Tuesday, January 31, 2012

State of the Union January 31, 2012

Jan. 31, 2012 online at www.uawlocal2250.com
There were 9 Delphi transfers and 3 national area hire members who arrived yesterday. Welcome to Wentzville.

From UAW President Bob King: President Obama issued a call to the nation and Republicans in Congress to work together to solve the nation's unemployment crisis and focus on strengthening the middle class by strengthening manufacturing. The president has demonstrated his commitment to creating an economy 'built to last' by restructuring the U.S. auto industry for the 21st century, while Republican opponents were willing to let it die and see millions of jobs lost. The recovery of the American automotive industry is one of our country's greatest economic success stories. General Motors Co. is back as the world's No. 1 automaker, Chrysler Group LLC is outpacing its U.S. competitors in sales growth and Ford Motor Co. continues to make large investments in its U.S. plants. All three domestic automakers are bringing jobs back to the United States from other countries. Thanks to the Obama administration's commitment to U.S. manufacturing, the domestic automakers have added nearly 160,000 jobs to the economy. The president says he bet on U.S. workers. That bet paid off, as we had no doubt it would. To those who say unions chase jobs out of the country, the facts prove them wrong. President Obama reminded us last night of yet another U.S. manufacturer that is insourcing rather than outsourcing. We're proud that Master Lock, a UAW-represented workplace, has decided it makes more business sense to bring jobs back to the United States. Today, Master Lock's plant in Milwaukee is running at full capacity. We agree with the president that if we level the global playing field for U.S. manufacturers and insist that the wealthy pay their fair share to rebuild our country, America's future is hopeful, and the state of our union will always be strong. Let's keep that messagealive as we work to re-elect President Barack Obama in November.

GM will start construction next week on a new $200 million stamping facility that will create approximately 180 jobs. The new facility, part of the company’s Arlington manufacturing complex, will produce large stamping components for the next generation of full-size Chevrolet Tahoes, Suburbans, GMC Yukons and Cadillac Escalades. "Our investment in GM's Arlington plant is one more example of GM strengthening the economy and creating jobs throughout the many U.S. communities where GM does business," said GM Manufacturing Manager Larry Zahner. Currently, Arlington receives stamped components from several GM plants, with some parts coming from more than 1,000 miles away. The new facility, which comes on line in 2013, will save about $40 million a year in logistics cost. (continued on back)

The new facility is in addition to a $331 million investment to purchase tooling and equipment and expand the Arlington Assembly Plant that was announced along with 110 additional jobs in May 2011. “Today’s announcement is further evidence that the U.S. auto industry is back. An important goal for the UAW is to increase the number of manufacturing jobs in the United States and we are pleased that General Motors has decided to make this investment in Arlington,,” said Joe Ashton, vice president of the UAW representing the GM department. “We look forward to more good news in 2012 as our workers continue to build the world’s best vehicles.”

From the Detroit Free Press: President Barack Obama wears his decision to rescue General Motors and Chrysler three years ago as a badge of honor, a move to save jobs in an industry that helped create the backbone of the middle class more than a half-century ago. For Obama, the auto bailout is a case study for his efforts to revive the economy and a potential point of contrast with Republican Mitt Romney, who opposed Obama's decision to pour billions of dollars into the auto companies. If Romney wins the GOP nomination, expect to hear a lot about the car industry. "The American auto industry was on the verge of collapse. And some politicians were willing to let it just die. We said no," Obama told college students last week in Ann Arbor, Mich. The president's campaign views the auto storyline as a potent argument against Romney — who, even though he is the son of a Detroit auto executive, opposed the bailout. As the industry was collapsing in the fall of 2008, the former Massachusetts governor predicted in a New York Times op-ed that if the companies received a federal bailout, "you can kiss the American automotive industry goodbye." Romney said the companies should have undergone a "managed bankruptcy" that would have avoided a government bailout. "Whether it was by President Bush or by President Obama, it was the wrong way to go," Romney said at a GOP presidential debate in Michigan in November. Romney said the nation has "capital markets and bankruptcy — it works in the U.S.” Obama aides said billions in aid — about $85 billion for the industry in total — was necessary because capital markets were essentially frozen at the time, meaning there was no way for GM and Chrysler to fund their bankruptcies privately. Without any private financing or government support, they argued, the companies would have been forced to liquidate. "I don't know how any reasonable person can fail to acknowledge that this rescue plan worked and the country has benefited," said former Ohio Gov. Ted Strickland, a Democrat.

According to the Wall Street Journal, Honda Motor Co. reported a 41% drop in net profit for its fiscal third quarter and foresees a sharp fall in profit for the full fiscal year, as the strong yen cuts into its overseas profit and flooding in Honda, Japan's third-biggest car maker by volume, posted a net profit of 47.66 billion yen ($624.3 million) in the three months ended Dec. 31, down from 81.12 billion yen in the year-earlier quarter. The car maker now estimates a 60% decline in net profit for its fiscal year ending March after factoring in the negative effect of the flooding in Thailand. A closer look at Honda’s results reveals that motorcycles (+25.8 billion yen) and financing (+37.5 billion yen) produced the profits while the automotive side of the business posted an operating loss of 16.9 billion yen (about $220 million). Honda's profit drop and bleak outlook presage harsh results to come from other Japanese auto makers that have mostly struggled with the pressure of a local currency that has surged 15% in the past three years against the dollar. Indeed, Honda estimates the strong yen has cost it $4.2 billion in its first nine months of this fiscal year.

Wednesday, January 25, 2012

State of the Union November 25, 2012

Jan. 25, 2012 online at www.uawlocal2250.com

Anyone who has unused vacation hours will be paid according to the National Agreement, which states: “Payment of the unused portion, if any, of the employee’s vacation entitlement shall be made as soon as possible but not later than February 1 of the following year.” What about profit sharing? As of the end of the 3rd quarter, GM North America had earned $5.7 billion, which equates to $5700 in profit sharing. At that time, GM issued guidance for the 4th quarter that said they expected earnings to be basically the same as last year, which was $800 million for North America. If that’s the case, the total profit share for 2011 would be $6500. There has been no word on whether the 10% diversion of profit share to the VEBA has been approved. GM is expected to announce 2011 earnings the 2nd week of February. Profit shares are paid out the second week of March.

The Education Committee is having a raffle to raise funds for educational literature for Union members. The prize is a large his and hers gift basket and ticket prices are $5 apiece or 3 for $10 and can be bought from any committee member. The raffle will be held Feb. 18.

From Automotive News: General Motors and Volkswagen produced seven of China's ten best-selling passenger vehicles last year, according to the China Association of Automobile Manufacturers. General Motors Co.'s Buick Excelle ranked first with sales of 254,000 units. The Chevrolet Cruze placed third and the Chevrolet New Sail ranked seventh. Volkswagen's Lavida, Jetta, Bora and Santana ranked second, fourth, fifth and sixth, respectively. China FAW Group's Xiali, the Hyundai Elantra Yuedong and the Ford Focus ranked eighth, ninth and tenth. The ten passenger models, all compact cars, generated sales of 2.1 million units in 2011. In China, the overall top sellers are commercial microvans. The Wuling Sunshine, produced by SAIC-GM-Wuling, generated sales of 731,700 units, according to LMC Automotive. Three other commercial microvans also outsold the Excelle

From the New York Times: General Motors, in another effort to cut costs, is consolidating most of an important advertising assignment known as media planning and buying, after pitting four giant media agencies against each other for the task. Carat, part of the Aegis Media unit of the Aegis Group, on Tuesday morning was named to handle media operations for G.M. in almost all parts of the world. The assignment includes traditional, digital and social media. General Motors spends $3 billion each year on ads, and the assignment involves figuring out where the ads will run and how much to pay for them. G.M. has until now had those duties assigned on a regional basis and was using three media agencies, including Carat.

From the Wall Street Journal: Big auto makers and their suppliers are spending billions to expand and retool U.S. factories, pushing heartland states to jockey to land new auto jobs. Executives say the industry's U-turn from bankruptcy filings and layoffs to hirings and capital spending is driven by rising demand and a new view of manufacturing in the U.S. as a way to guard against volatile currency markets and other risks. Auto-industry employment in the U.S. is predicted to jump to 756,800 in 2015 from 566,400 in 2010, with most of that increase in Michigan, according to the Center for Automotive Research in Ann Arbor, Mich. While that falls well short of the 1.1 million workers employed in the sector in 1999, it indicates the hemorrhaging has been stanched. The center also said major auto companies indicate they expect to increase capital spending in the next few years. "It's a generational opportunity," says Missouri Gov. Jay Nixon, a Democrat, who has taken a high profile in his pursuit of car-company jobs. Mr. Nixon called Missouri's legislature into a special session last year to pass a bill offering new tax breaks to manufacturers, and earlier this month he visited the North American International Auto Show in Detroit. That effort shows signs of paying off. Ford Motor Co. said it plans to spend $1.1 billion to retool a plant near Kansas City, adding 1,600 jobs, and General Motors Co. has said it would spend about $380 million to refit its Wentzville, Mo., plant to build midsize pickups. "Everything we get as an incentive from that state…is a very important part of the decision," says Mark Reuss, head of GM's North American operations. The buoyant auto industry is helping to boost the Midwest hiring outlook. A report from staffing company ManpowerGroup estimated a net 10% of Midwest employers plan to hire in the first quarter, after factoring in companies that said they would cut jobs. That slightly surpasses the Northeast, South and West and the national forecast of 9% and is the strongest result for the Midwest since the third quarter of 2008. GM once pushed suppliers to shift operations to low-wage countries. Now, the company is encouraging parts makers that supply its U.S. operations to locate "as close to the plant as they can," Mr. Reuss said. (And here is the picture that ran with the article on page 3 of the first section of Monday’s paper)

Monday, January 23, 2012

State of the Union January 23, 2012

Jan. 23, 2012 online at www.uawlocal2250.com

Correction: The daily production schedule will be 340 units per 10-hour shift (not 317) once the ramp up concludes at the end of February.

Here is this week’s build information: 63 E-26 vans; 1043 cutaways (41.6%); 416 slider doors; 296 15-pass vans; 22.4% 07 loop; 188 r/h door deletes; 112 diesels; 106 exports; 396 Onstar; 1.52% tan interior trim; 22 brake deck spare tire; 236 U-Haul; 585 Enterprise rent-a-car; 100 Penske; 99 Budget; 83.7% white vans.

GM announced global sales for 2011 of a little more than nine million cars and trucks, a 7.6% rise over 2010. That would put it ahead of VW, which recently reported global sales totaled 8.16 million vehicles last year. Upon hearing GM’s results, VW cried foul, saying that if they had included all of the sales of their affiliates, they would be the world leaders. Specifically, truck makers MAN SE and Scania AB, which will be added in a few weeks, might add 200,000 vehicles to VW’s sales total. Realizing that is not enough to close the gap, VW employs addition by subtraction methods, arguing that some Chinese sales should not be counted because GM is not the majority stakeholder (even though Chinese laws forbid such an arrangement). GM spokesman Jim Cain: “Our goal is to be the best, not necessarily the biggest. If we had announced plans on world domination (as VW did), we probably would have been quibbling with the sales of our competitors and that’s as far removed from focusing on the customers as you can get.”

From the Kansas City Star: Gov. Jay Nixon wants to offer better incentives to a wider variety of automobile parts suppliers as part of a plan to rebuild the automotive industry in Missouri. Nixon has been traveling the state for the past couple of weeks touting the automotive incentives as part of a larger economic development initiative. He spoke in broad terms about the proposal Friday during a visit to a rural Missouri meat processing plant, but the governor's office provided details to The Associated Press that for the first time start to flesh out his proposal. Nixon is seeking to expand a law, approved during a 2010 special legislative session, that has been used persuade Ford Motor Co. and General Motors Co. to expand vehicle assembly plants in Missouri.

“We want to use those advantageous investments to rebuild out there that auto supplier network that eroded over many years of the auto industry moving down,” Nixon said. Missouri's 2010 law authorized financial incentives for automakers and their suppliers. The new proposal would expand the types of auto parts suppliers eligible for the aid, allow them to qualify while hiring fewer employees and lengthen the time they could receive incentives. To qualify for aid under Missouri's current law, an auto parts supplier must derive at least 10 percent of sales from an automobile manufacturer, add at least five jobs and pay at least half the health insurance premiums for its employees. Companies that pay wages at least equal to the county or statewide average can keep the withholding taxes normally paid to the state for their new employees for three years. Those with wages equaling at least 120 percent of the county average can get an incentive of five years' worth of the new employees' state withholding taxes. Under Nixon's proposal, parts manufacturers could qualify if their product is ultimately used as a component by an automaker, even if it is not sold directly to the manufacturer. Companies that derive at least half their annual sales from parts used to modify vehicles – such as converting a Ford Transit van into an ambulance or a Chevrolet Colorado pickup truck into a tow truck – also could qualify for incentives. The plan also says automotive parts suppliers could get incentives by hiring as few as two new employees if they also make a capital investment of at least $100,000. The standard incentive period would increase to five years instead of three. And companies would get a tax break equal to 5 percent of their new payroll if wages are at the county average, 5.5 percent if wages are 120 percent of the county average or 6 percent if wages equal at least 140 percent of the county average. The governor's proposal would require approval from the lawmakers, whose annual session runs until mid-May.

From Wards Auto: Ford executives caught flak from some reporters at the recent North American International Auto show in Detroit and other events when they touted a new version of the Ranger that will be built and sold in Thailand, South America and South Africa but downplayed the fact domestic production is ceasing and it will not be offered in the U.S. or Canada. Discontinuing the Ranger here is a mistake that may come back to sting Ford. Ford thinks buyers will opt for the much larger F-150 fullsize pickup instead, now that it is available with a fuel-efficient V-6. But Ford is missing the fact that size, perceived fuel economy and price still count with a lot of buyers. That’s why Toyota, Nissan and General Motors are sticking with compact pickups and they likely will benefit from Ford absence (70,832 Rangers were sold last year). The F-150 is available in a multitude of variations, but can it satisfy buyers seeking a smaller, higher-mileage pickup if fuel prices keep rising? Maybe. But if gas prices soar as high as some analysts predict later this year, Ford no longer will have an alternative. That may prove to be a serious mistake.

Friday, January 20, 2012

State of the Union January 20, 2012

Jan. 19, 2012 online at www.uawlocal2250.com


The February schedule has three Friday’s scheduled: the 3rd, the 17th and the 24th. Production target for the beginning of the month is 610 units per day (2 shifts, 10 hours) and gradually rises to 634 by the end of the month, which will be the schedule going forward. We are also scheduled to work next Friday, Jan. 27, despite any rumors you may have heard. As usual these schedules are subject to change.

Next Monday we will be adding approximately 20 temps to the workforce. The following Monday, 10 employees from Delphi and 2 from national area hire are scheduled to begin (these numbers could change).

The UAW/GM Lifesteps representative will be in the plant next Tuesday and Wednesday to give personalized instruction/advice regarding your New Year’s resolutions. He will be at the fitness center 9 am – noon and 4 pm – 7 pm.

Product Editor Rick Kranz of Automotive News had this to say about GM’s pickup plans and meeting strict fuel economy standards while still satisfying the customer: Interested in owning a lighter, less capable light-duty full-sized pickup? I didn't think so. But General Motors seriously considered developing such a truck in an effort to boost the fuel economy of its pickups. "We have studied this extensively," Mark Reuss, GM's president of North America, said on the sidelines of the Detroit auto show last week. The key was "light-weighting," using lighter materials. It seemed like a workable idea: Simply engineer some light-duty, full-sized pickup models using materials that reduce weight. The idea was discussed years ago as GM began development of its redesigned Chevrolet Silverado 1500 and GMC Sierra 1500 pickups. The redesigned pickups will be available in dealer showrooms next year. But not the lighter-weight, less capable models. That idea was dropped. Why? Reuss cites a few reasons:
o Higher materials cost and disappointing mpg: Reuss said that "if you look at profit on this, if you look at what it takes to actually do this, what it does to the cost of materials, and what it does to the real fuel economy of that vehicle," the effort would fall way short of GM's targets. He did not elaborate.
o Less capability: "What you risk when you light-weight trucks are duty-cycle issues," said Reuss. Capability can't be reduced because "there are people who use that to make a living."

Of course, what he failed to say is GM's pickups would be less competitive and that Ford and Ram likely would pick up new business. Reuss said that from a dollars and cents standpoint, and to reach GM's fuel economy targets, it made more sense to develop a mid-sized pickup -- the redesigned Chevrolet Colorado. That plan gives buyers two pickup choices: full-sized and mid-sized. That's not to say GM's full-sized pickups won't have better fuel economy. They will, Reuss said. But the mid-sized pickup will have better fuel economy -- possibly much better -- than its big brother. Said Reuss: The mid-sized Colorado will provide "90 percent of the size and 120 percent of the efficiency because of the powertrains." Let's see where GM goes with this idea.

Here are some excerpts from UAW President Bob King’s testimony at the “ Public Hearing for Proposed Greenhouse Gas Emissions Standards and Fuel Economy Standards for Light-Duty Vehicles in Model Years 2017-2025”:
It’s an honor to be here this morning, on behalf of our membership, to voice the UAW’s full support for the proposed rules regulating greenhouse-gas emissions and fuel economy. The proposed rules are sensible, achievable, and needed. They are good for the auto industry and its workers, good for the broader economy, good for the environment and good for our national security. Adopting the proposed rules will give an additional boost to the revitalization of the auto industry that began with President Obama’s courageous action in the depths of the industry’s crisis to save American manufacturing jobs by giving GM and Chrysler the breathing room they needed to restructure. After a painful process in which workers and retirees made significant sacrifices, the industry is coming back strong.
Our union’s new collective bargaining agreements with Ford, General Motors and Chrysler include substantial investment commitments by all three companies, in some cases bringing back work from overseas. The 20,000 UAW-represented hourly jobs that will be added over the next four years will have a substantial positive ripple effect throughout the supply chain as well as local communities. General Motors, Ford and Chrysler have made an unprecedented commitment to invest billions of dollars in their U.S. operations over the next few years, and in every case the investment is supporting new vehicles and power trains that will be more efficient than the previous generation.

This includes exciting advances such as 8- and 9-speed automatic transmissions, both dual-clutch and conventional; engines that feature advanced valve timing and gasoline direct injection; downsized and turbo-charged engines, and vehicles that are considerably lighter than the previous generations but retain the same size. Technologies such as start-stop systems and electric power steering are also making a contribution to vehicle efficiency.
There is a common element for all these technologies – they are all now or will soon be produced by UAW members in factories located in the United States. And that’s just the beginning – UAW members are also producing new technologies that may not reach large volumes for many years, but that represent the long-term future of the industry. That includes hybrid transmissions and electric-drive components, lithium-ion battery packs, and plug-in and pure electric vehicles. Although most automakers will continue to meet fuel-efficiency and tailpipe emission targets through improvements to conventional vehicles, we are excited that these new, transformative technologies are being produced by UAW members.

I want to underscore why we believe the drive to increase fuel-efficiency and reduce tailpipe pollution is creating jobs in the U.S. auto industry. One obvious reason is that consumers are demanding more fuel-efficient vehicles, and meeting that demand is an increasingly important part of this business. In an age of rising and volatile fuel prices, American families want to save money on fuel.

A second, more fundamental reason is because the technology needed to improve efficiency and reduce pollution represents additional content on each vehicle. That additional content must be engineered and produced by additional employees.
Last year the UAW, the Natural Resources Defense Council, and Larry’s organization, the National Wildlife Federation, produced a report called “Supplying Ingenuity.” That report identified more than 500 separate facilities in the United States employing over 150,000 people where some or all of the employees are working to invent, engineer or produce advanced vehicles and fuel-saving components. These are real jobs supporting real American families.

Wednesday, January 18, 2012

State of the Union January 17, 2012

Jan. 17, 2012 online at www.uawlocal2250.com

Union meeting is tomorrow, Jan. 18 at 4:15 am, 7:15 am, 1 pm, 3 pm and 4:45 pm. These times may vary as the meeting times will be 15 minutes after the longest shift line time.

Correction: The proposed down weeks for the month of September this year are the weeks of 9/3 and 9/10 (some copies had an incorrect date for the second week)

From Inside Line: Now that Chrysler's Dodge Dakota is officially out of production, Chrysler-Fiat CEO Sergio Marchionne is at the 2012 Detroit Auto Show dealing out some talk about what a next-generation Dakota is likely to encompass. At the Detroit show on Monday, Marchionne said matter-of-factly in a session with reporters that there will be a new Dakota — and that it's a "better than 50-percent chance" that it will be based on a carlike unibody structure rather than a traditional body-on-frame architecture. That's either a good or bad thing, depending on your vector about what a midsize pickup needs to be able to do. If you think a unibody Dakota is a good idea, then it gets better: the Chrysler CEO also said chances are good a diesel engine will be offered for the new Dakota. It's not surprising Chrysler's committed to a next-gen of the Dakota, given that chief rival General Motors confirmed last year it will return to the U.S. market with the Colorado midsize pickup, using an all-new, second-generation body-on-frame Colorado developed largely for Asia and Latin American markets — and that when launched in Thailand last fall, had only diesels as its engine options. The U.S.-spec Colorado will be built at GM's assembly plant in Wentzville, Missouri. This leaves Ford, which at the end of 2011 pulled down the curtain on production of the Ranger, as the last of Detroit's Big Three automakers to remain uncommitted to a midsize pickup.

From the Detroit Free Press: Americans are holding onto cars and trucks longer, pushing the average age of a vehicle to a record 10.8 years. The Polk research firm said today that the average age of a car last July was 11.1 years, while the truck average was 10.4. Unemployment and the sour economy have caused people to put off buying cars and trucks. Polk says the average vehicle age has been rising since 2008. But the firm says a sales rebound last year is likely to slow the aging rate. Car companies sold 12.8 million vehicles in the U.S. last year, up from 11.6 million in 2010. In 2010 the average vehicle on U.S. roads was 10.6 years old, up from 10 years in 2008.

From Automotive News: Chrysler Group plans to add a large expansion to its current facilities in Saltillo, Mexico, to assemble a Ram-branded version of the Fiat Ducato commercial van for North America. Sergio Marchionne, CEO of Chrysler Group, said this week at the Detroit auto show that the expansion of the Saltillo plant would make it "the center for production of light-commercial vehicles in North America for us.” A Chrysler spokesman would not confirm the size of the investment, but company sources said it was expected to be about $500 million. Chrysler already operates a truck assembly plant, a stamping plant and two engine plants in Saltillo, about 180 miles southwest of Laredo, Texas. Marchionne said the front-wheel-drive full-sized commercial van shares a platform with the Peugeot Boxer in Europe. "It's designed perfectly to try and deal with the market segment here in the United States, so we think it will grow," he said. The Ducato is scheduled to arrive in North America in 2013, Marchionne said. Its European versions have a 135.8-inch wheelbase, compared with the 138-inch wheelbase of the rear-wheel-drive Ford Econoline commercial van. Chrysler previously said it would bring the smaller Fiat Doblo to North America as a light-duty commercial van and that it is studying bringing over the larger Fiat Daily as well. The Doblo is similar in size to the Ford Transit Connect. The Fiat Ducato

From the New York Times: After an investigation by the National Highway Traffic Safety Administration, Mini is recalling almost 89,000 of its turbocharged models because they could catch fire when the engine is off. In a report filed over the weekend, BMW, the parent company of Mini, told the safety agency that the auxiliary water pump designed to dissipate heat from the turbocharger was the cause of the hazard. The manufacturer said the pump’s circuit board may malfunction, allowing the board to overheat and the water pump to fail. “In an extreme case,” BMW said, overheating of the circuit board could cause a fire. BMW received its first report of a water-pump failure in 2009, and in May and July 2010 learned of two vehicles with “a burned engine compartment.” The automaker said it continued to monitor the situation, but did not notify the agency. Last October, however, N.H.T.S.A. began its own investigation after receiving complaints from owners, including 12 reports of engine fires — five of which asserted “engulfing fires resulting in a total vehicle loss.” Eight owners complained that the fires began when the vehicle was parked and the engine turned off. BMW decided this month that a recall was needed, the automaker said. It was not aware of any accidents or injuries. The models affected by the recall are the 2007-11 Cooper S; 2008-11 Cooper S Clubman; 2009-11 Cooper S convertible; 2011 Cooper S Countryman; and the 2009-11 John Cooper Works, John Cooper Works Clubman and John Cooper Works convertible. BMW describes the recall as voluntary, but under federal regulations once an automaker is aware of a safety problem it has no choice but to inform the agency of its plan for a recall.

State of the Union January 12, 2012

Jan. 12, 2012 online at www.uawlocal2250.com


•    From Chairman Mike Bullock: With the addition of the second shift and 430 more employees, management has given us notice per Paragraph 10 of the National Agreement of the need to redistrict the plant . Before the addition of the 2nd shift we had 6 districts, 5 on days and 1 on 2nd and 3rd together and 1 at large (the chairman). After the addition of the 2nd shift we will have 8 districts, 4 on 1st and 4 on 2nd and 2 at large (the chairman and a zone on nights). This realignment will create the combination of two districts into one on first shift. The two districts that have been combined is District 1. The existing committeemen in those two districts will have 1 week to sign up for a runoff election in the new district. The sign up for this will be January 23 to the 27. The election for the committeeman of District 1 will be February 7th. Until the election the existing districts on day shift will remain. I have appointed new committeepersons, alternates and an at large for all the 2nd shift openings and for 2 dayshift vacancies. A separate election for these new committeepersons and alternates will be held after 90 days per our By-Laws. (A copy of the districting agreement is on the back)
Second Shift Committeepersons and Alternates are as follows:
o Zone 2 at Large Torkey Graham
o District 2 Committeeman- Marlon Brown Alternate-Rob Baltimore
o District 4 Committeeman- Dave Devine Alternate-Rob Davies
o District 6 Committeeman- Susan Abrams Alternate-Mark Cather
o District 8 Committeeman -Tim Wakeland Alternate-Bob Warren

Also, Management has informed the Union of their intention of scheduling a Vacation Shutdown the weeks of August 20 and 27, 2012. Per the 2009 Modifications to the National contract, employees will be required to use 80 hours of their vacation time or be placed on a leave of absence for vacation purposes if no vacation accruement is available. Management has also scheduled the weeks of September 3 and 19 as Plant downtime for new product construction. All this is tentative until February 1 when management has to make it official before the vacation application period opens. Finally, Tuesday Jan. 17 is a holiday qualifying day and a VR blackout day.
•    As a result of a TKS scheduling error generated up north, some of you will not
receive short work week pay for last week. The majority of the errors appear to be in General Assembly on both shifts. Adjustments will be made on next week’s check.Local Agreement – Districting 01/03/2012


(Based on current plant population: 1,705)
Shop Committee: Two (2) Shop Committeeperson At Large (1 Chairperson & 1 Zone) &
Five (5) Shop Committeepersons

It is agreed between General Motors Corporation, Wentzville Assembly Center, and Local 2250, UAW, that the following Districts, Shop-Districts and Zones shall be established in accordance with Paragraphs 10 & 11 of the GM-UAW National Agreement.

Description of Chairperson at Large

Chairperson of the Shop Committee – Entire Plant, All Shifts
Zone 2 – Districts 2, 4, & 8

Description of Districts

Shop District 1 District 4 Shop District 7
District 2 Shop District 5 District 8
Shop District 3 Shop District 6

Districts # of Emp’s Description of Districts

Shop District 1, First Shift 219 All 1st shift employees assigned to the
Material & Body Shop (except K-line
Door Fitters)

District 2, Second Shift 212 All 2nd shift employees assigned to the
Material & Body Shop (except K-line
Door Fitters)

Shop District 3, First Shift 214 All 1st shift employees assigned to Trim &
Quality

District 4, Second Shift 207 All 2nd shift employees assigned to Trim &
Quality

Shop District 5, First Shift 214 All 1st shift Assigned to Chassis, Final
Process & K-Line Door Fitters

Shop District 6, Second Shift 205 All 2nd shift Assigned to Chassis, Final
Process & K-Line Door Fitters

Shop District 7, First Shift 193 All 1st shift employees assigned to Skilled
Trades, Paint & Stamping

District 8, Second Shift 241 All 2nd & 3rd shift employees assigned to
Skilled Trades, Paint & Stamping

Employees assigned to the Third Shift will be governed by the provisions of Paragraph (21b) of the National Agreement where applicable.

Employees assigned to Department 83 will be represented by the Committeeperson for the District to which they are assigned.

Tuesday, January 10, 2012

State of the Union January 10, 2012

Jan. 10, 2012 online at www.uawlocal2250.com

We have been informed that our jacket order is being delayed due to a shortage of medium size jackets. The projected delivery time is now early February. We are trying to get a picture of the jackets so you know what to expect. Any change in the status of our order will be communicated.

Reminder: The following job openings are posted at all 3 entrances and run through the end of the shift Tuesday, Jan. 10: 2 permanent openings in stamping; 2 permanent openings and 1 sick leave opening in body shop; 2 permanent openings in paint; 1 permanent opening in material; 2 permanent openings in quality. These openings are only valid to those employees who have not put in a 63B transfer in the last 6 months. Paragraph 63B transfers at to shift of choice seniority permitting. Paragraph 63B applications cannot be rescinded or refused once the application period closes. You should drop your applications in the HR-Labor drop box located at A-39 (outside of the personnel office).

The Goddard School in Wentzville is considering offering child care (6 mo.-6 years old) starting at 5:30 am for GM employees only if 4 or more families commit. There is a 10% discount for GM employees also. You can call 636-327-5991 if you are interested.

Here is this week’s build information: 14 E-26 vans; 437 cutaways; 202 slider doors; 96 15-pass vans; 30.6% 07 loop; 148 exports; 34 diesels; 98 r/h door deletes; 97 Onstar; 26 brake deck spare tire; .66% tan interior trim; 210 Entreprise rent-a-car; 169 U-Haul; 28 Penske; 81.2% white vans.

Here is the December sales breakdown for the van segment: 2011 2010 Change Share
Ford Econoline 13,074 9,774 +33.8% 48.6%
GM 10,991 7,624 +44.1% 40.9%
Mercedes Sprinter 1,595 1,379 +15.7% 5.9%
Nissan NV 1,230 --- --- 4.6%
Ford Transit Connect 3,910 2,811 +39.1% ---

With our biggest monthly sales in over 3 years, our field supplies are down
dramatically. Overall net field supplies are down over 1600 units to a 33 day supply and total stock is down over 4000 units. Chevy cutaways fell from a 228 day supply to 46 and Express passenger vans are at a 14 day supply. Chevy cargo vans are at a 30 day supply.

Here is some great feedback from the Women’s Center regarding the Adopt-A-Child program: “GM Employees – We cannot express how much we appreciate your generosity over the years in supporting our program, especially at the holidays. We are continually amazed by your thoughtfulness each year. Happy Holidays and many blessings in the New Year! Love, the Women’s Center”.

GM’s Chinese sales for 2011 were up 8.3 % to 2.55 million. GM sold 2.503 million in the U.S. in 2011, up 13%. (Ford said its sales grew 7 percent to 519,390 units) GM aims to double deliveries to 5 million units by 2015 and plans to focus on expanding its luxury car brand Cadillac and its sport-utility vehicle lineup.

Apparently we owe an apology to Toyota. WardsAuto had reported that Toyota had logged the highest recall total for 2011. Now comes word that it was, in fact, Honda who held that distinction. According to NHTSA (earlier disputed by Honda, then agreed to) Honda recalled 3.9 million vehicles in the U.S., eclipsing Toyota’s 3.5 million total and good for the top (bottom?) spot.

From the Detroit News: United Auto Workers President Bob King predicted Monday that Detroit's Big Three automakers will again grow market share against the foreign brands in 2012. They picked up about 2 percentage points in 2011, to end the year with 47 percent of the market in the U.S. "We're going to grow market share. We're providing the best value to consumers, the best quality, the best mileage, so I think you are going to see a strong resurgence of the American industry," King said in a Detroit News interview on the sidelines of the North American International Auto Show. "The energy is really different here. The mood is really upbeat." King reiterated that the UAW will not pick a target for organizing efforts among foreign automakers operating in the U.S. But he said the union is making progress on its efforts. "We're having back-channel, off-the-record discussions with a number of companies. All we want is a fair, democratic process for workers to decide if they want representation, if they want to form their local union," he said. "We're staying on that focus — putting a lot of energy and effort into it." He said he hoped the UAW won't have to pick a target, and that foreign automakers will allow workers to decide if they will join a union. "If companies really support the democratic rights of workers to decide if they want representation, there won't need to be any confrontation. If companies try to violate human rights, try to deny workers their right to freedom of association, the freedom of collective bargaining, then we're going to have to respond," King said.

From Automotive News: The redesigned GMC Sierra pickup may be repositioned as General Motors' premium pickup. GM is rethinking pricing and equipment levels for both the redesigned Sierra and Chevrolet Silverado. The pickups will go on sale next year. Sierra models would have a longer list of standard equipment and a higher sticker price than a comparable Chevrolet Silverado, Mark Reuss, GM president of North America, said on Monday. "Right now, there is about a $500 difference on a brand basis between the two," Reuss said during an interview at Detroit's North American International Auto Show. Additionally, the incentives are nearly identical between the two brands, he said. "I think you will see equipment and models attacked very differently because we should. If we are going to carry two brands, we are going to make them pay their way," he said. An effort will be made to differentiate the sheetmetal between the two pickups "as best we can do with a pickup truck. A pickup truck is a pickup truck," he said.

Thursday, January 5, 2012

State of the Union January 5, 2012

Jan. 5, 2012 online at www.uawlocal2250.comhttp://www.blogger.com

The following job openings will be posted at all 3 entrances beginning today and running through the end of the shift next Tuesday, Jan. 10: 2 permanent openings in stamping; 2 permanent openings and 1 sick leave opening in body shop; 2 permanent openings in paint; 1 permanent opening in material; 2 permanent openings in quality. These openings are only valid to those employees who have not put in a 63B transfer in the last 6 months. Paragraph 63B transfers at to shift of choice seniority permitting. Paragraph 63B applications cannot be rescinded or refused once the application period closes. You should drop your applications in the HR-Labor drop box located at A-39 (outside of the personnel office).

Short work week benefits will be paid this week as a result of the early line times. Here’s how it works: The difference between the hours that you worked (to the nearest tenth), including holiday and vacation pay, and 40 hours will be paid at 80% of your base rate. You must have 1 year seniority to be eligible for short work week benefits.

From the Civil Rights Committee: Everyone is cordially invited to the Dr. Martin Luther King Jr. Scholarship Awards Ceremony on Saturday, Jan. 14 at 12 noon in the tour holding room. We are asking that all winners and their parents arrive at 11:30 am and meet with a committee member to prepare for pictures. This year’s guest speaker is the Rev. Aaron Johnson, author of “Man From Macedonia – my life of service, struggle, faith and hope”. He is an inspiring speaker and we look forward to hearing his words.

General Motors Co. reported total U.S. sales of 234,351 vehicles in December, up 5 percent compared with December 2010. Sales for the calendar year were up 14 percent year over year to more than 2.5 million units and the company gained market share for the first time since 2002 to roughly 19.6%, a gain of close to a point. “GM’s balanced portfolio of fuel-efficient cars, trucks and crossovers helped us make the most of the U.S. economy’s slow but steady recovery in 2011,” said Don Johnson, vice president, U.S. Sales Operations. “Importantly, we were able to grow all four of our brands and reestablish Chevrolet as a force to be reckoned with in the passenger car business. This gives us a very solid foundation to compete in a market that we expect to keep growing.” In December, retail deliveries were up 2 percent compared with a very strong December 2010, and accounted for 81 percent of GM sales. Deliveries to fleets were up 17 percent. GM’s total passenger car sales for the month increased 12 percent. Crossover sales decreased 14 percent. Sales of trucks, which include full-size pickups, vans and SUVs increased 13 percent.(cont’d on back)

Highlights for the month include a 42 percent year-over-year increase in Chevrolet Sonic sales (compared with the Aveo), a 54 percent increase in Chevrolet Cruze sales, a 20 percent increase for the Chevrolet Camaro and a 13 percent increase for the Chevrolet Malibu. Other highlights include double-digit sales increases for the Cadillac SRX, Chevrolet Avalanche, Colorado, Silverado, Tahoe and Suburban, and the GMC Yukon XL. In addition, Chevrolet Equinox had its best sales month of the year in December. Van sales for December came in at 10,991 which is the best monthly sales total since September 2008. Year-to-date van sales were 89,211, up 21% over 2010.

From Automotive News: The Chevrolet Volt missed its U.S. sales target of 10,000 cars in 2011, the company said. Chevy dealers sold 1,529 of the plug-in hybrids last month – its best month ever – but leaving the brand 2,329 shy of its goal. GM signaled last month it would fail to reach the sales goal. A slow production ramp-up kept dealers in short supply until December, and a federal investigation of three fires that occurred after Volt crash tests lowered demand for the car, according to CNW Marketing Research Inc. U.S. dealers sold a total of 7,671 Volts last year. GM is expanding production to 60,000 Volts this year with 45,000 of them earmarked for the U.S. The Volt is being investigated by the National Highway Traffic Safety Administration because its batteries caught on fire in the weeks following three government crash tests. NHTSA announced a safety probe of the Volt Nov. 25. December was the third month that Chevy dealers sold the Volt in all 50 states. GM allowed dealers to sell as many as 2,300 demonstration models to retail buyers starting in late November, helping spur a 2.8 percent increase from October. The Volt did handily outsell the Nissan Leaf – 954 units sold – for the second month in a row.

Here some other sales results for our competitors: Ford sales for the year were up 9%, good for a 16.8% market share and second place; Toyota sales dropped 7% for the year as they held on to third place; Chrysler sales jumped 26% to place 4th overall; Honda also dropped 7% and stayed fifth; Hyundai/Kia climbed 27% for sixth place and Nissan was up 15% in seventh place.
R.L. Polk Global Auto Sales

2012 2013 2014
Global 77.7 83.4 88.1
U.S. 13.7 14.9 15.6
Europe 19.0 20.3 21.5
Brazil 3.6 3.8 3.9
China 17.9 19.4 20.6
Japan 4.5 4.8 4.9
*In millions

Tuesday, January 3, 2012

State of the Union January 3, 2012

Jan. 3, 2012 online at www.uawlocal2250.com

From Chairman Mike Bullock: Welcome back to everyone and I hope you all had a great time with your family and friends over the holidays. 2012 should be an exciting year as we ramp up the second shift and break ground to prepare for the production of the new Chevy Colohttp://www.blogger.com/img/blank.gifrado. We have over 400 new faces and we all remember what it was like to be new, so help them out as much as you can.

From Benefits: Applications for FMLA will now be processed through Segwick. Please call 1-800-489-4646 to receive the necessary paperwork.

The cafeteria hours for Wednesday and Thursday are 5:30 am to 8:30 am, 10 am – 12 noon and 2 pm – 5:30 pm.(No production on Friday)

The jackets are scheduled to be shipped today to the Union Hall. Once a distribution plan is in place you will be notified.

The traffic lights on Highway A have yet to be activated. We have been told that the city of Wentzville is still trying to coordinate with MODOT to have this done. As soon as we receive confirmation we will let you know. In the meantime please be careful entering and exiting the plant with the increased traffic.

As it stands now, here is the startup plan for Wednesday, Jan. 4:
o 14 Build Blocks – the first 3 will be 15 minutes, the next 11 will be 20 minutes with the exception of one 30 minutes block
o Production number is Max 50
o 6:00 – 6:30 Team Meeting
o 6:30 Begin Build Blocks
o 1st shift normal breaks and lunch
o 2nd shift starts @ 12:00 p.m. – Both Shifts Team Meeting
o 12:00 – 12:30 Team Meeting
o 2:00 G/L, S/L Escalation Meeting
o 2:30 GA S/L Meeting
o 4:30 2nd shift lunch
o 5:12 1st Shift Ends
o 7:20 Team Meeting
o 11:12 2nd Shift Ends

There was good news and bad news to report about the Chevy Sonic. The good news is that it won an Edmunds head-to-head comparison to the Mazda 2, garnering praise like, “the Sonic LTZ ranks among the best subcompacts we've ever driven.” It also was one of only 7 vehicles to receive a composite 5-star crash rating from NHTSA. The bad news is that GM issued a recall for Sonics built between June 2 and Nov. 21 - a total of 4,296 vehicles – for potentially missing brake pads.

Speaking of recalls, WardsAuto reports that Toyota led the league in total number of vehicles recalled in 2011 for the third year in a row. A grand total of 3.5 million vehicles were recalled, bringing the 3 year tally to nearly 11.5 million (and that’s North America only, folks). Coming in a close second last year was Ford at 3.2 million. Oddly enough, these two manufacturers have the highest number of recommended vehicles by Consumer Reports. (GM recalled 455,901 for the year)

From the Detroit Free Press: General Motors will idle three U.S. truck plants for a collective 21 weeks next year to retool them for redesigned versions of the Chevrolet Silverado, GMC Sierra and full-size SUVs. GM's Ft. Wayne assembly plant in Roanoke, Ind., is scheduled to suspend output for nine weeks between January and October, Chris Lee, a spokesman for the Detroit-based company, said in a telephone interview. The automaker plans to idle its Flint truck plant for seven weeks between June and November. GM's Arlington, Texas, plant is scheduled to shut for five weeks between June and December. Arlington workers now assemble the Chevrolet Tahoe and Suburban, GMC Yukon and Cadillac Escalade SUVs. GM informed employees of the schedules last week, Lee said. The company is planning to invest $328 million in Flint, $275 million in Ft. Wayne and $331 million in Arlington, creating at least 100 additional jobs at each factory. If the retooling is done through 2012, production would begin in 2013. News media reports have said the new trucks would go on sale as 2014 models. GM had 202,720 full-size pickups in inventory at the end of November, 105 days' supply, GM said Dec. 1. Capacity in 2012 at GM's U.S. full-size pickup plants will be about 640,000 units, according to an Aug. 4 company presentation.

1st-quarter forecast: North American light-vehicle production forecast
Company Units Change vs. Q1 2011
GM, 809,300 3%
Ford, 685,200 4%
Chrysler/Fiat, 467,800 -4%
Toyota, 406,100 10%
Honda, 371,000 11%
Nissan, 304,600 2%
Hyundai/Kia, 179,200 18%
Other, 339,500 9%
TOTAL, 3,562,700 5%
Source: IHS Automotive,