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New contract between Ford and UAW voted down over weekend
What's good for the goose may be good for the gander, but what works for one country or automaker doesn't necessarily work for another. So while the Canadian Auto Workers union may have approved a new agreement with Ford, below the 49th parallel their compatriots apparently feel otherwise.
Up for ratification over the past week and into the weekend was a proposal that would essentially grant Ford the same measures that unionized auto workers extended to Chrysler and General Motors in the midst of their bankruptcy proceedings. The measures include limitations placed on the unionized workers' rights to strike for increased wages and benefits, as well as a reduction in paid vacation time, a broad wage freeze as well as one on cost-of-living adjustments and increased employee contributions towards insurance and pensions. The agreement would also allow the automaker more flexibility in shifting jobs around, and in exchange the workers expected more jobs to be created – or at least fewer to be lost.
Some union leaders pleaded with their constituents that ratification of the deal was essential to keeping all three of the Detroit automakers on an even keel, thereby maintaining a common ground on which to build negotiations for the future. However as voting drew to a close across the country this weekend, UAW members at three of Ford's largest U.S. plants – the Dearborn Truck Plant, Romeo Engine Plant and UAW Local 862 representing the Louisville Assembly Plant and Kentucky Truck Plant – all voted against the new contract, making its passage now virtually impossible.
[Source: The Detroit News | Image: Scott Olson/Getty]
Reader Comments (Page 1 of 4)
Joe 1:35PM (11/02/2009)
Nissan GTR all the way!
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Francis 1:40PM (11/02/2009)
I fail to see how that's relevant.
sean lawrence 1:40PM (11/02/2009)
Just another reason to buy NON-UNION.
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travisty 1:59PM (11/02/2009)
How about just another reason to buy the car I want, at the price I want, regardless of whether it was built by union or non-union people?
sean lawrence 2:37PM (11/02/2009)
We can talk about mismanagement, poor quality, poor designs, but the heart of Detroit's problems are the Unions. The insane health benefits of Union workers, the 30%+ daily absenteeism. When Union costs are factored in we can't make competitive small cars, so we make luxo-yachts. Who would compare a Chevy Cobalt with a Honda Fit or Civic? And when they do design a fine small car like the Focus, they have to squeeze their suppliers and end up with cheap parts and an unreliable product. I have been a fan of the Chevy Volt. The problem is not our engineers, they are as good or better than anyone in the world.
I have long been a fan of American products and American industry, but Unions are all about entitlements. I am already part owner in Government Motors and that is the last time I will support Union products. Let them fail.
PMMoorhead 3:10PM (11/03/2009)
i don't see how a democratic vote of union members makes you insist on buy a non union car. Seems to me no matter what the vote if your not in that union is shouldn't matter to you, unless you feel to force your views on some one else. That sounds a bit communist to me.
sean lawrence 3:22PM (11/03/2009)
PMMoorhead,
The only way that you can use democratic and union in the same sentence is to say the Unions are financing the Democratic Party. Let's talk about the Union proposal to abolish secret elections, so that any discenters are subject to attack and harrassment. Unions don't care about the car companies or the general population, they car only about the union. They would rather see companies fail and have all of the workers out of employment rather than see them non-Union. And let's talk about the Government giving the Union equity in Chrysler ahead of bond holders. That sounds a bit communism to me.
Benfolio 1:41PM (11/02/2009)
What the HELL is that guy second from the left wearing under his coveralls???? YUCK!
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HotBBQ 1:44PM (11/02/2009)
They just don't seem to get it, do they?
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Matt 1:44PM (11/02/2009)
Good for the workers!
Stick with Saint Al and say..."I'm fine where I'm at".
When Saint Al and the rest of the suits get serious about sharing the pain they might get somewhere in these negotiations.
And if Ford wants the SAME concessions as GM/Chrysler (while cheerleading that they are somehow different than GM/Chrysler), then Ford should file for C11. If they are not willing to do that...then Ford needs to shut up, stop whining and pay your workers. The workers deserve some of that claimed billion profit too.
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Glock23 1:57PM (11/02/2009)
How many 1/2 stars until you finally get the hint and go somewhere else?
TonyInMI 2:28PM (11/02/2009)
Dude you are sooooo wrong. Maybe in the '30s but not today.
James Sonne 2:39PM (11/02/2009)
How does a handful of suits with the education, experience, and know-how getting paid a millions of dollars compare to tens or hundreds of thousands of uneducated, unskilled autoworkers getting paid starting salaries of $70k plus benefits?
If these people don't want to work for the wages the company is willing to pay them, the company can go find plenty of people to replace them at a reasonable wage. Last everyone checked, there are 3,000,000 people looking for a job. Seems like it's a buyer's market, not a seller's market. Time the autoworkers woke up and realized they're expendable and be THANKFUL they HAVE a JOB, unlike three million other Americans who have the right to complain.
What does a business filing bankruptcy have to do with whether or not their terrorist unionized employees are getting paid a fair and honest wage? I know what I would do if I were the CEO of Ford. I'd offer every worker a "buyout" option of $40k a year plus benefits and dissolving their union ties or tell them to take their pension and leave; then I'd put nationwide campaigns on TV to hire new employees. There are three million people out there that wish they were working for $40k and great health insurance with a pension option.
sean lawrence 2:52PM (11/02/2009)
How fitting that it's in Obama's hometown. We have only to look to England to see what will happen to our autoindustry. Government arrangements that serve political interests, but result in business failures. British Leyland anyone??
Soon the only American cars will be foreign namplates. American makes will move their products South or to China to take advantage of cheaper labor. Imports will have more local content than American makes.
Matt 4:55PM (11/02/2009)
This is way too easy.
Ford CHOSE not to file for C11. If Ford wants the same "special" advantages that C11 gets you...then they should file.
But you cannot tell your workers that the company is in trouble and they need to tighten their belts....when the CEO is not willing to do that and at the same time, cheerleading about an empty profit.
It's funny that when Saint Al says "I'm fine where I'm at" people applaud him.....but when his workers do they same thing, they are somehow evil.
Ford is a greedy and arrogant company. And I hope Big Al's words really come around to bite him.
jinushaun 5:24PM (11/02/2009)
It's too bad unions own the Democratic party. I wish Bush had actually done some good during his administration and broken them up like a true Republican/conservative is supposed to.
someone 6:05PM (11/02/2009)
FAIL! Your opinion is wrong. Pink slips all the way.
MJS 6:44PM (11/02/2009)
How about the workers sharing in the losses??? None of their paychecks bounced, all because Ford did everything to keep as many employed. When will you realize that a business is not here for the employees. Brutal as that may sound, it's the cold heart fact of every business. No business is started by someone thinking, gee, I want to hire people so they can buy a nice house, car, etc..., no every business is started and run for a profit. And that is not a bad word. Workers, who are good and reliable, don't need a Union. Unions may have helped a 85 years ago, but they lost site that the company must be profitable, always.
Look at every sector of the economy and with every problem, espeically the fed, state and local governments, you'll find a UNION.
Matt 8:27PM (11/02/2009)
See...no one can answer the question:
Ford claims they are not GM/Chrysler. Ford claims a profit for Q3. Saint Al said he is fine where he is at (regarding his pay). Ford chose not to file C11.
GM?Chrysler did file for C11......and in doing so, got, among other things, a new labor agreement. That labor agreement was a DIRECT RESULT of C11. Without C11, they wouldn't have gotten it.
So, why then, does Ford...who is "not GM/Chrysler...Ford is different", want the same labor agreement as GM/Chrysler?
Ford workers HAVE taken cuts in the past......but when the CEO refuses to take a pay cut and the manufacturer is cheerleading on how they made a profit for Q3 (because of C4C)...it's hypocritical to demand and attempt to strong-arm you workers into a bad labor agreement.
nytelecom 1:54AM (11/03/2009)
the UAW wants alan mullaly to sacrifice as much as them? really?!? because mulally cut his pay 30% at the beginning of this year. so now how much of a paycut is the UAW willing to accept?
ever notice how EVERYONE realizes UAW is the problem with the auto industry. that is, except for the UAW members.