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

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