Thursday, October 22, 2015

State of the Union October 22, 2015

October 22, 2015 online at www.uawlocal2250.com

• There have been a lot of questions about when Veterans Day observance would be this year. It has now been confirmed that this will be the Wednesday before Thanksgiving, November 25.

• Yesterday, GM announced 3rd quarter financial results, and in case you hadn’t heard, it was a record quarter for North American profits. GM reported EBIT (earnings before income taxes, which is what our profit sharing is based on) of $3.3 billion. That brings the year-to-date total for North American EBIT to $8.33 billion, which equates to $8250 in profit sharing under the current formula with one quarter to go. GM’s guidance is that 4th quarter profitability should exceed last year’s, which was $2.2 billion. Based on that, and using the current formula, profit sharing payouts should exceed $10,000 and could be as much as $11,000.

• The Community Services Committee is holding a raffle to raise money to level gifts for the annual Adopt-A-Child program. The prizes are an ION Block Rocker speaker, a $100 QT gas card and a pair of Blues hockey tickets. Raffle tickets are on sale now through Friday, October 30. Prices are $5 each, 3 for $10 and something new for this year, 22 tickets for $20 (this was determined by how many tickets it took to reach from the front wheel to the back wheel of a Colorado). Tickets can be purchased from Tina Hays (2nd shift stamping), Mike Fleschert (1st shift body shop) and Wanda Richard (1st shift suggestions) or any other committee member.

• Tryouts for the 2nd Annual UAW Men’s Basketball tournament will be held Friday, November 6th, 2015 from 12 noon to 2pm and again from 3 to 5pm @ Progress Park, 968 Meyer Rd., Wentzville 63385, with a $4.00 gym fee. The Thanksgiving Tournament will be held in Kansas City and all proceeds will be donated to UAW Local 31 Adopt-A-Family project. (Must provide your own transportation to Kansas City) Please contact Coach Owen Jackson (314) 650-6328 or Fred Jamison (314) 497-3067 (Trustee/Recreation liaison)

• From the Detroit News: An overwhelming majority of Fiat Chrysler Automobiles’ 40,000 United Auto Workers members voted in favor of a new four-year labor contract that includes raises for all workers and a $5.3 billion investment in North American plants. The 77 percent “yes” ratification vote, confirmed by the union Thursday, comes three weeks after union membership resoundingly rejected the first tentative agreement between the two sides by a two-to-one margin. At several plants, more than 70 percent of ballots were cast in support of the pact. Production workers at all major assembly plants in Metro Detroit supported the deal by at least 70 percent.

• UAW President Dennis Williams stated, “The recent bargaining process that took place on behalf of our members at FCA is a testament to the UAW’s democratic values and commitment to our members. The resolve of our membership and the dedication of our negotiating team has produced an agreement that affords UAW members a strong wage package and job security while still allowing the company to competitively produce high quality vehicles for our customers.” UAW FCA US Vice President Norwood Jewell said, “UAW members at FCA have obtained a strong agreement that provides substantial wage gains, fairness in the workplace, and job security. Because of the strength and support from our membership, our bargaining team was able to negotiate a contract which promises a secure future for our members, their families and their communities.” (No word yet on whether GM of Ford, or both, will be the focus next)

• Memo to Tesla: Consumer Reports giveth and Consumer Reports taketh away. Earlier this week CR came out with their annual predicted reliability rankings. Even though CR scored Tesla’s Model S 103 on a scale of 100 (did any of you ever get 103% on a test? Didn’t think so), the car lost the coveted “Recommended” buy rating. What went wrong? "We're seeing all types of issues [with the Model S]," said Jake Fisher, director of auto testing at Consumer Reports. "Some are annoying issues like squeaks in the hatch or rattles and squeaks in the sun roof, but we're also seeing major issues in terms of the charging systems. We're even seeing people who have to have the entire electric motor replaced." Buick was the only domestic brand to finish in the top 10 (7th).

• From Automotive News: General Motors is adding a second shift -- about 1,200 workers -- at its Detroit-Hamtramck plant to meet future demand for the five vehicles made there, including the redesigned 2016 Chevrolet Volt plug-in hybrid that rolls out in coming weeks. The plant also is scheduled to begin production in early 2016 of the Cadillac CT6, a large, lightweight sedan that will be the first vehicle made by GM using a special technique that spot welds aluminum to steel. Detroit-Hamtramck also serves as a secondary production site for the Chevy Malibu and Impala sedans, and it assembles the low-volume Cadillac ELR plug-in, a sibling of the Volt. GM said hiring already has begun and that it would put on the second shift in early 2016. The facility will employ about 2,800 hourly and salaried workers once the hiring is done, the company said. GM retooled Detroit-Hamtramck earlier this year for the next-generation Volt. Some industry forecasters predict that production of the redesigned Buick LaCrosse sedan could move to the plant, from GM’s Fairfax Assembly plant in Kansas City, Kansas, when it goes on sale in the second half of 2016. The 30-year-old, 4.1 million-square-foot facility is one of GM’s most flexible assembly plants (GM CEO Mary Barra was the plant manager there in 2003 and 2004). The company has invested about $1 billion into the factory over the last five years, installing equipment that enables workers to produce five cars built on three separate platforms. Malibu and Impala production at the Detroit-Hamtramck plant is relatively limited. Only about 10,700 Malibus were made there this year through September, vs. nearly 120,000 at Fairfax, the data center estimates. About 27,000 Impalas were assembled there, vs. about 76,000 at GM’s Oshawa, Ontario, plant.

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

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