- Jul 7, 2005
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Two stories regarding the UAW today. (now with more stories)
First up, UAW rejects Delphi proposals After all it is a substantial paycut. Yet at the same time some pay is better than none. In other words, its possible Delphi could collapse. Delphi has also threatened to void the contract in court if necessary creating a showdown where the UAW would strike. Needless to say GM would suffer and that is the real target here, the UAW wants GM to pay for Delphi being spun off.
Second is UAW hints it could unionize foreign automakers but of course doesn't commit to their own comments about it. In other words its just playing the press. Of course 'some' workers will have interest in the UAW, but don't expect the UAW to succeed unless their buddies in Washington change the rules on how a shop gets unionized... after all if they get their way intimidation will be back in style. Chrysler may be spun off simply because the German parent cannot handle the UAW being unflexible.
In the end the US automotive industry will shrink again because it cannot adapt to the real world. The costs associated with making vehicles has to come down and the quality must go up. The problem is is that the workers are used to the near free ride on many items and refuse to give them up. With China's automobile industry coming soon it may be a moot point, but the UAW better adapt for it may become a relic of the past along with US based automotive manfacturing.
Hmmmm Perhaps Chrysler is prepping for a long fight with the UAW. Their inventories are increasing to record levels, with what normally would be considered dangerous numbers of cars. With this many on hand they could sustain a long strike and be okay for much longer than normal.
One area for consideration in talks, at least from the manufacturer view is Job banks Basically you get paid for not working. Originally created to protect from outsourcing/etc they have become a financial liability on the automakers.
First up, UAW rejects Delphi proposals After all it is a substantial paycut. Yet at the same time some pay is better than none. In other words, its possible Delphi could collapse. Delphi has also threatened to void the contract in court if necessary creating a showdown where the UAW would strike. Needless to say GM would suffer and that is the real target here, the UAW wants GM to pay for Delphi being spun off.
Second is UAW hints it could unionize foreign automakers but of course doesn't commit to their own comments about it. In other words its just playing the press. Of course 'some' workers will have interest in the UAW, but don't expect the UAW to succeed unless their buddies in Washington change the rules on how a shop gets unionized... after all if they get their way intimidation will be back in style. Chrysler may be spun off simply because the German parent cannot handle the UAW being unflexible.
In the end the US automotive industry will shrink again because it cannot adapt to the real world. The costs associated with making vehicles has to come down and the quality must go up. The problem is is that the workers are used to the near free ride on many items and refuse to give them up. With China's automobile industry coming soon it may be a moot point, but the UAW better adapt for it may become a relic of the past along with US based automotive manfacturing.
Hmmmm Perhaps Chrysler is prepping for a long fight with the UAW. Their inventories are increasing to record levels, with what normally would be considered dangerous numbers of cars. With this many on hand they could sustain a long strike and be okay for much longer than normal.
One area for consideration in talks, at least from the manufacturer view is Job banks Basically you get paid for not working. Originally created to protect from outsourcing/etc they have become a financial liability on the automakers.
