Friday, June 29, 2012

State of the Union June 28, 2012

June 28, 2012 online at www.uawlocal2250.com

We regret to inform you that Brother Phil Niewiadomski, 52, was killed Tuesday evening at the Parma, Ohio, stamping facility (UAW Local 1005). Preliminary reports indicate he was caught between 2 stamping dies, resulting in fatal injuries. This is the first fatality at a GM plant in 9 years. Our thoughts and prayers go out to his family and friends. We also need to take from this tragic incident the lesson that safety is truly our overriding priority and we are our brothers’ and sisters’ keepers. The safety reminders you hear like “take two” and “wait for the wave” are more than just phrases but words we need to live by while we are at work. Taking shortcuts to save time can literally cost you your life.

Congratulations to UAW Local 282 on reaching a tentative agreement with Lear Corp. last night. A ratification vote will take place soon.

Friday is the beginning of the pre-model change time period that lifts the restrictions on overtime. Per the National Agreement: “The provisions…that limit or restrict the right of the Corporation to work daily overtime or Saturdays or Sundays shall be ineffective a) beginning on a date 2 weeks preceding the announced buildout date and b) for the week in which it launches, i.e., after the buildout…and for 3 weeks thereafter or until the line reaches scheduled production, whichever is later.”

Attention skilled trades: A "heavy load of work" will be scheduled for the skilled trades on July 4th. Affected trades will be notified ASAP.

Reminder from the Women’s Committee: We are still in need of teams for the golf tournament this Saturday, June 30 at Country Lake golf course in Warrenton. We will accept walk-up teams the day of the tournament. It is a 3-person scramble with a 1:30 pm shotgun start. The cost is $70 per person/$210 per team. The first 3 places in 3 flights will be paid. There will also be a longest drive, closest to the pin and a skin game. Food and beer will be served after the tournament. The proceeds will go to “Turning Point” abused women’s shelter. Entry forms are available at the entrances.

General Motors landed six of the top 10 vehicles in Total Car Score′s Top 10 Best American Cars of 2012 list. Five of the GM vehicles ranked in the top six, and the Cadillac SRX was ranked ninth. Total Car Score, an automotive research and comparison Web site, built the list by compiling car ratings from nine automotive review and ratings sites, including MSN Autos, U.S. News & World Report and Consumer Guide.
Total Car Score
1 Cadillac CTS 86.49
2 Buick LaCrosse 85.01
3 Chevrolet Traverse 84.87
4 Ford Flex 84.44
5 GMC Acadia 84.18
6 Cadillac CTS-V 83.65
7 Chrysler 300 83.29
8 Ford Taurus SHO 83.22
9 Cadillac SRX 83.01
10 Chrysler 300 SRT-8 82.59

The UAW and other automotive and environmental stakeholders meet today in Washington at the White House. The event is an opportunity to examine the automotive industry's strong resurgence, and explore the role of innovation and advanced vehicles, as well as the economic impact on manufacturing in this country. "The Obama Administration has been an innovative champion for the automotive industry. President Obama's decision to save the domestic auto industry prevented an economic disaster. When others wanted us to fail, Obama cheered us on and gave us a lifeline and a path back to success," said UAW Vice President Cindy Estrada. "We are positioned for long-term success, including meeting the consumer demand for innovative, efficient vehicles. The revival of the auto industry in this country is translating into supplier jobs including emerging green energy expansion. The supplier sector will play a central role in meeting those commitments." Having the Obama Administration host the event further proves the president's continued commitment and support of better technology, better standards in fuel economy and greenhouse gas emissions, thereby decreasing dependence on foreign oil. The UAW was a firm supporter of standards passed in 2011, improving light-duty vehicle efficiency to 40 mpg by 2020 could create up to 190,000 jobs in the United States. "Being a responsible union takes more than just bargaining for secure contracts with strong benefits and wages. It also means pioneering new jobs and technology that coincide with the changing times; being ahead of the curve instead of always playing catch up," said UAW President Bob King. "The UAW successfully bargained 20,000 direct manufacturing jobs through 2015 with the Detroit Three automakers during the 2011 auto talks. It's a proven fact that auto manufacturing creates more jobs than any other industry and because of these jobs, a total of 180,000 jobs will be created in communities across America that have been devastated by poor, partisan Republican economic policies. Part of this is owed to new technology production and collaborative efforts on the political, business, labor and environmental front in a democratic fashion. King also said, "The domestic automakers also committed nearly $25 billion in investment in plants and products through our 2011 collective bargaining agreements. This year all three of the companies have reported record-breaking profits. This is proof that collective bargaining and successful business can work."

Tom Brune
UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119

Wednesday, June 27, 2012

State of the Union June 26, 2012

June 26, 2012 online at www.uawlocal2250.com

Reminder: Union meeting is after 2nd shift tonight and Wednesday at 7:15 am, 1 pm, 3 pm, and 15 minutes after the longest first shift line time.

Workers at a Flex-N-Gate auto parts plant in Puebla, Mexico owned by billionaire industrialist and NFL owner Shahid Kahn won the right to free association inside their workplace after a 12-hour job action on June 20. UAW members at Flex-N-Gate plants in the U.S. took action to support the Mexican auto workers, hand-delivering a copy of worker demands, including the reinstatement of fired union activists, to their plant managers. "Auto workers in Mexico have the same concerns we do, including safe working conditions, fair treatment, and a voice on the job" said Kathy Morgan, bargaining chair for UAW Local 2270 at Flex-N-Gate's Ventra Evart plant in Evart, Michigan. "If we don't speak up when Flex-N-Gate mistreats workers in Mexico, we're going to pay a price sooner or later. Because whatever they get away with there, they're going to try here." "Right now I feel proud because we achieved something that we wanted, a victory for our rights and for justice," said Mario Lopez Espinoza, a member of the worker organizing committee at the Flex-N-Gate plant in Puebla. "We fought for something and we won -- and I believe if we stand together with workers in the U.S., we can improve conditions for everybody." The dispute, widely covered in the Mexican news media, centers around workers' demands for a free and fair vote on union representation. The Confederacion de Trabajadores de Mexico (CTM), an arm of Mexico's Institutional Revolutionary Party (PRI), claims to represent workers at the Puebla Flex-N-Gate plant, but workers say they never voted for CTM and have never seen a copy of any contract. The organization, they say, collects dues without taking any action on issues such as hazardous dust inside the plant, low pay and excessive use of temporary workers. The average Flex-N-Gate worker in Puebla earns about 1,200 pesos a week, or $100. Ten workers were recently fired for complaining about the lack of representation.

GM is offering and extra $500 Independence Day cash on certain 2012 like the Chevy Cruze, Buick Enclave and Chevy Silverado. This is in addition to the employee vehicle allowance, consumer cash and your preferred pricing. Full size pickups get a total of $7000 cash back with this offer. But you need to act as this offer ends July 2.

From Automotive News: The U.S. auto market is rebounding, but a new survey by AlixPartners argues that the auto industry might as well forget about "pent-up demand." The report, released today, predicts U.S light vehicle sales of 14.3 million units this year, up from 12.8 million units in 2011. However, the report predicts U.S. sales will stay below 16 million units through 2015 -- and that it's not just a lagging economy that will hold sales below previous highs. There were 5 million fewer American motorists in 2010 than expected, given the nation's population growth, according to AlixPartners, a financial advisory firm based in suburban Detroit. The report compared the percentage of American adults with licenses in 2010 to that of 2000. John Hoffecker, a managing director of AlixPartners LLP, attributes much of this shortfall to aging Baby Boomers, who are less likely to drive than their peers were a decade ago. "Boomers are driving less than other people their age were in 2001," Hoffecker told Automotive News. "A smaller percentage of people are driving. The number of miles driven also has flattened out and we don't see it going back up." Moreover, younger Americans -- dubbed Millennials -- appear to be less enthusiastic about car ownership than their peers a decade ago. The AlixPartners report dubbed this contingent "Generation N," as in "neutral about driving." In general, the survey compares the North American auto industry favorably to Europe's auto industry, which is sliding into another recession. The report notes that automakers in North America shut down 18 plants since 2007, thus unloading unneeded capacity and clearing the way for a subsequent rebound. As a result, North American plants are running at 89 percent of capacity, according to AlixPartners. By contrast, European automakers shut down only three assembly plants since 2010. Now, about 40 of 100 assembly plants in Europe are operating below 75 to 80 percent of capacity. Likewise, North American automakers are not repeating some of the mistakes of the past, such as over-producing vehicles, then dumping them into daily rental fleets. Fleet sales currently account for 20 percent of total U.S. light-vehicle sales, below the long-term average of 24 percent. Concludes Hoffecker: "The industry is acting in a good, rational way to build production… and meet natural demand. Automakers in the U.S. are in much better shape than they were before 2008."

From Reuters: A German union leader said on Tuesday General Motors appears willing to invest in growing its European arm Opel, a tentative sign that GM and powerful German labour leaders are making progress in talks over restructuring. "We have the impression that there is a learning process at GM," said Armin Schild, the head of union IG Metall for the region that is home to Opel's headquarters. Opel's supervisory board, in which labour representatives play a key role, is scheduled to meet on Thursday to discuss management's mid-term business plan that should turn the loss-making unit around. "The business plan must reflect the aim to gain market share in Europe over the long term," Schild continued, adding that the union was well aware how difficult this would be given its expectation that the western European car market would continue to shrink in the foreseeable future.

Tom Brune
UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119

Wednesday, June 20, 2012

State of the Union June 20, 2012

June 20, 2012 online at www.uawlocal2250.com

From the Women’s Committee: We are in need of teams for the golf tournament on June 30 at Country Lake golf course in Warrenton. It is a 3-person scramble with a 1:30 pm shotgun start. The cost is $70 per person/$210 per team. The first 3 places in 3 flights will be paid. There will also be a longest drive, closest to the pin and a skin game. Food and beer will be served after the tournament. The proceeds will go to “Turning Point” abused women’s shelter. Entry forms are available at the entrances. Also, the Susan G. Komen Race for the Cure is this Saturday. Registration opens at 6:30 am with the first of the races, the 5K, starting at 8:30 am.

The UAW issued this statement regarding President Obama’s announcement of a new immigration policy that will allow some undocumented students to avoid deportation and receive work authorization: “The UAW applauds President Obama’s new ‘deferred action’ executive order announced today granting these young people administrative relief. These students – ages 15 to 30 and some of our nation’s best and brightest who lack immigration status because they were brought into this country by their parents – should not be deported and should be allowed to work in this country. For these estimated one million undocumented students who have grown up in the United States, attended our schools and shown a commitment to succeed in higher education, this deferral allows them to excel in college and go on to successful careers. It’s just smart policy to protect the interests of our children at risk of deportation who have spent years establishing their homes in America -– the only home they have ever known. Further, the UAW remains committed to comprehensive immigration reform and urges passage of the DREAM Act to provide a way for these students to become legal residents.”

From the Windsor Star: Chrysler Canada CEO Reid Bigland added his voice Friday to the chorus of auto executives demanding that the CAW lower its labour costs to match those at UAW plants. "We have had a long and good relationship with the CAW and have been able to come to terms with competitive, collective agreements in the past," Bigland said. "We've got some new challenges now in these upcoming negotiations because of the significant improvements we've made with respected to the UAW negotiations. But I'm confident we'll reach an agreement that will maintain our competitiveness here in Canada." Bigland said the CAW-Detroit Three negotiations, which kick off later this summer, must address the labour cost gap between the CAW and UAW. "If you look at where our cost structure is here in Canada versus the United States, there's a gap and we need to remain competitive in Canada."

From Bloomberg: Demand for lithium ion rechargeable batteries out of Asia has helped prices climb threefold in the last 12 years, London-based Roskill Information Services Ltd. analyst Robert Baylis said. Global use doubled from 2000 to 2011 according to Roskill, which has recently consulted on six lithium projects. There is about 0.1 of an ounce of lithium carbonate in a mobile phone and about 1 ounce in a notebook computer, according to Rockwood Chief Executive Officer Seifollah Ghasemi. There will be a "step change," in the global lithium industry in 2016 or 2017 when electric cars became more commonplace, Ghasemi said. Batteries for such vehicles contain about 50 pounds of lithium. "Anywhere between a doubling and a tripling of demand in the next 10 years is absolutely our view," Peter Oliver, CEO of Talison, the biggest producer, said in an interview. "Maybe a doubling is with minimal impact from electric vehicles and if electric vehicles take off in a big way in the next 10 years it could be as much as tripling."

Edmunds has done some research on who’s buying new vehicles now and, just as important, who isn’t. They broke it down into 3 groups, which we will cover beginning today. Here’s the introduction and first group: A key buzzword for auto sales these days is "pent-up demand" — those purchases that consumers didn't make during the recession and early recovery. Edmunds.com estimates that nearly 11 million sales were lost during the recession years alone, of which there could be at least four million new car buyers still waiting to come back to market. But who are these would-be buyers? Here are several key groups who have bought fewer cars in recent years:

The Young and the Restless: Young adults aged 18 to 34 accounted for nearly 30 percent less of new cars bought in 2011 than in 2007, according to new car registration data from Polk. Yet, this group's share of the total U.S. population remained stable during the past five years and, despite decreases in licensed drivers among the younger members of the group, the share of licensed drivers aged 18 to 34 also barely changed. But, with higher unemployment, lower income and less education than previous generations at this age, it hardly comes as a surprise that these younger adults have failed to buy new cars at the same rate as their predecessors. Younger adults aren't alone in their lack of new car-buying. The share of sales to adults aged 35 to 44 has fallen nearly 25 percent, according to Polk. While this demographic group did decline in size as its older members, the youngest of the large Baby Boomer cohort, moved up to the 45 to 54 age group, the loss of car sales share outpaced the population shift. This result is rather surprising since this group's unemployment rate sits well below the national average. Also, more importantly, the most recently available (2010) Census Bureau data on income shows that median household income has rebounded more for 35 to 44 year olds than for any other age group of the working age population (18 to 64 year olds). One factor that appears to have contributed to the car sales drop is the fairly sizable decrease in licensed drivers among this age group. New car-buying could also be constrained by the impact of the collapse of the housing market on this age group — many of whom likely bought their first homes during the peak of the bubble and may now find themselves under water on their mortgages. This age cohort could also have adopted a new financial austerity, adopted in the face of persistent economic uncertainty and a looming future fiscal cliff. Tom Brune
UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119

Thursday, June 14, 2012

State of the Union June 14, 2012

June 14, 2012 online at www.uawlocal2250.com

Now that management has announced that we will be working under “Plan B” for the 2013 model year (beginning July 16), several questions have come up. For starters, “Plan B” is a 5-day work week and per the National Agreement, “daily hours in excess of 10 hours worked per shift and Saturday hours in excess of 8 hours per shift will be voluntary” (except, of course, in the case of single breakdowns of four hours or more). Can we switch back and forth between this and other operating plans? “Local Plant Management will make an election once each model year to schedule overtime operations in accordance with Plan A or Plan B”. And once the 3-week post-model change period is up, management can schedule Saturdays until they are exhausted, even if it means 6 in a row. (Remember, we’re talking model year, not calendar year, so if all 6 are used in 2012, no more can be scheduled until after next model change. We are unaware of any being tentatively scheduled yet.) Can we really build many more vans on this schedule as opposed to the schedule we are on now? Actually, yes. Assuming no downweeks and the model year running equivalent to a calendar year, we could produce 163,000 vans with a 9.6 schedule off of K-line (for 2012 model year we will build 112,469 vans). Of course we know there will be a month off later this summer and the first 2 weeks of January are tentatively scheduled downweeks as well. And there is downtime tentatively scheduled next summer (length and dates still to be determined). Bottom line, this change will maximize the production we can get from a 2-shift operation, which is why we ran under this plan for several years when we were selling 150,000+ vans annually. There are also questions about vacation days for individuals – hours charged, how to handle Saturdays etc. - that are being worked out. When those issues are resolved we will let you know.


FYI – all of your Benefits Representatives will be attending a conference next week and will be out of the plant the entire week.
Reminder: Union Meeting will be the last Wednesday of June (the 27th) this month due to scheduling conflicts for many of the Executive Board members. There will also be no Union meeting in July unless there is membership action.
From the Chaplaincy Committee: “Fathers” have a happy and blessed Father’s Day. May you excel in Fatherhood.

From Automotive News: General Motors and German labor union IG Metall have given themselves four months to hammer out a definitive plan to restructure the loss-making operations of Opel, the U.S. carmaker's European brand. "The aim of the negotiations is to create a road map for Opel through 2016 and even beyond. I can tell you that labor is absolutely determined to reach a fair deal," Oliver Burkhard, a senior IG Metall official, said. GM, IG Metall and Opel's labor leaders said on Wednesday that they were in talks over a plan to end production at the company's Bochum plant at the end of 2016 in exchange for guaranteeing all German jobs to the end of that period. "We are unlikely to have certainty by the end of October whether Bochum will be closed. But we still have a good four years until then, and when I think about all the things that have changed in the past four years, then nothing is written in stone," Burkhard said, adding that talks could begin in earnest because the right people were finally sitting at the table. "It makes no sense to discuss with the German management what GM's overall strategy is for Opel," he said. "Thankfully, we got what we wanted and General Motors, the parent, is negotiating with us directly, so we now have a greater certainty than before when it comes to agreements." IG Metall is offering to defer a wage increase if GM considers shifting the manufacture of some of the 160,000 vehicles it makes overseas and imports to Europe. "The Chevrolet Orlando that is built in Korea shares the same underpinnings as the Zafira built in Bochum, for example," Burkhard said.

From Reuters: General Motors Co, which said this month it would shut down an assembly line at an Ontario plant, still wants to keep production in Canada, its chief executive said on Tuesday. But he cautioned that high manufacturing costs in Canada mean upcoming contract talks with the Canadian Auto Workers (CAW) union will be tough. Canada is now the most expensive place in the world to assemble a motor vehicle, GM CEO Dan Akerson said, adding that the company's investments must make economic sense. Asked if the planned closure next year of an assembly line employing about 2,000 workers at GM's Oshawa, Ontario, plant was a sign of what could happen if unionized Canadian workers take a hard line in contract negotiations, Akerson said: "Everything's in the mix. They're an important part of our manufacturing footprint in North America, in the globe, and we'd like to keep it that way." Although Canadian plants are expensive, they are "very high quality, very high productivity and the workers are very dedicated employees," Akerson told reporters ahead of GM's annual shareholders meeting in Detroit. "They know they have a cost differential vis-a-vis the U.S. or Mexico in North America," he said.

From the Detroit News: A trade group representing Detroit's Big Three automakers expressed concern that an adviser to Republican presidential candidate Mitt Romney supports Japan's entry into a Pacific free-trade agreement. Former Commerce Secretary Carlos Guttierez, a trade adviser to GOP presidential candidate Mitt Romney, recently said the Obama administration should include Japan, Canada and Mexico in the talks. The Trans-Pacific Partnership talks currently include Australia, Chile, Peru, Singapore, Brunei, Malaysia, New Zealand and Vietnam. American Automotive Policy Council President Matt Blunt said Japan should not be allowed into the Trans-Pacific Partnership. "As policymakers take a stand against unfair trade practices, they must consider Japan's notoriously closed auto market as a primary reason to disqualify them from joining the Trans-Pacific Partnership at this time," said Blunt, a former Republican Missouri governor. "Japan's status as the most closed auto market in the developed world is the reason U.S. and European automakers have independently raised concerns about their unfair trade practices and why South Korean automakers no longer attempt to sell their vehicles there." A free-trade agreement could drop tariffs on Japanese vehicles - 2.5% on cars and 25% on trucks- entering the United States and make it more economically viable to build vehicles in Japan and export them to the U.S.

Tom Brune
UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119

Tuesday, June 12, 2012

State of the Union June 12, 2012

June 12, 2012 online at www.uawlocal2250.com

As the UAW steps up organizing efforts at the Nissan plant in Canton, Mississippi, several media outlets are reporting the developments from different perspectives. The Hattiesburg American wrote, “Clearly, there is an effort to break Mississippi's "right to work" state status with a unionization push at the Nissan plant in Canton. Yet other than perpetuating the union's eroding existence with new members and new union dues, the United Auto Workers have to make some sort of rational pitch to the state's auto workers as to why it would be to their advantage to pay dues. While there have been incredibly vague and as yet unsubstantiated allegations of "human rights violations" by union organizers and some of the beneficiaries of their campaign contribution largesse in Congress, the UAW has yet to offer any substantive examples of why Mississippi auto workers need unions. But more than failing to make the case that worker safety is endangered or that wages are out of line with other non-union auto manufacturing plants in the region, here's the hardest sell for the UAW in Mississippi: According to the U.S. Department of Commerce's Bureau of Economic Analysis, Mississippi's per capita personal income level increased 3.6 percent from 2010 ($31,071) to 2011 ($32,176).” The Detroit News relayed a message from UAW President Bob King which said, “Workers have had to endure months of meetings during work time where they only hear the employer's anti-union views. Nissan holds these 'captive audience' meetings every day, in plantwide meetings, small-group meetings and one-on-one meetings. At these meetings, company management tries to scare workers about unionization, interrogates them about their support for the union and tries to convince them not to support a union." The UAW is highlighting the wage difference between a Nissan worker in Canton and one in Smyrna, Tennessee, which is about $1.50 an hour. The News reports that Canton workers top out at around $25 an hour. Nissan spokesman David Rueter had this to say, “Nissan's wages and benefits are competitive, and Nissan has never laid off a single employee in the nearly 30 years it's had manufacturing operations in the U.S. Our sales and market share growth, our work force additions and our financial success have greatly benefited the communities where we do business. Our results and our reputation in the communities where we operate speak for themselves, and they contrast sharply with the image that the UAW would like to paint of Nissan."

From Reuters: General Motors Co's chief executive said on Tuesday the U.S. automaker was in "constructive" talks with unions in Germany about its plants there, but declined to address the fate of a factory many analysts expect will eventually be closed. "We are in discussions with our German unions and others throughout Europe," CEO Dan Akerson told reporters before GM's annual shareholders meeting. "They're constructive, they're professional, and it's our hope and expectation that we'll come to some sort of mutual understanding." Akerson declined to address whether the future of a plant in Bochum, Germany will be discussed by the GM board at its meeting later Tuesday. When asked whether the talks with unions would cover Bochum's future, Akerson said they relate to all GM's European plants. GM is hosting its second annual meeting since emerging from bankruptcy in 2009 and going public in late 2010. The largest U.S. automaker is facing an increasingly difficult environment in Europe, where demand has drastically declined during the region's financial crisis. Speculation that Bochum would close intensified after GM said last month it would halt Astra production at Opel's main plant in Ruesselsheim, Germany, with the car only to be made in Britain's Ellesmere Port and Gliwice in Poland. GM executives have refused to promise workers in Bochum their jobs would be safe after the company's current labor deal with German union IG Metall expires at the end of 2014. In regards to the recent salaried pension moves, Akerson also said today that GM would consider making the same offer to hourly retirees retirees - the choice of taking their pensions in lump sums instead of receiving monthly payments - who make up most of the company $130 billion in pension obligations. “I’m not saying we’re going to do it, but it’s certainly something we would consider if the opportunity arose,” Akerson said.

From Automotive News: Toyota went to the whip on fleet sales in May for a fifth straight month but says it will concentrate more on retail volume in June. Fleet sales more than tripled to 26,400 units. Most other major automakers focused on retail in May. Chrysler Group increased retail volume 39 percent and fleet volume by 10 percent. General Motors' fleet sales gained 3 percent, but retail sales rose 15 percent. Ford Motor Co. was more balanced, with retail sales up 12 percent and fleet sales up 13 percent.

  May 2012
Fleet Sales
May 2012
Fleet Share
May 2011
Fleet Sales
May 2011 % Share May % Change
Ford Motor 74,600 35% 66,000 34% 13%
General Motors 72,400 30% 70,300 32% 3%
Chrysler Group 39,200 26% 35,600 31% 10%
Toyota Motor 26,400 13% 8,300 8% 220%
Nissan N.A. 9500 10% 11,200 15% 15%
Hyundai-Kia 8,800 7% 9,900 9% 11%
American Honda 2700 2% 1,800 2% 48%


Tom Brune
UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119

Thursday, June 7, 2012

State of the Union June 7, 2012

June 7, 2012 online at www.uawlocal2250.com

•Reminder: The annual Women’s Committee Benefit Golf Tournament will be held Saturday, June 30 at Country Lake golf course in Warrenton. It is a 3-person scramble with a 1:30 pm shotgun start. The cost is $70 per person/$210 per team. The first 3 places in 3 flights will be paid. There will also be a longest drive, closest to the pin and a skin game. Food and beer will be served after the tournament. The proceeds will go to “Turning Point” abused women’s shelter. Entry forms are available at the entrances.

•From the Jackson Clarion Ledger: Elected officials and Nissan workers gathered in Canton on Sunday to discuss what it would take to establish a labor union at the plant. Congressman Bennie Thompson called a news conference Sunday afternoon to say he supports workers' right to form a union. "Many taxpayers in this state are saying that democracy should be the order of the day, and in a democracy, people have the right to choose," Thompson said. Employees said they approached the United Auto Workers about starting a union at the Nissan plant. The UAW has tried in the past to unionize workers at Nissan's plant in Smyrna, Tenn., and at other foreign-owned auto plants in the South. However, Nissan spokesman Dave Reuter told the Associated Press on Friday that no union election has been held at the Canton plant since it opened in 2003. "We don't believe that putting a third party between ourselves and our employees is going to make things better," Reuter said. "We don't believe it's going to improve our employees' work environment or our own prosperity." State NAACP president Derrick Johnson said his organization also stands behind workers' right to unionize, "because it's the right thing to do. Our goal is to ensure that equal protection under the law is guaranteed for all citizens," he said. "That also should extend to workers having a right to cast a vote so they can choose their representation." The National Labor Relations Board said Friday no petition has been filed seeking a union vote in Canton. At least 30 percent of workers have to sign a petition for the board to set a vote, and then 50 percent plus one can vote a union in. UAW President Bob King said in December that there have been reports of civil and human rights violations in Nissan plants. But Thompson and others would not provide specifics. "To our knowledge there have been instances, but I want to say that I'm confident that a company like Nissan would not move itself to that level," he said. "But I would not want that company to put any fear or any threat of reprisal to those individuals that work there just because they exercise the right to choose whether they want to be represented by a union or not." Thompson, who insisted that workers should not face recrimination for wanting a voice, said that employees may speak out about the things they have allegedly encountered sometime in the future. "Intimidation is probably a strong word, but the question is that they're being interviewed by the company, and there are discussions going on by organizers that they used to not have," he said.
Nissan workers said they have sat through roundtable discussions in which they were told they didn't need a union. They said they are told that the union just wants workers' money. "I went to one last week," said Betty Jones, who has worked with Nissan for nine years. She said the meeting was simply to tell workers that "We don't need a union, we're anti-union at this company." Rafael Martinez said he attended one of the meetings recently as well. "Just two weeks ago we attended a focus meeting," he said. "Everything is negative about the UAW." James Brown said some people are trying to make the issue one of worker pay. "But it's not about money. It's about respect as well," he said. "The better workers are paid for the jobs they do, the better they can support the community." But none of the employees are stating any dissatisfaction with their jobs. "I love my job," said Rosalind Essex, who has been with the company for eight years. "I just want to be able to voice my opinion." And the employees who turned out Sunday were also in agreement that they want the chance to unionize for their families, and the future of their community. "We don't want to lose our jobs, we have families out there," said Essex. "We are the union. The employees are the union." Reuter has confirmed to the AP that the Canton Nissan plant's wages are lower than at other Nissan plants, but called them "competitive." "The wages differ," he said. "We're talking about different labor markets."
From the Detroit News: Sen. Carl Levin, D-Detroit, warned Wednesday that a quick sale of the Treasury Department's remaining 26.5 percent stake in General Motors Co. could hurt the company and send its stock price sinking. Levin's comments came after former Massachusetts Gov. Mitt Romney told The Detroit News on Friday that he would quickly sell the government's remaining 500 million shares of stock in the automaker — even if it means a $16 billion loss for taxpayers. Romney asserted that the Obama administration was holding onto its stake in GM — part of the Treasury's $49.5 billion bailout — in order to avoid bad publicity from taxpayer losses. Levin told The Detroit News on Wednesday that "dumping" the rest of the government's stock could hurt the automaker. "It would hurt GM. It would hurt the auto industry because GM is a big part of the auto industry," he said. "I don't think from a purely business point of view it makes sense to dump all that stock." Levin said the decision on when the government should exit GM should be made by career Treasury officials "rather than politicians." Levin, Michigan' s senior senator, said he didn't think GM wants to see an abrupt sale. "I doubt very much that GM wants all of its stock sold at once," he said. "One of (Romney's) sources of expertise is not building an industry but dismantling companies, so he's not really someone I would look to for expertise on the auto industry."


From Autoblog: When the Society of Automotive Engineers (SAE) laid out its J2807 tow-rating guidelines a few years ago with input from domestic and Japanese truck makers and tow suppliers, the standardized testing regime was applauded as a way to provide reliable comparisonsbetween manufacturers. Even though it would mean lowering their tow ratings, all of the truck makers agreed to use the J2807 protocol as of 2013. Toyotamoved to the new ratings two years ago, resulting in tow ratings for its Tundradropping anywhere from 400 to 1,000 pounds. When it came time for General Motors to announcing its 2013 trucks, it released towing specs based on the new standards, sending some ratings up and other down by hundreds of pounds. Ford, however, has decided that it will move to the J2807 standard when it's "all-new models come to market," which means The Blue Oval gets at least another year, probably more, to use its current figures. Predictably, GM not only cried foul, it took back the SAE numbers – even though they've been revealed – and has reverted to the pre-SAE ratings. A GM statement read, in part, "For example, key competitors are continuing to use their existing ratings for 2013 model year pickups. Retaining our existing rating system will reduce confusion for dealers and customers." UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119

Tuesday, June 5, 2012

State of the Union June 5, 2012

June 5, 2012 online at www.uawlocal2250.com

The June Union Meeting will be moved to the last Wednesday (June 27) of the month due to scheduling conflicts with several Executive Board members.

Van sales continue their comeback from the depths of the recession. You’d have to go back to 2007 to find a better May result. Here’s how the month shook out among all the players:

  2011 2012 Change Share
Ford Econonline
14,160 10,778 +31.4% 52.4%
GM
10,018 8,954 +11.9% 37.0%
Mercedes Sprinter
2,041 1,420 +43.7% 7.5%
Nissan NV
825 360 +129% 3.1%
Ford Transit connect
3,937 2,581 +52.5% ----
In fact, 2007 was the last good year in the van market before the housing crash put the brakes on construction related spending. That year, GM sold 140,436 vans and had 9 months of sales in excess of 10,500. What was our best year? In 2005 we sold 162,350 vans and had five consecutive months of sales over 16,000! Back to the present, field supplies are still hovering in the low 40s. Chevy passenger vans are at 11 days supply and cargo vans are virtually unchanged at 42 days. Cutaways are up 200 units.

From the Detroit Free Press: On Friday, GM told the CAW it plans to shut down one of its Oshawa assembly lines next year as it moves production of the next-generation Impala to its Detroit-Hamtramck Assembly Plant and some production of the Chevrolet Equinox to Spring Hill, Tenn. The decision means that three shifts of workers, or about 2,000 employees, will lose their jobs at the Ontario complex that once employed 23,000 in the early 1980s. About 2,000 workers will continue to build the Buick Regal, Chevrolet Camaro and Cadillac XTS at GM's remaining assembly line at the plant. GM's decision is likely tied to the lower value of the dollar compared with the Canadian dollar and the concessions that the UAW has agreed to in recent years that have lowered GM's U.S. labor costs, said Chris Buckley, president of CAW Local 222. "It makes us one of the highest-cost producers in the world," Buckley said of the currency rate. The CAW estimates that GM's total labor costs for wages and benefits is about $60 per hour in Canada compared with about $56 per hour in the U.S. Buckley contends the CAW could have closed that cost gap if it was given the chance.

" ... Every time we met with GM we pressed for future investment," Buckley said. "What is so frustrating is not even being able to have the opportunity to close the gap. We find that offensive."

GM spokeswoman Faye Roberts said currency values and UAW concessions played no role in GM's decision. "There was a large group of capacity reductions announced in 2005," Roberts said. "We've been very fortunate that the demand for the products built there sustained the line longer than anticipated." The move comes as the CAW enters contract talks this year with all three major U.S. automakers. Buckley doesn't think GM's decision is a negotiating ploy. "On numerous occasions I have asked GM not to wait until contract talks to discuss new products. GM has consistently responded that there are no plans to put new product here."

From Reuters: General Motors Co will cut nearly a quarter of its U.S. pension obligation by transferring the management of its pension plans for 118,000 white-collar retirees to a third party and offering lump-sum buyouts. The two moves unveiled on Friday will cut $26 billion from the automaker's massive U.S. pension liability of nearly $109 billion. GM's pension overhang is a top concern for investors. It was one of a handful of issues left untouched during GM's U.S.-financed bankruptcy restructuring three years ago. "There are lots of companies with pension plans. Very few have plans in the absolute or relative size as us," Chief Financial Officer Dan Ammann said during a conference call. "We would like to get back into the category where this is sort of a non-issue for us," Ammann added. "That doesn't mean eliminating it completely, but obviously we've taken a big step in the right direction today." The automaker also announced a third pension-related move. GM will shift most of its salaried employees and a small number of retirees who started receiving pension benefits on or after December 1, 2011, to a new pension plan that GM will continue to pay for. These retirees are not part of the 118,000 affected by the pension overhaul announced Friday. GM will buy a group annuity contract from a unit of Prudential Financial Inc, which will pay and manage benefit payments starting in January 2013 to retirees who are ineligible or elect not to take a lump-sum pension buyout.

GM will also offer pension buyouts to about 42,000 retirees and their surviving beneficiaries, who will have until July 20 to make a decision. The company will start sending those offers to eligible retirees next week. To fund the transaction, GM will shift $29 billion from its pension plan assets to Prudential and put in between $3.5 billion and $4.5 billion in cash. GM's pension shortfall will also narrow by $1 billion. GM will take a special charge of between $2.5 billion and $3.5 billion in the second half of the year. It will also result in a $200 million non-cash hit to earnings. Over a 15-year stretch that ended in 2006, GM put $55 billion into its workers' pension plans, compared with $13 billion it paid out in dividends, according to the 2008 book, 'While America Aged" by Roger Lowenstein.

"We will be less exposed to the funding volatility and calls on cash we have experienced in the past, which in turn, will improve our flexibility to deploy cash for alternate uses," Ammann said on Friday. GM retirees represented by the United Auto Workers union are not affected by Friday's announcement. Last year, GM and the UAW agreed to discuss ways to cut the risk posed by GM's pension plan during contract negotiations. During the conference call, Ammann declined to shed light on those talks, beyond saying that pensions were a "significant topic of discussion" during those meetings. "We have generally agreed with the UAW that we will maintain a dialogue on pensions going forward and continue to look at de-risking alternatives, but anything we discuss with them on that remains private between us and them," Ammann said. A UAW spokeswoman could not be immediately reached.
Tom Brune
UAW/GM Communications Coordinator
Wentzville Assembly
636-327-2119