Thursday, April 3, 2014

State of the Union April 3, 2014

April 3, 2014 online at www.uawlocal2250.com

• March van sales were up 6% at 7444 units despite the stop sale order. Here’s how the rest of the segment fared:

2014 2013 Change Share Ford Econoline 11,642 11,316 +2.9% 49.0% GM 7,444 7,020 +6.0% 31.3% Mercedes Sprinter 1,915 1,529 +25.2% 8.1% Nissan NV 1,645 1,290 +27.5% 6.9% Ram ProMaster 1,106 --- --- 4.7% Ford Transit connect 3,046 3,655 -16.7% --- Nissan NV200 1,090 47 --- ---

Field supplies as measured by days fell slightly from 57 at the end of February to 55 at the end of March. Net field stock in units was down 600 with cargo vans accounting for the lion’s share of the decline. Chevy passenger vans are at a 17 day supply. Looking at midsize pickups, Toyota sold 14,445 Tacomas, down 5% from last year while Nissan sold 7140 Frontiers, up 4.7%. And in full size pickup sales, the Ram 1500 outsold the Silverado for the first time since 1999 - 42,532 vs. 42,247. Commenting on that development, GM spokesman Jim Cain said, “The 1980s called. They want their marketing strategy back. It’s really easy to deeply discount your truck, mine the subprime market and offer cheap lease deals to buy market share.”

• From the International Union UAW: UAW members in Missouri: Earlier this week, Jefferson City extremists ignored voter demands and passed Paycheck Deception through the Missouri House. There is overwhelming evidence that Paycheck Deception and Right to Work harm working families and the economy. But state lawmakers are now just one vote away from turning this dangerous bill into law. Call your legislators right now and tell them to stop this attack on Missouri workers. Paycheck Deception will be a major step backward for working families. Not only will this law attack free speech, but it will stifle job creation and bring more outsourcing. Time is of the essence to protect the middle class: dial (888) 825-1418 to defeat this anti-worker bill.

• From Reuters: The UAW on Tuesday asked a U.S. agency to stay an April 21 hearing related to a mid-February union vote it lost at a Tennessee Volkswagen plant, citing what it called new evidence of collusion between Republican lawmakers and anti-union groups. The union was referring to a report aired on Nashville's NewsChannel5 late on Monday that cited email exchanges between anti-union groups, members of the staffs of Tennessee Gov. Bill Haslam and U.S. Senator Bob Corker and other public officials. According to the broadcast, the correspondence showed that Haslam's administration offered $300 million in economic incentives to help VW expand its operations in Chattanooga so long as the plant did not unionize. The parties also discussed anti-UAW messaging strategies in the days leading up to the union vote, according to the report. The UAW told the National Labor Relations Board in its filing on Tuesday that the news report was further evidence that outside groups were working on behalf of politicians who oppose organized labor. Tennessee Democrats called for a full investigation of the Volkswagen financial incentives initiative, called "Project Trinity", and questioned why the documents in the broadcast had not been produced when legislators filed a request last September for public documents related to the election. Clint Brewer, assistant commissioner of the Tennessee Department of Economic and Community Development, said in a statement on Tuesday, "The offer did not preclude the creation of a works council or union representation as a condition for the incentives." He said the incentive offer had been withdrawn in January before the UAW filed for an election at the plant. Last September, Rep. Mike Turner, head of the Democratic Caucus in the Tennessee House, requested that Haslam release documents of communication between the governor's office and VW officials regarding incentives. At the time, the governor's office said it would work to fulfill Turner's request. On Tuesday, Turner asked the leader of the Republican-controlled Tennessee house for an investigation into the incentives issue.

• From Automotive News: Wholesale prices of General Motors vehicles with faulty ignition switches are unscathed by the highly publicized recall of the vehicles, analysts say. That's because the recalled 1.6 million 2003-07 small cars are valued at about $2,000 to $5,000 each in the wholesale market so there is little room for the prices to fall, says Larry Dixon, an analyst with NADA Used Car Guide. Dixon says he doubts the recalled vehicles' wholesale prices will impact GM vehicles' general residual values because the recalled units are "light-years" from the vehicles the company builds today in terms of quality and technology. Since the recall was announced in February, wholesale auction prices of the recalled vehicles have held up better than those of their peers. For example, NADA guide data show that the average price of a 2007 Chevrolet Cobalt, one of the recalled nameplates, rose 14 percent from Feb. 10, the week the recall was announced, until March 10. During the same period, the average price of 2007 compact cars increased 7 percent.

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