o Shop District 3, 1st shift 1st shift trim
o Shop District 5, 1st shift 1st shift chassis
o Shop District 7, 1st shift 1st shift skilled trades and paint
o Shop District 8, 2nd shift All employees on 2nd and 3rd shift
o Shop District 9, 1st shift 1st shift quality, material, final process
•    GM is beginning this week to staff the third shift at Flint Assembly (Chevy Silverado). Employees will be brought back in groups of 80 – 715 altogether – as the shift is scheduled to kick off August 7. The expectation is that these slots will be filled entirely with laid off workers. Local 598 Chairman Dana Rouse said that workers will be coming from 11 different plants. With the addition of this shift there will be around 3000 people working there.
•    From Automotive News: Chrysler Group -- the U.S. automaker that has survived two ownership changes and a U.S. bailout in the past four years -- today reported its first net profit since emerging from bankruptcy in June 2009. Chrysler posted net income of $116 million for the first quarter, compared with a net loss of $197 million a year earlier. Revenue jumped 35 percent to $13.1 billion as global vehicle sales increased 18 percent. Cash rose to $9.9 billion on March 31 from $7.3 billion three months earlier.