Pattern bargaining is how things tend to be done in Detroit, a strategy which ensures that one automaker doesn't tend to get a plum deal at the expense of the other car builders in town. General Motors and Chrysler negotiated pretty hard with the United Auto Workers as part of the bailouts, and Ford's now in the process of securing new agreements with its labor force. While the Blue Oval didn't need government money to stay afloat (well, aside from those low interest technology loans, anyway), i
Ford is arguably the domestic maker in the most trouble, and it appears the UAW has allowed more concessions for Ford than for either of the other two domestic car car makers in its contract negotiations. With combined savings from the end of health care obligations, revised rules on hiring, salaries, and classifications, Ford will be able to put $2 billion more in its coffers every year.
It wasn't easy, but it looks like General Motors will have its new contract ratified by the UAW by October 10th. We expect the UAW to start proceedings with either Ford or Chrysler as soon as this Monday, but Ford has apparently made it known that it needs more concessions from the union than were given to its cross-town rival GM. BloggingStocks is reporting the UAW president Ron Gettelfinger knows this, saying that the deal he struck with GM will be a "rough template" for deals with Ford and Ch