|
 | Apr-14-2008UPDATE: UAW Rejects Mediator In American Axle Talks(topic overview) CONTENTS:
- Conner, a machine operator, sees a correlation between the contract the UAW reaches at his company, and what others in the industry may face in a few years. (More...)
- Socialist labor's great champion in the New Deal was New York Senator Robert F. Wagner, who was born in Germany, the home of Europe's most powerful socialist party, and immigrated to New York City, the epicenter of American socialism. (More...)
- Mondale said Fraser was a powerful advocate, the Detroit Free Press reported. (More...)
- I'm sick and tired of hearing about these spoiled rotten overpaid workers striking to get even more from their employer. (More...)
- Earlier yesterday, the UAW gave GM 5-day strike notices over local contract issues at three Michigan factories. (More...)
- Toyota Motor Corp. is now pushing to lower labor costs in the U.S., people who are familiar with the matter said. (More...)
- The vital decisions on where to invest society's financial resources - the product of the labor of the working class - must be made democratically by the people, not behind closed doors by speculators and other financial parasites. (More...)
- G-M says the U-A-W sent strike notices to the company yesterday for plants in Flint, Warren and Delta Township near Lansing. (More...)
- The company issued a statement Friday saying the union's proposed deal was not cost competitive. (More...)
- Yeah the company execs should also take a pay cut, I am in complete agreement there. (More...)
- For years, workers have been told socialism was contrary to human nature. (More...)
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Conner, a machine operator, sees a correlation between the contract the UAW reaches at his company, and what others in the industry may face in a few years. "It's like writing on the wall," said Conner, 46, of Madison Heights, about the effect American Axle's deal could have on the rest of the industry. "If they are able to accomplish this here, it is going to go to GM, Ford and Chrysler." To back his thesis, Conner referred to the last round of talks at the automakers, in which automakers adopted a two-tier wage structure that would pay far less to new workers hired for various jobs off the assembly line. In 2004, American Axle had adopted its own two-tier wage structure. Conner's argument shows how this strike's outcome has gained meaning that goes beyond the 3,650 people in this work stoppage. It would take more than wage cuts at American Axle to prompt the Detroit automakers to consider their own wage cuts, according to labor and management experts. They say such an effort would likely follow similar moves at Japanese competitors' U.S. plants, which set the benchmark for the wage structure that GM, Ford and Chrysler workers adopted last summer. [1] Although many thought it ended the threat of union unrest, the acrimony it avoided is now showing up in a six-week-old dispute between the UAW and a key GM parts supplier - a spat that is threatening to hit GM's hot-selling products at a time the world's largest automaker can least afford it. About 3,600 UAW workers at five American Axle and Manufacturing Holdings Inc. plants in Michigan and New York left their jobs Feb. 26 in protest of the company's quest for deep wage and benefit cuts.[2] By the early 1980s the UAW had abandoned any pretense of waging a struggle against the employers and openly embraced the outlook of corporatism. Its officials claimed that the class struggle had been superceded by the struggle of American industries against their economic rivals in Japan, Germany and elsewhere. The union promoted Buy American campaigns, flag-waving chauvinism and anti-Japanese racism in an effort to convince workers that the enemy they faced was not the corporate billionaires but foreign workers who were supposedly stealing American jobs. This was not just an American phenomenon. In the face of globalization of capitalist production, all the nationally based trade unions - including the Canadian Auto Workers, IG Metall in Germany, the British TUC - have been transformed from organizations that placed pressure on employers to increase wages and benefits into organizations that pressure their members into accepting concessions to attract investment. I've spent some time reviewing these past experiences because the way forward for American Axle workers and the working class as a whole must be drawn out of a critical assessment of the failed and false policies of the trade unions. New organizations of the working class are required - but they must be based on a diametrically opposed strategy. American Axle's Dauch declared last week that he was prepared to move production from the four strikebound plants to Mexico if workers did not accept huge wage and benefit cuts.[3] Many of the Bushouse family's creature comforts could soon disappear. This is a union household, whose patriarch, Kevin Bushouse, is one of about 750 employees of United Auto Workers Local 2093 who walked off the job seven weeks ago on strike against proposed cuts in wages and benefits by their employer, American Axle & Manufacturing Holdings Inc. "We're not doing that bad right now, but if this strike continues into May, we could start to be in pretty rough shape," Bushouse said.[4]
THREE RIVERS (NEWSCHANNEL 3) - The UAW gave American Axle a proposal to end the seven week strike on Wednesday. American Axle says it was still twice the amount its competitors were paying their workers. The company did admit this is the best offer from the United Auto Workers they've seen so far, butAmerican Axle is insisting that it must cut wages and benefits to stay competitive. The company also says if it cannot, it may close its plants, including the plant in Three Rivers.[5]
DETROIT, April 12 (UPI) -- Talks aimed at ending the contract strike by union workers at American Axle & Manufacturing Inc. are to continue through the weekend, the Detroit company said. The auto parts maker this week rejected a contract offer by United Auto Workers union negotiators, saying it lacked concessions needed to end the stalemate, which has idled some General Motors plants because of parts shortages.[6] DETROIT (Reuters) - American Axle & Manufacturing Holdings Inc (AXL.N: Quote, Profile, Research ) delivered a new proposal to the United Auto Workers union on Friday as the company and union continued talks aimed at reaching an agreement to settle a six-week strike at five U.S. plants.[7] DETROIT (AP) — Striking United Auto Workers union members are considering a new contract offer from American Axle and Manufacturing Holdings Inc. as bargaining continued through the weekend aimed at ending a seven-week strike over company demands for deep pay cuts.[8] DETROIT (AP) - When General Motors Corp. and the United Auto Workers signed a new four-year contract last year, both sides lauded it as historic collaboration that cut labor costs to save the U.S. auto industry from ruin. SAN FRANCISCO (Thomson Financial) - American Axle & Manufacturing said late Friday it has reached agreements with unions representing its employees in England, Mexico and Scotland.[9]
American Axle, which made $37 million last year, is trying to get the same concessions as the UAW gave to parts companies that were in bankruptcy, Alford said. It has modern equipment and factories that are more productive than competitors, he said. "They're taking advantage of the other automotive industries not doing well," Alford said. As negotiations continued on Friday, David Gregory, professor of labour law at St. John's University Law School in New York, said it's clear the UAW is trying to pull GM into the dispute because GM would have been hurt even without strikes at its own plants. "This is a very deliberate part of the UAW game plan," Gregory said, adding that GM can put pressure on both sides and could even end up at the bargaining table. "That may be what it takes, for GM to come in and help broker an agreement," he said. American Axle has said its U.S. total hourly labour cost of $73.48 per worker is three times the rate at its domestic competitors and too high for it to win new business. Union officials say they don't make near that amount, which they say includes retiree health care and other non-wage items.[2] Far from hurting GM, the strike has helped it cut inventories of slow-selling trucks without having to make supplemental unemployment benefit payments required under GM's UAW contract, Cole said. American Axle has said its U.S. hourly labor cost of about $73 per worker, including fringe benefits, is three times the rate at its domestic competitors and too high for it to win new business.[8]
A statement from American Axle says contracts talks continue. "Although it was a slight improvement from the UAW's previous bargaining positions, the all-in labor cost proposed by the UAW is still approximately 200 percent of the market rate of AAM's (American Axle's) competitors in the United States automotive supply industry," the company said in its statement. American Axle says it "needs a structural change in labor costs at its original U.S. locations that is comparable to the agreements the UAW has previously made with AAM's competitors." UAW members say they can't afford the cuts the parts maker has proposed.[10] Detroit-based American Axle said "the all-in labor cost proposed by the UAW is still approximately 200 percent of the market rate of AAM's competitors in the United States automotive supply industry." The company reiterated it needs a structural change in labor costs at its original U.S. locations that is comparable to the agreements the UAW has previously made with competing auto parts suppliers. If the UAW continues to refuse to make realistic economic proposals, AAM will be forced to consider closing these facilities, the company said.[11]
A UAW spokesman did not return a message to comment. American Axle repeated previous assertions that it needs substantial changes in the labor cost structure at its "original" plants, which includes its plants in the Town of Tonawanda and Cheektowaga. It reiterated the risk it says those plants face absent such an agreement. "If the UAW continues to refuse to make realistic economic proposals, will be forced to consider closing these facilities," the company stated. It already idled a production plant in Buffalo late last year. American Axle has previously said that it wants to reduce its labor costs sharply, to bring them in line with competitors like Delphi Corp. and Dana Corp. The company again said it has "no desire" to close the U.S. plants, preferring to reach a deal with the UAW.[12]
UAW members went on strike against American Axle six weeks ago, causing parts shortages that have closed or curtailed work at 29 factories, as well as a Hummer plant run by AM General LLC. American Axle said labor costs under the union's proposal are a "slight improvement" but remain about twice those at the company's competitors.[13]
The walkout began in late February when the auto parts maker proposed a new contract that would slash the UAW members pay by about $13 an hour and cut other benefits. Contract talks resumed earlier this week and by late Wednesday the UAW submitted an offer that American Axle has since rejected. In a statement issued Thursday night, the company said the union's offer was only a slight improvement and still twice as high as wages and benefits paid by its competitors.[14] More than 3,600 UAW members at five American Axle plants in Michigan and New York went on strike February 26th after the auto parts maker proposed cutting hourly wages about in half. American Axle says the UAW rejected its request that the mediator assist in the talks. UAW President Ron Gettelfinger says the union thinks a mediator (-quote-) could add little to the process at this juncture."[15] About 3,600 UAW members at five American Axle plants in Michigan and New York went on strike Feb. 26 after the auto parts maker proposed cutting hourly wages about in half. It said it needed the cuts to become competitive with other parts makers.[8]
Some 3,600 UAW members at five American Axle plants in Michigan and New York went on strike February 26th to protest pay and benefit cuts.[16]
Friday, April 11, 2008 : Negotiators for the United Auto Workers have reportedly submitted a proposal to American Axle & Manufacturing (AAM) on pay and benefits, in a sign that the union is moving quickly to shut down the nearly seven-week-long strike and impose the bulk of the companys wage-cutting demands. The union kept the details of their proposal secret from the 3,650 striking workers in Michigan and New York, saying they were awaiting a response by the company.[17] American Axle & Manufacturing Holdings Inc. offered the United Auto Workers union a new labor proposal on Friday, with workers now into the sixth week of a strike. Get stories by e-mail on this topic.[18]
DETROIT (AP) -- American Axle and Manufacturing Holdings Inc. said Thursday night a new contract proposal from the striking United Auto Workers is a "slight improvement" but falls far short of the deep concessions the company needs to compete in the auto parts business. "If the UAW continues to refuse to make realistic economic proposals, AAM will be forced to consider closing these facilities," the company said in a news release.[19] DETROIT (AP) - Striking United Auto Workers union members are considering a new contract offer from American Axle and Manufacturing Holdings. Bargaining has continued through the weekend, but both sides hit a snag over whether a federal mediator should be called in.[15] American Axle & Manufacturing has presented a new contract proposal to the United Auto Workers after turning down an offer made by the union.[12]
American Axle & Manufacturing has turned down a proposal from the United Auto Workers, saying it was "not market cost competitive." American Axle said in a statement that the union's proposal, made during the resumption of talks between full bargaining teams this week, "is still approximately 200 percent of the market rate of AAM's competitors in the United Sates automotive supply industry."[20] AAM negotiators and the United Auto Workers union (UAW) in the United States met at the bargaining table for the first time in more than three weeks on April 9. "It's positive that both sides are back at the table after seven weeks," said Chris Buckley, president of CAW Local 222. "It's a step in the right direction. Regardless of the outcome of talks GM of Canada said its Oshawa truck plant will begin operations for three weeks starting April 21 while a sister plant in the U.S. shuts down. This will allow its Axle parts normally used in its Suburban plant to be shipped to the Canadian plant which makes the Chevrolet Silverado and the GMC Sierra. At the bargaining meeting this week, the UAW presented a new economic proposal to AAM that the company was not impressed with.[21] Detroit (WWJ/AP) -- Three General Motors plants could be the targets of a strike by the United Auto Workers union. The automaker says the UAW sent them strike notices for plants in Flint, Warren and suburban Lansing, giving a five-day warning for a walkout. The UAW and GM reached a national contract agreement last fall, but local plants negotiate their own agreements on overtime and work rules.[22] The United Auto Workers union has set a hard deadline to strike three Michigan General Motors Corp. factories if the two sides aren't able to agree on local labor pacts, the company said Thursday. The union notified GM of its intention to issue five-day notices, which are required before a walkout, to the automaker's Flint truck assembly plant, the Delta Township assembly plant near Lansing and a Warren transmission plant.[23]
T (AP) -- General Motors Corp. shut down a Detroit area sedan plant Monday, a sign that a strike by supplier American Axle and Manufacturing Holdings Inc. is cutting deeper into GM's lineup and into the larger auto industry. GM said it shut down its Hamtramck Assembly Plant, which employs 1,849 hourly workers and makes the Buick Lucerne and Cadillac DTS. It is the 29th plant GM has fully or partially shut down because of parts shortages due to the monthlong strike, which has affected just over 39,000 GM hourly workers. Previously the strike had affected only plants that assemble or supply parts for slow-selling pickup trucks and sport utility vehicles, and GM had said the strike wasn't having much impact because it had such a large inventory of those vehicles.[24] By walking the picket line outside of American Axle & Manufacturing's plants in Detroit three days a week, Steve Conner says he hopes not only to preserve his wage to support his wife and nine children, but also so workers at General Motors Corp., Ford Motor Co. and Chrysler LLC don't face the same fight in a few years.[1]
It is funny that AAM is using salary people to run the plants that all of the union workers are striking at. Funny thing is they are producing 3 times as much product on particular lines with a tenth of the people. I guess this only shows how lazy the union workers really are and points out that they want more for less. They will all be out of a job soon and they are to blind to see it. The AAM Ohio plants already make the lower wages and they survive just fine and will galdly take your work. I read recently that American Axle has started to build in Mexico so they can continue to furnish products during this strike and any other work slowdown caused by unions.[25] Not much else has changed. They're also waiting from some good news in Detroit where the negotiations are taking place. I'm not mad at our CEO for making millions.I just think it's only fair if we are profitable(and we are) then we should keep our wages the same.It's not my(or the unions)fault if your wages are low. I just don't get it.why are you all so angry with us? we do work hard,yes there are some jobs that are considered "cushier" then others but we have folks in there that have done there "time" how can all of you be on the side of a company that made it's millions off the work of these very same people? It's sad. the power of the union is only as strong as the people that back it up and from some of these comments I'm glad you're not part of our local. Keep Fighting. what plants do you think they could transfer you to? If you haven't noticed.the American automobile industry is in serious trouble.[25]
The jobs, according to a list of non-core assembly plant jobs obtained by The News, include unloading and distributing parts throughout the plant, managing paint and chemicals and driving finished vehicles. Included in the list are assembly jobs that long ago were outsourced by much of the industry, such as putting the tire and wheel together, piecing together the front and rear suspension and assembling the vehicle's console and dashboard. "They're very critical parts of the business in terms of making an automobile, but GM has refined their systems in such a way that it's pretty automated," said manufacturing expert Laurie Harbour-Felax, managing director and auto industry adviser at Stout Risius Ross Inc. "These are all jobs that automakers would ultimately like to send to the outside, and a lot already have." Only new hires would earn the lower wages, which also come with less generous medical and retirement benefits than those given to existing employees. Veteran workers who have jobs that fall into the non-core category will keep their wages and benefits. Many factory jobs will keep their standing as top-paid, such as welding, building core parts for cars and trucks and acting as team leaders on the line.[26] A message seeking comment was left with Magna. Around 3,600 UAW workers at five American Axle plants in Michigan and New York walked off their jobs Feb. 26 in a wage and benefit dispute.[24] More than 3,600 workers at four UAW-represented American Axle plants walked off the job in February over complaints that the company wanted to cut wages and benefits without substantiating the need to do so. The Chicago Tribune reported American Axle said it has been paying workers $73.48 an hour in wages and benefits and is seeking a rate of $20 to $30, which they said is more in line with competitors.[6] On Feb. 26, more than 3,600 workers at four UAW-represented American Axle plants walked off the job, saying the company didn't offer enough information to substantiate demands to cut wages in half and reduce benefits.[27]
The UAW contract signed last fall added assurance that exporting from U.S. plants could be viable, said Michael Robinet, an analyst at Northville, Mich., consulting firm CSM Worldwide. The combined effects from a falling dollar and the new UAW labor contract "make the U.S. a low-cost country" similar to China and Brazil, he said. It also offloads billions of dollars in retiree health-care liabilities hobbling the Big Three to outside trust funds. To stay competitive, Toyota has stopped pegging its wages to UAW rates when it builds new plants, company executives said. It won't cut wages of current workers, but new hires will be paid no more than 50 percent above the prevailing manufacturing wage in the area where a plant is, they said. Exporting a large number of U.S.-made cars could go a long way in helping the Big Three turn around their unprofitable North American operations. It could also help them tap faster-growing overseas markets, especially at a time when U.S. sales have been hit by economic worries.[28] American Axle has plants in Mexico, Brazil, Europe and Asia. The company has said its U.S. hourly labor cost of $73.48 per worker is three times the rate at its domestic competitors and too high for it to win new business.[19] American Axle, formed from parts plants sold by GM in 1994, wants to cut the labor costs to $20 to $30 an hour, which would be similar to competitors and to what will be paid to some new hires under agreements reached between the UAW and the in-house axle-making operations at Ford Motor Co. and Chrysler LLC.[19] At American Axle, a two-tiered structure didn't do enough to lower labor costs. The company has had to cut production in its U.S. plants, as demand fell for the large pickups and SUVs that use American Axle parts.[1]
American Axle issued a statement late Thursday saying that an economic proposal submitted late Wednesday by the UAW was only a "slight improvement" and still twice as high as wages and benefits paid to rival axle makers. The company said its "proposed buyouts and buy-downs will provide its associates and families a financial cushion and soft landing during the transition to a new U.S. market competitive labor cost structure."[29] American Axle said it has offered buyouts for UAW workers who would prefer to leave the company, or annual cash payments to workers who accept lower wages and benefits to cushion the blow of steep labor cost concessions.[30]
The company says it has offered buyouts for the UAW workers or to provide annual cash payments to current workers to cushion the blow of a shift to lower wages and benefits. Separately, American Axle said it reached agreements with the unions representing its workers in England, Mexico and Scotland.[7]
The other big players in the auto parts business, including Delphi Corp., Visteon Corp. and Dana Corp., have succeeded in rolling back the more generous wages and benefits that the UAW won during the U.S. auto industry's better days, Cole said. "This is the last of the big union contracts," he said. "Other than American Axle, all of the suppliers have competitive packages."[8]
The strike covers plants in Michigan and New York that were the original U.S. facilities an investor group led by American Axle Chief Executive Dick Dauch bought from GM in 1994. The UAW and American Axle negotiated aggressively after the strike began, but full talks broke off on March 11 and the union said American Axle had not provided enough financial details to evaluate its demand for concessions.[30] The UAW issued letters Thursday warning that it could strike at three GM plants in Michigan in what may be a union effort to draw GM's attention to the labor dispute at American Axle.[19]
American Axle says if the union consents to the type of labor structure the company wants, the U.S. plants will be able to bid competitively for new business and attract new investment. The strike is in its seventh week.[12] American Axle, which had requested a mediator from last week, said in a statement that it "had hoped that the involvement of an impartial third party at the bargaining table could assist both sides." Calls to UAW officials were not immediately returned this evening. Harley Shaiken, a labor expert at the University of California at Berkeley, said the UAW has rarely brought mediators into negotiations, and in this case, it may not be the right time for a third party's involvement. "It isn't a question of splitting the differences. It is a question of diametrically opposed positions," Shaiken said. Negotiations continued over the weekend, with the company making a new contract proposal Saturday and expecting a response from the union this evening.[31] The company contended the "all-in" labor costs proposed by the UAW were "still approximately 200 percent of the market rate of competitors in the United States automotive supply industry." American Axle did not disclose specifics of the union's offer, which was presented this week after the two sides resumed talks with full bargaining teams.[12] "Although it was a slight improvement from the UAW's previous bargaining positions, the all-in labor cost proposed by the UAW is still approximately 200 percent" of competitors' pay rates, the company's statement said. American Axle said it has offered "generous buyouts" for those who don't want to work if their pay is sharply cut.[19] American Axle has said it would be forced to consider closing the five striking plants, which are located in Michigan and New York, if it cannot obtain labor cost cuts that would let it bid competitively for new business and make plant improvements.[7]
More than 3,000 American Axle workers represented by the United Auto Workers at plants in Michigan and New York have been on strike since late February.[32] DETROIT, April 13 (Reuters) - American Axle & Manufacturing Holdings Inc (AXL.N: Quote, Profile, Research ) said on Sunday the United Auto Workers had rejected a company effort to bring in a federal mediator to assist the two sides in reaching an agreement to end a nearly seven-week strike in the United States.[33] The United Auto Workers has rejected a request by American Axle & Manufacturing Inc. to bring a federal mediator into negotiations to end a nearly seven-week strike at the Detroit parts supplier, the company said this evening.[31] A proposal from the United Auto Workers seeking to end a seven-week strike against American Axle & Manufacturing Holdings Inc. was turned down by the company.[11]
Some 3,650 UAW-represented workers at American Axle went on strike February 26 at five U.S. plants. "If the UAW continues to refuse to make realistic economic proposals, (American Axle) will be forced to consider closing these facilities," the company said in a statement.[30] The strike has forced customer General Motors Corp. (GM) to idle all or parts of 30 plants and has forced other suppliers to idle operations. American Axle, in a statement Sunday, said it requested a federal mediator from the Federal Mediation & Conciliation Service "to assist in the company's ongoing negotiations with the UAW. AAM had hoped that the involvement of an impartial third party at the bargaining table could assist both sides."[34] Prior to the strike, the company proposed taking production wages from about $27 an hour to $14.50 an hour. Despite the renewal of talks this week, Wendy Thompson, former president of UAW Local 7672, was cautious Thursday evening. Although she had not spoken with negotiators Thursday, Thompson said she viewed Monday's meeting between American Axle CEO Dick Dauch and UAW President Ron Gettelfinger as a bad sign because Dauch continued to push for wage rates of about $14 an hour. Thompson said she doubts there will be a settlement unless former owner and biggest customer General Motors Corp. applies more pressure on American Axle to reach a settlement.[29] Talks between American Axle and the UAW had largely stalled for a month while the sides wrangled over financial details and company demands for steep cuts in wages and benefits. Their resumption earlier this week was seen as somewhat of a breakthrough.[7]
American Axle officials are calling a new contract proposal from striking workers an improvement but not good enough. The workers have been on strike for six weeks now, hoping to keep their wages and benefits where they are.[25] About 3,600 workers at five American Axle (NYSE: AXL) plants struck on Feb. 26 when negotiations on a new contract broke down over wages and benefits.[11]
In 2004, American Axle workers adopted a contract that would allow for a two-tier wage structure after a daylong strike that wound up saving two of the supplier's plants from closure. The contract was similar to Delphi's, and was an attempt to make their wage structures more competitive with those of other suppliers.[1]
Now, the supplier points to the same two-tier deals that the automakers negotiated in the summer as one of the competitive reasons it needs to cut in half wages of veteran workers. As workers at Ford's axle plant in Sterling Heights leave or retire, the automaker can fill those jobs with workers whose wages would start at $14.20 an hour. That's about half of Ford's current wages or American Axle production wages.[1] Second-tier workers were the first to go. As workers at American Axle fight to hold onto their wages, the company is fighting to compete as probably the last supplier paying its workers automaker wages, which it inherited when CEO Dick Dauch helped found the company from five GM parts plants in 1994.[1] GM's 2,400 truck plant workers and several hundred others from GM feeder plants like Automodular in Whitby and Lear Ajax have been laid off temporarily because of a shortage of parts from American Axle and Manufacturing (AAM).[21]
H2 workers get unemployment plus supplemental benefits from the union to get by. '''It's not quite a full work week paycheck, but it's not bad,''' explained Crane. '''It's doable if you watch what you're doing." One worker who was also laid off from the H2 plant told WSBT off camera that she won't start worrying until they hit the year mark. He points to the continued talks between American Axle and the union.[25] Company spokeswoman Renee Rogers would not disclose specifics of the company's proposal. The new offer, and continued meetings this weekend, come during the first session of talks in a month, and as the strike completes its seventh week. The supplier said Friday that it reached deals this week with unions representing hourly workers at its plants in Britain, Mexico and Scotland. The firm declined to provide specifics, but called the agreements "market-competitive," in their respective regions.[27] Gary Blevins, president of United Auto Workers Local 2850, said the union had been negotiating with General Dynamics, which employs more than 500 people in Marion, for about four weeks and workers decided to strike after the company planned to lay off senior workers, double health insurance premiums and cut the pensions of new hires. "It's the beginning of the end of our pension," he said[35]
The president of the United Auto Workers union has implicitly acknowledged the stark truth: industrial unions are killing American manufacturing jobs. Unions' salvation, he says, must come from ukases promulgated by the commissars of a new socialistic, Democratic administration. United Auto Workers President Ron Gettelfinger, acknowledging that his union confronts the toughest challenges in its 71-year history, told delegates to the UAW's leadership convention that solutions to problems such as rising health-care costs or the rash of auto suppliers filing bankruptcy-law protection must come largely through the political process. Union leaders expect a Democrat-socialist to win the presidency, and they expect a payoff via protectionist legislation that will reduce business profits, throwing non-union workers out of jobs and augmenting inflation, to the cost of the vast majority of citizens who are non-union members of the labor force.[36] In addition to higher wages and benefits, industrial unions impose work rules that reduce worker productivity and add directly to the labor costs of production. These costs are added to the prices of manufactured products and ultimately are paid for by the non-union members of society. When an industry like autos is hit with import competition of equal quality, at lower prices, it must cut its profits and ultimately lay off workers.[36]
DETROIT — When General Motors Corp. and the United Auto Workers signed a new four-year contract last year, both sides lauded it as historic collaboration that cut labour costs to save the U.S. auto industry from ruin.[2] Last year's landmark labor deals and the weak dollar are breathing new life into U.S. auto plants, leading Detroit's automakers to plan sizable exports of U.S.-made vehicles to markets around the world. General Motors Corp. wants to export U.S.-made vehicles to Europe, China, and Latin American markets such as Brazil, company executives confirmed.[28] The 42-year-old Lordstown assembly plant had been considered a candidate for closing because of high UAW labor costs. GM's president and chief operating officer, Frederick Henderson, said in an e-mail that several of GM's recently redesigned models have "gotten great acceptance in the U.S. and we believe it has significant potential in many other markets globally, and we are looking at such opportunities." The "more competitive U.S. dollar improves export competitiveness and potential profitability," he said. Chrysler had been using a contract manufacturer to assemble minivans for sale in Europe, but it chose not to extend the deal beyond 2007, and this year started exporting to Europe the Dodge Caravan minivan - branded Chrysler Voyager in Europe - made in a plant near St. Louis, a company spokeswoman said. It is also exporting increasing numbers of compact Dodge and Jeep models made in Belvidere, Ill., to several European countries. This year, more than 15,000 have been exported, up about 40 percent from the year-earlier period. Chrysler still has its bigger Jeeps made in Europe but is looking at moving that production to its U.S. plants when the Jeep contract with its European manufacturer, Magna Steyr AG, expires in 2009, a person familiar with the matter said.[28] AAM has also offered to make annual buy-down cash payments to associates who accept a competitive wage and benefits package. AAM's proposed buy-outs and buy-downs will provide its associates and families a financial cushion and soft landing during the transition to a new U.S. market competitive labor cost structure. These proposals are similar to those that have been successfully used by Chrysler, Ford, GM and Delphi in recent agreements with the UAW.[37] AAM expressed disappointment over the UAW's failure to make proposals that address the competitive reality AAM and its UAW-represented associates jointly face in the U.S. driveline marketplace. AAM needs a structural change in labor costs at its original U.S. locations that is comparable to the agreements the UAW has previously made with AAM's competitors in the United States automotive supply industry. If the UAW continues to refuse to make realistic economic proposals, AAM will be forced to consider closing these facilities.[37]
AAM has no desire to close the original U.S. locations. AAM's preferred approach is to reach an agreement with the UAW on a new U.S. market competitive labor cost structure for these facilities. If such a market competitive agreement is accomplished, these facilities will be able to bid competitively for new business and AAM will be able to continue investing in these operations.[37]
"We certainly want to maintain the manufacturing industry in the U.S. The best way to do that is to be competitive in the U.S.," said American Axle spokeswoman Renee Rogers. With the Detroit automakers catching up in their labor costs, there's an incentive for Japanese automakers to keep their competitive edge. Said Meyers, "They realize they're paying much too much for hourly labor compared to the rest of the manufacturing industry in the United States." Ford and Chrysler declined to comment for this report.[1] The result has been a massive transfer of wealth from the bottom upward into the pockets of the wealthy. The richest 1 percent of the population has more than doubled its share of the national income since 1980. American Axle's CEO Richard Dauch symbolizes this social type. He has pocketed more than $250 million after leading a group of private investors who took over GM axle and driveline operations in order to drastically lower labor costs. Standing behind Dauch are the billionaire Wall Street investors who control the various private equity firms and vulture funds, such as Cerberus and Blackstone. They are demanding from the world auto industry, which averages a 5 percent return on investment, the rates of return they receive through various forms of financial manipulation, that is, closer to 22 percent.[3]
If the auto industry is to be run for the good of society, it must be transformed into a publicly owned enterprise and integrated into a planned socialist economy. Such a program is anathema to the big business politicians in both parties. It is significant that neither Clinton nor Obama has uttered a word about the longest auto strike in a decade. - despite their claims to support workers - both are beholden to big business, having received $1.1 million from the transportation sector, including auto executives from American Axle, GM, Ford and Visteon.[3] The strike by American Axle workers, which today is 45 days old, is the longest walkout by U.S. auto workers since the 54-day strike by General Motors workers in Flint in 1998 and prior to that, the longest since the 67-day strike by GM workers in 1970.[3] The United Auto Workers present a new economic proposal to American Axle in an effort to end a nearly six week old strike.[38]
In return for abandoning the hard-won gains of the Big Three auto workers, the UAW was handed control of a VEBA retiree health-care trust fund worth $52 billion - much of it paid in GM and Ford stock, making the union potentially the largest shareholder in the auto companies. This would a betrayal of everything for which American Axle workers have fought and sacrificed.[3] GM spokesman Dan Flores would not comment about a possible link between American Axle and the strike threats. "We're going to continue focusing on bargaining, and we certainly want to reach tentative agreements as soon as we can," he said. Messages were left for a UAW spokesman at its Detroit headquarters. Chaison said American Axle's rejection of the union proposal and the threat to move production elsewhere shows this dispute is far different from those of the past.[2] The company said the UAW "refused to allow the Federal Mediator to help the parties reach agreement" and added that it was disappointed in the union's decision. The UAW President Ron Gettelfinger, in a statement Sunday, said that while the union has had discussions with a representative of the Federal Mediation and Conciliation Services, he doesn't think a mediator is needed. "Throughout these negotiations, the UAW has repeatedly offered responsible proposals and counter-proposals to American Axle in an attempt to bring a conclusion to bargaining," he said in the statement.[34]
The company was not making public details of the proposal, said American Axle spokeswoman Renee Rogers. Negotiations are expected to continue through the weekend, she said. The Detroit-based auto parts supplier had rejected a union proposal this week, calling it "disappointing."[12] Thursday, American Axle said that a new contract proposal from the UAW was a "slight improvement'' but falls far short of the deep concessions the company needs to compete in the auto parts business.[22] Company bargainers gave the UAW a new contract proposal Saturday, American Axle spokeswoman Renee Rogers said Sunday. She said bargainers were resuming talks Sunday.[8]
Striking UAW members are considering a new contract offer from American Axle.[39]
With full negotiations resuming, it was reported yesterday that the union had given the company a new economic proposal. The essential content of this proposal was made clear in a column by UAW President Ron Gettelfinger published in the Detroit News April 4, in which he said the union was prepared to accommodate the legitimate concerns of the company and accept a contract that will mean real sacrifices by our members and real savings for the company. This can only mean that the UAW is willing to substantially agree to the company's demand to cut wages by more than half and gut pension and health-care benefits.[3] The company has offered buy-outs for associates and has also offered to make annual buy-down cash payments to associates who accept a competitive wage and benefits package. These proposals are similar to those that have been successfully used by Chrysler, Ford, GM and Delphi in recent agreements with the UAW. Mr. Buckley said he supports the UAW's unwillingness to bend to a two-tier wage structure and benefit cuts like those concessions made in negotiations with the Big Three automakers earlier this year. His union will be in negotiations with Canadian Big Three automakers this summer.[21]
A fifth plant in Buffalo was idled at the end of 2007. The strike has dragged on in part because of the union's claim that the company has withheld financial data that would substantiate its demands for steep wage and benefit cuts.[29]
Last night, American Axle rejected the union's latest wage proposal. The company responded by saying that if the union "continues to refuse to make realistic economic proposals," it will have to consider closing its plants.[16] No other progress seems to be in sight. It's 10 a.m. and the Local 2093 union hall, located within view of the sprawling blue American Axle plant and a large banner proclaiming "Customer Satisfaction Through Teamwork" between the company and the UAW, is buzzing with activity -- literally.[4] The rejection rankled a local union official, who said the company doesn't want to budge. "It's disappointing that the company isn't willing to try to meet us half way," said Bill Alford, vice-president of UAW Local 235 at American Axle's Detroit complex.[2]
The UAW called the protest after American Axle published a classified ad in The Oakland Press of Pontiac Sunday looking for workers. The company said it only wanted workers to fill in for anticipated openings once current workers take buyouts, but the ad also said applicants could be asked to work "in place of employees involved in this strike." Rogers said Monday she didn't know if the company had had any applicants.[24] BUFFALO (2008-04-11) The strike against American Axle is effecting 500-of the company's workers at plants in the Town of Tonawanda and Cheektowaga and another 3,600 at 4-plants in Michigan.[14] He'''s one of 400 H2 workers that were laid off. The American Axle strike has impacted 29 plants that rely on their parts, and put thousands out of work.[25] About 580 American Axle workers in the Buffalo area, including some who had been on layoff from the Buffalo plant, are on strike.[12]
MISHAWAKA -- Hundreds of local workers laid off because of the American Axle strike are hoping the two sides come up with a contract soon.[25] "We're expecting we'll get something back. It's a back-and-forth." The strike, which will start its eighth week Tuesday, involves 3,650 workers at four of American Axle's U.S. factories. The Associated Press contributed to this report.[31]
Far, the strike hasn't affected GM much because truck-based vehicles aren't selling. American Axle also makes brake parts for GM cars, and analysts and union leaders have said shortages of those could cut production of the Chevrolet Cobalt small car and the mid-sized Chevrolet Malibu in a few weeks.[2] Chaison and some industry analysts believe the union's strike threats at GM are a way of pulling the automaker into the American Axle dispute.[2] Earlier in the day, the union gave five-day strike notices to GM at three Michigan factories. "It just seems to be spreading," said Gary Chaison, a labour specialist at Clark University in Worcester, Mass. "We're heading into some very difficult times for the UAW and the American auto industry."[2]
The WSWS and SEP have called for the election of rank-and-file committees, led by trusted militants, to take the conduct of the strike and negotiations out of the hands of the UAW and to make an appeal over the heads of Solidarity House to Big Three workers in the U.S. to launch a national auto strike to overturn all the concessions granted by the UAW. A special appeal must be made to Canadian workers - who will be told this summer that they must make major sacrifices in order to compete against U.S. workers whose wages have been halved - as well as auto workers in Latin America, Asia and Europe, who are engaged in struggles against job-cutting and attacks on their living standards. It is impossible for workers to defend their interests through an organization hostile to their interests. The UAW is not a genuine workers organization, controlled by and accountable to those forced to pay dues to it. It is an organization dominated by an upper-middle-class layer of entrepreneurs who use union members as pawns in their negotiations, which are designed primarily to ensure the income and privileged lifestyle of the small army of union bureaucrats who control the UAW.[3] The union isn't demanding anything, it is AA that is demanding drastic reductions in wages and benefits-get your facts straight people. Why should these hardworking employees take a 2/3 reduction in wages and benefits just because AA wants to move some work overseas. As for those of you who think the UAW is driving work out of Michigan, how is offering to take a massive paycut driving work out of Michigan? Thank God that the UAW, and their hard working membership, are out there fighting for the rights of ALL workers, everywhere. Maybe we should all work for peanuts so our bosses can live like what they are-robber barons who have supported politicians who have passed laws allowing them to force the american worker into a constant state of retreat.[19]
GM and the United Auto Workers union agreed to the two-tier wage structure as part of last year's landmark labor pact designed to save GM up to $5 billion a year.[26] American Axle is trying to cut wages for labor workers from almost 50k a year to 30k a year.[25] A major turning point was the Chrysler bailout of 1979-80, when the UAW collaborated with the nearly bankrupt company and the Democratic Carter administration in inflicting concessions that would over the course of a few years wipe out 60,000 jobs and cut wages by $10,000 per worker.[3] Raymond McAneel works at GM's plant in Shreveport, La., in the paint mix room. A 24-year veteran of the plant, he'll never make the lower wage, but frets that the future workers doing his job will. He has to judge the temperature and thickness of paint that's sent to the line and also sometimes drives a forklift, moving 500-gallon vats of paint. "It's going to take years for these changes to take place," he said.[26] The non-core work is desirable because it involves less strenuous labor and is free from the time pressures of keeping up with the line. Such jobs are often snapped up by long-timers who have come to see the assignments as a reward for decades of hard labor on the line. "We need to make sure to have jobs workers can do when they get older," said Chris "Tiny" Sherwood, president of UAW Local 652 in Lansing, where GM builds several Cadillac models. Sherwood said several jobs on the list, such as attaching the tire and wheel, are done by robots at many plants. He said about 190 of the Lansing plant's 2,400 hourly jobs will become non-core under the labor deal. "Some of the jobs surprised me, some didn't," he said. "Some of them are pretty tough jobs.[26] Strikes at the GM plants would be based on local labor disputes. GM and the UAW reached a national contract agreement last fall, but local plants negotiate their own agreements on overtime and work rules. Associated Press Writer David Aguilar contributed to this report.[19] The notices give a five-day warning for a possible strike. The UAW and GM reached a national contract agreement last fall, but local plants negotiate their own agreements on overtime and work rules. GM spokesman Dan Flores wouldn't say what issues must be settled at the plants, but he said GM will continue nego-tiations.[40]
GM could be hurt even sooner if the UAW goes through with threatened strikes over local contract issues at the three plants.[2]
"Combined with the weak dollar, we've got a contract that puts ourselves in a great position to ship products to other countries and do it making a profit," said Mike Herron, a UAW official at GM's assembly plant in Spring Hill, Tenn., who is involved in negotiations with the company. Detroit's improved competitive position has sparked concern among foreign manufacturers, which do not use unionized U.S. workers.[28]
The stalemate extends the shutdowns at General Motors Corp., the supplier's former parent and biggest customer. GM has shut or partially stopped production at 30 plants because of parts shortages since 3,650 America Axle workers in Michigan and New York walked off their jobs Feb. 26.[41] Back in late February, about 3,600 workers went on strike at five plants in Michigan and New York after the auto parts maker demanded steep pay cuts.[42] The UAW did not immediately answer requests for comment. The strike, now in its seventh week, involves 3,650 workers at four operating plants in Michigan and New York.[29]
The strike by 3,600 workers in Michigan and western New York state is beginning to have a major impact on the auto industry. Precisely at this point, the United Auto Workers bureaucracy will seek to impose a rotten concessions contract on the workers.[3] The new contracts with the United Auto Workers union signed last fall significantly improve the global competitive position of Big Three plants.[28] The United Auto Workers union is threatening strikes against three G-M plants in Michigan.[43]
DETROIT (AP) - Ford Motor Co., the United Auto Workers union and lawyers representing retired workers have reached a legal agreement to shift retiree health care costs from the company to a union-administered trust fund.[9]
Industrial unions are unlike crafts unions, which descended from medieval crafts guilds whose members had skilled trades that were acquired through long apprenticeships. Members of mass industrial unions such as the United Auto Workers are mostly unskilled workers from all kinds of jobs within an entire industry, the proletariat of Marxian ideology. Industrial unions' origins have in nearly all cases involved violent property destruction and deaths as they strove to supplant capitalism and place business management in the hands of the workers. Today they look to the Democrat-socialist party to do the dirty work for them.[36] I work in an industry which depends on receiving parts and dunnage from various manufacturers. Our people make around $8.00 an hour and due to the American Axle/GM strikes, they are now going without resources. These people NEED those jobs. Union members should be ashamed of their greed.[19]
Seven unions and six million workers united in Change to Win to build a new movement of working people equipped to meet the challenges of the global economy and restore the American Dream in the 21st century: a paycheck that can support a family, affordable health care, a secure retirement and dignity on the job.[44]
American Axle workers walked off the job in late February. That includes about 580 workers at the Tonawanda and Cheektowaga plants.[45] GM accounts for about 80 percent of American Axle's annual revenue. American Axle has said its wages and benefits at the plants run about three times that of rivals and it must have deep concessions to maintain the operations, bid successfully for new business and make capital improvements.[33] A market competitive agreement would allow the plants to bid competitively for new business and permit continued company capital investments, American Axle said.[30]
GM has only a 40-day inventory of Buick Enclave crossovers made at the plant, according to Ward's AutoInfoBank. "The UAW is putting pressure on General Motors to put pressure on American Axle to modify its proposal by going after the more profitable plants," Chaison said.[2] The walkout at American Axle has also forced the idling or partial idling of about 30 General Motors Corp (GM.N: Quote, Profile, Research ) plants in North America because of parts shortages.[33] The walkout has forced major customer General Motors Corp (GM.N: Quote, Profile, Research ), which accounts for about 80 percent of American Axle's revenue, to partly or completely idle some 30 plants in North America.[7]
American Axle is a key supplier for General Motors, which has halted or curtailed production at 29 plants because of parts shortages.[16] Since American Axle supplies GM with key parts for trucks and SUVs, the action has shut down some 30 GM and allied plants, including the GM SUV assembly plant in Moraine, idling hourly production employees there.[10]
The last year of bargaining, which resulted in short national strikes against GM and Chrysler LLC and an ongoing stoppage at parts maker American Axle & Manufacturing Holdings Inc., has been anything but routine.[23] Kalamazoo Gazette Striking UAW member Kevin Bushouse sits at home with his children (from left) Courtney Shears, 16, Devin Bushouse, 11, and Emma Bushouse, 5, Thursday. The American Axle & Manufacturing Holding Inc. employee has been on strike since Feb. 26 and worries about the financial impact a prolonged strike could have on his family.[4] Talks continued Thursday between the UAW and American Axle & Manufacturing in an effort to solve a strike that began Feb. 26, but the sides are still far apart.[29]
American Axle & Manufacturing says an economic proposal it received from the United Auto Workers in talks Thursday, April 9 was not "market-cost competitive."[10] BUFFALO, NY (2008-04-11) American Axle has rejected the latest proposal from the United Auto Workers.[45]
The proposal was "a slight improvement," but the total cost remained about 200 percent above the market rate for American Axle's rivals in the U.S. auto parts sector, the company said.[30] If the UAW "continues to refuse to make realistic economic proposals," American Axle will be "forced to consider closing" U.S. facilities it considers non-competitive, the company said. Contact this reporter at (937) 225-2390 or [email protected].[10]
On Thursday evening the dispute escalated when American Axle rejected the UAW's latest wage proposal. A company statement said that if the UAW "continues to refuse to make realistic economic proposals, AAM will be forced to consider closing these facilities."[2] April 10, 2008 -- Negotiators representing American Axle & Manufacturing, Inc. (AAM) and the UAW met at the bargaining table for the first time in over three weeks on April 9, 2008. At this meeting, the UAW presented a new economic proposal to AAM.[37] AAM was disappointed in the UAW's decision," the statement said. UAW President Ron Gettelfinger said in a statement Sunday night that the union "concluded that a mediator could add little to the process at this juncture; in fact, it would place the mediator in a no-win situation." "Throughout these negotiations, the UAW has repeatedly offered responsible proposals and counterproposals to American Axle (AAM) in an attempt to bring a conclusion to bargaining," he said.[8] DETROIT, April 11, 2008 /PRNewswire-FirstCall via COMTEX/ -- American Axle & Manufacturing (AAM), which is traded as AXL on the NYSE, announced today that it has reached agreements with the unions representing its associates in England, Mexico and Scotland.[46] SAN FRANCISCO (Thomson Financial) - American Axle & Manufacturing said late Friday it has reached agreements with unions representing its employees in England, Mexico and Scotland.[32]
Light discussions continued in the weeks after talks broke off and American Axle gave the union additional financial information last week under a confidentiality agreement.[30] The union delivered a new financial proposal to American Axle with the restart of talks on Wednesday.[7] The Detroit supplier has countered the union's last proposal, which American Axle on Thursday said did not include enough concessions to bring about progress in the talks.[27]
The UAW delivered a new financial proposal to American Axle when full talks resumed.[33] American Axle and the UAW resumed full talks last week and have continued negotiating over the weekend.[33]
"The UAW is drawing the line in two-tiering and wages being cut in half with the American Axle folks. We support the position they are taking because in Canada when we go to bargain we are not going down the road of cutting our wages in half and taking benefits back from our members," said Mr. Buckley.[21] Inappropriate? Alert us. To begin with the UAW is on strike for "unfair labor practice" because AAM was not willing to provide the paperwork to allow the UAW to assess their proposal. Mr. Dauch wants to not only cut their wages but also all the benefits to almost nothing. Their health insurance was cut in January to only cover life and death emergencies only.[19] Mexicans can and will work for what you call tip money. UNFAIR LABOR PRACTICE. means we are getting wages cut (in a terrible economy) while the ceo of AAM gets over a million dollar raise off the hard work WE do! We aren't just fighting for our wages. we are fighting for all folks out there struggling to keep our jobs here and pay us ALL (you and me) FAIRLY. If you don't stand up for your rights. who will? Everyone should be concerned,,,we are all in it together!OUr jobs are leaving this country and they want to pay us less.[25]
I think that the CEO and executives should be the first to take a pay cut then go down from there. They need to get this resolved because this is not only effecting American Axle but all the little shops that can't keep going because of them. Every week my husband and I have to hold our breath to see if he will have a job the next week. This is really effecting way to many people and needs to be fixed.[19] Detroit newspapers reported American Axle has begun testing applicants in Michigan who responded to the company's recent advertisements for jobs.[12]
The UAW is gearing up for a rally in support of striking American Axle workers in Detroit next Friday.[12] Dozens of workers were picketing Monday outside American Axle's Detroit headquarters.[24]
About 3,650 workers at American Axle, including roughly 580 in the Buffalo area, have been on strike since Feb. 26.[20] Analysts have questioned whether the local strike threats are a UAW ploy to draw GM into the American Axle dispute.[23] GM already is dealing with production woes from the work stoppage at American Axle, which has been on strike since Feb. 26.[23]
The other two factories where strike notices have been issued are a Flint pickup truck assembly plant that already has been shut down by the American Axle strike, and a Warren, Mich., factory that produced more than 900,000 transmissions last year.[2] American Axle has said that while it was profitable last year, the plants in question haven't been profitable for years.[34]
American Axle has other unionized plants in the U.S. not covered under the master labor contract.[34] Fast forward to the reality of the present day, and we can see the inevitable result of militant, socialistic industrial unions. With union labor costs about double those of non-union Japanese and other foreign auto manufacturing plants in the United States, Big Three American automakers are financially bleeding to death.[36] "All of AAM's hourly associates at AAM de Mexico and our wholly-owned subsidiary Albion Automotive in the United Kingdom have union representation," said AAM Co-Founder, Chairman & CEO Richard E. Dauch. "The recently signed agreements in Mexico and the United Kingdom achieved a market competitive labor cost structure in those regions where the facilities are located. This was all done quietly, professionally, responsibly and effectively with no production disruption."[46]
With businesses depressed by the New Deal's extremely high taxes, businesses had to eke out an existence by firing non-union workers or by reducing the wages of the vast majority of citizens, who were non-union workers. Adding insult to injury, unions' government-imposed higher wages were an inflationary force that raised the living costs of all those non-union workers.[36] The issue has been a touchy one among unions because it means that new workers earned about $14 an hour, with the $28 wage of veteran workers always out of reach.[1]
Challenges remain. The companies must figure out how to meet demand in an array of countries without breaking their limited budgets. The concept could still fizzle if they can't entice enough current workers to accept buyouts or early retirement deals to open jobs for new hires who would get lower wages and benefits. Both Chrysler and Ford have gotten fewer takers than they had hoped for their buyout packages. Increasing exports also requires better access to overseas markets, especially in Asia where some countries lock out Detroit's vehicles while sending millions of cars to the United States. Russia, a big potential market for such vehicles as the Jeep Grand Cherokee, imposes heavy tariffs on imports.[28] The two sides agreed to a mixed approach. Until 2012, senior workers can bid on non-core jobs and keep their salary, and new hires who would have been assigned to those duties will be sent to the line at the lower wage level, according to UAW local presidents and sources familiar with the deal.[26] In opposition to the right of Dauch and others to throw people out of work and slash wages, workers must assert the right to a decent job and home, the right to quality education, the right to health care, the right to social equality. The demand for these rights comes into immediate conflict with the anarchy of the private ownership of production. The past three decades have revealed the fraud of the UAW's claims that its labor-management teamwork programs gave workers a say-so in corporate decision making. That is impossible, as long as the factories remain in the hands of the capitalist owners and big investors. This fraud must be replaced with genuine industrial democracy, which is only possible by establishing workers' control over production.[3] After 2012, the wage rate will be divided strictly by the type of job. Workers at the lower wage have the opportunity to work into core jobs at the higher pay rate, though they'll never be eligible for the lifetime medical benefit and pension plan prized by today's workers. They'll receive payments into 401(k) accounts.[26]
Commitments to assemble vehicles in the United States at UAW-represented plants also proved essential to contracts negotiated last year. That so-called transformational contract also included establishing a UAW-managed trust to pay for retirees' future health care obligations at a discount of tens of billions of dollars. Last summer, all three Detroit automakers negotiated a second-tier wage structure of about $14 an hour for noncore jobs, or those not directly involved in vehicle assembly.[1] "I saw the strike coming, so we started to plan for it." Every week, Kevin, 38, receives $200 in strike pay from the UAW, a far cry from the $1,400 he grossed per week while working as a job setter at the Three Rivers plant, where he's been for nine years. His wife, Anna, works as a receptionist at a veterinary clinic in town, bringing home much-needed income. Their current cash flow won't sustain them, given the family's needs, Kevin said.[4] Leaders at some of the locals threatening to strike have said negotiators are struggling with issues including job guarantees for workers and plant work rules.[23] About 400 workers at the H2 plant in Mishawaka have been off the job for more than five weeks now because of the strike.[25]
Hundreds of union workers at a Marion, Va., defense contracting plant went on strike Friday in reaction to a benefits package offered by the company.[35] Blevins said strikers formed five picket stations at the plant around 9 p.m. Friday. The workers were on a schedule to man the picket lines throughout the weekend and into next week, he said. "We've notified the company that we're on strike, but we haven't heard anything," he said.[35]
Auto analyst David Cole said pay cuts from $27 an hour to $14 an hour that current workers faced under the company's pre-strike offer made a quick deal unlikely. "It was going to be a long strike. None of these changes are easy," said Cole, chairman of the Center for Automotive Research in Ann Arbor.[8] Inappropriate? Alert us. What? Harley Rider and ezrider seem to be ignorant to the fact that the executives are paying themselves bonuses while asking the union workers to cut their pay. What a slap in the face and such hypocrisy. The reason why most companies want to move to foreign countries is to increase their bottom line profits while screwing over American workers and then the corporations want you to buy their products. Realize this, every time a republican gets into office the economy goes to hell.[19]
Everybody knows American Axle makes a quality product. Look at all their contracts. It's just sad to see the Union feeding it's members a line of bull saying it has the upper hand and will take care of things.[25] Talks between American Axle and the union had been stalled for about a month, while the sides sparred over financial details.[33] Talks at American Axle & Manufacturing Inc. are slated to continue through the weekend, as the strike pushes through its second month.[27] For all the talk about the end of the class struggle and the post-industrial demise of the working class, the American Axle strike has demonstrated the potential power of the working class.[3]
Wall Street investors bought up American Axle stock on Thursday in response to the news, anticipating that the strike is near an end and the company would get most of what it is asking for.[17] April 14, 2008 Worldwide Automotive Report UAW says no to mediator in American Axle strike.[22]
According the American Axle's website, although it was a slight improvement from the UAW's previous bargaining positions, "the all-in labour cost proposed by the UAW is still approximately 200 per cent of the market rate of AAM's competitors in the United States automotive supply industry."[21] American Axle said in an update that the offer was "not market cost competitive" though "it was a slight improvement from the UAW's previous bargaining positions." The offer was made April 9 as representatives from both sides returned to the table.[11]
Negotiations are expected to continue through the weekend. The offer comes after American Axle said earlier this week that there had been a slight improvement in UAW's offer since the last time they negotiated, however American Axle still expressed "disappointment" over it.[18] A message seeking comment was left with the UAW. The UAW may be trying to draw GM into its negotiations with American Axle and Manufacturing Holdings Inc., a major GM supplier.[40] American Axle & Manufacturing has turned down a proposal submitted on 9 April by the UAW.[47]
The UAW maintains that American Axle, which posted a $37 million profit last year, can afford to pay more.[41] I'm not sure that applies to American Axle. They are so incredibly confrontational in this bargaining," he said. In its statement, American Axle said the UAW's offer was a slight improvement over previous positions, but still about 200 per cent of competitors' pay rates.[2]
I am sick and tired of the CRAP that Dick Dauch and American Axle is trying to dish to its employees and their families. I can'''t believe that this man has the nerve to sit there and offer insulting wages with insulting '''buy downs''' and '''buy outs'''. He should be ashamed of what he is putting our 3600+ families through. Let'''s not forget the other hundreds of thousands families that are being affected by this strike too.[37] American Axle supplies axles for Allison's A-1000 six-speed automatic transmission. The plant has 450 total employees; 380 of them earn hourly wages.[11]
American Axle says it ran the ads primarily to create a pool of candidates, because it expects many workers to leave via buyouts or retirement packages after a new deal is in place. It has left open the possibility of using new hires as replacement workers. Rogers said she did not know if the applicant testing was under way yet in the Buffalo area.[12] American Axle workers are not only fighting CEO Richard Dauch but the entire capitalist economic and political setup in the U.S. and internationally, which subordinates the needs of working people to the ever greater accumulation of wealth by the super-rich.[3] American Axle said it is offering "generous" buyouts and buy-downs for hourly workers.[34]
On April 10 the World Socialist Web Site and the Socialist Equality Party held a meeting at Wayne State University in Detroit to address the political issues involved in the American Axle strike, now in its seventh week.[3] Company spokeswoman Renee Rogers said American Axle countered the offer, but declined to disclose specifics of the company's proposal, the Detroit Free Press reported Saturday.[6] An American Axle spokeswoman says the company bargainers gave the proposal Saturday.[39]
American Axle chief Richard Dauch has warned that the company has the ability to move work now done in the U.S. to foreign factories.[19]
American Axle wants to lower salaries to stay competitive in the auto parts industry.[25] "We're expecting we'll get something back. It's a back-and-forth." In a statement released later Sunday, American Axle said the UAW rejected its request that a federal mediator assist in the negotiations. "AAM had hoped that the involvement of an impartial third party at the bargaining table could assist both sides.[8] American Axle has said that the UAW has agreed to similar terms at other suppliers, including competitor Dana Holding Corp. (DAN).[34]
American Axle makes propeller shafts for vehicles. Its principal customer is former owner General Motors. This article is copyrighted by International Business Times.[18] GM accounts for 80 per cent of American Axle's business - mostly axles, drive shafts and stabilizer bars for large trucks and sport utility vehicles.[2]
American Axle took another step towards ending a seven-week strike this weekend.[42] Jerry White, who has written extensively on the American Axle strike, addressed the April 10 meeting. The following is an edited version of his report.[3]
"There's a momentum here with the concessions, and it won't stop until there's enough resistance from the other side." Strikers at American Axle say it's hard to see how they can make such deep cuts, and don't want to see others have to face that future, either.[1] American Axle shares rose by 5.3 percent in morning trading, to $22.08.[17] American Axle spokeswoman Renee Rogers declined to provide details of the proposal, but said the two sides were expected to continue full negotiations over the weekend.[7] Gettelfinger and American Axle chief Richard Dauch met face-to-face last week in an effort to end the dispute.[8] American Axle said in a statement it would offer "generous" buyouts for employees willing to leave, as well as "competitive" compensation.[41] Spokeswoman Renee Rogers confirmed on Saturday that American Axle had submitted an offer but would not release details.[18]
American Axle's stock rebounded Thursday, along with much of the automotive sector.[29] It'''s a disgrace! AMERICAN Axle '''yeah, real American. I resent the fact that he is turning our lives upside down.[37]

Socialist labor's great champion in the New Deal was New York Senator Robert F. Wagner, who was born in Germany, the home of Europe's most powerful socialist party, and immigrated to New York City, the epicenter of American socialism. In Senator Wagner's case, one has the sense that he was a genuinely worshipful adherent of the religion of socialism. In President Roosevelt's case, it seems more likely that he simply made the shrewd calculation that industrial unions could provide lots of votes, if the Democrats enabled membership growth. [36] Only the unions can legally collude to fix prices. Before the 1947 Taft-Hartley Act, industrial unions were allowed to get away with almost any sort of violent action against employers, but the latter were legally restrained from almost any opposition to union action. In the bleak depths of the 1930s Depression, with the support of the New Deal's Labor Relations Board, industrial unions were able to force large manufacturers to raise their wages.[36] Before the 1933 advent of Franklin Roosevelt's New Deal, industrial unions were not as large or influential in the labor movement as the older crafts unions.[36]

Mondale said Fraser was a powerful advocate, the Detroit Free Press reported. The ex-U.S. senator said he always voted with the UAW because he could never manage to tell Fraser "No." Born Dec. 18, 1916, in Glasgow, Scotland, Fraser immigrated to Detroit with his parents six years later. He dropped out before his senior year at Detroit's Chadsey High School. In 1936, he went to work at a DeSoto plant where his father also worked. There, he started a quick rise through the union ranks. "He was tremendous leader," former Gov. Jim Blanchard told The Detroit News. "He was larger than life." [48] "No union likes two-tier" contracts, said Harley Shaiken, labor expert at the University of California at Berkeley. "But it's always relative to what? If the choice is closing a lot of plants and moving the work off-shore then you understand where the two-tier is coming from."[1]
UAW Local 846, which represents workers at the Town of Tonawanda and Cheektowaga plants, invited members and supporters to sign up to travel to the rally aboard chartered buses. "This rally will be used as the focal point of the current labor struggle in America today," UAW Local 846 leaders said in a letter to members.[12] If there are no local deals at the end of five days, the UAW could extend the deadline and continue negotiating or send workers off the line. It was not clear exactly when that five-day period starts for each plant, but likely began either Thursday or today, depending on when the notices were delivered to GM.[23]
More than a dozen different jobs at GM assembly plants will soon get the title of "non-core," meaning new hires assigned to the tasks will receive about half the hourly pay of veteran workers on the line.[26] The strike has caused parts shortages that have closed or curtailed work at 29 GM factories. About 39,000 jobs have been affected, including those of some Michiana workers.[42] The resulting parts shortage has affected 29 GM factories and more than 39,000 workers. It also has curbed work at a Hummer plant run by AM General LLC, and it has hit other parts makers in the U.S. and Canada.[2]
The strike has forced GM to stop or slow production at 30 factories in the United States and Canada. Most of those plants either build or produce parts for GM's slow-selling full-size trucks and SUVs. The Lansing factory builds GM's fast-selling crossover SUVs and the Flint factory makes full-size pickups and medium-duty trucks.[23] Nyloncraft is another local plant impacted by the strike. They make parts for General Motors. Because so many GM plants had to be shut down, they too had to take action.[25] DETROIT -- Recent talks in a nearly seven-week-old strike that has shut down the Dayton area's only General Motors Corp. plant were inconclusive.[10]
Some will be trucked to Detroit to keep strikers there warm as well. "It's a way to stay busy," said Bill Younts, Local 2093's vice president. "It's a way to continue to do something together." Inside the union hall, it's busier than usual. Every Thursday is check day, when union members come to pick up their strike pay. Piles of checks sit on several long tables placed together, while a volunteer sits at the other end waiting to hand them out. Bushouse is sitting on a chair at the end of the line of tables, having just received his check. His youngest daughter, Emma, 5, sits in his lap, playing with her braided blond hair with one hand and holding a plush toy cat in the other. On a stage in front of him are his other daughters, Devin, 11, and Courtney, 16. He talks to them about the potential cuts in the family's material possessions.[4]
The more than six-week strike is now in danger of being defeated - not because of lack of solidarity or popular sympathy - but because of the deliberate sabotage of the leadership of the United Auto Workers union.[3] United Auto Workers members leave a union technical training facility after voting on a tentative contract with Chrysler LLC in Warren, Mich., Saturday, Oct. 20, 2007.[40]
At the beginning of negotations late last year the union had a purposal that had alot of wage concessions in it and the company just turned thier noses up at it. The union tried to get things settled before contracts were up so no one would have to go through this.[19]
The $70-$75.00 per hour includes direct and in-derect labor. Inderect is the managment, ceo's and shareholders not producing parts to sell, that number includes their bonuses as well as vacation days this is figured into the hourly workers wage cause they produce the product the company is selling.[19] The company then made another offer. The company is looking to cut its total hourly labor costs, which include wages and benefits, by about half.[34] Inappropriate? Alert us. That $20 your reading about(from the misleading media)is the total labor cost(including benefits added into that)The wage he want's us to take is $14. Gas is high, and the oil companies DON'T plan on lowering their prices, Dauch doesn't plan on lowering the prices of his axles, and the car companies don't plan on lowering their prices either.[19]
Current compensation: The supplier said it has been paying workers $73.48 an hour in wages and benefits and is seeking a rate of $20 to $30, in line with competitors.[41]
GM chose to set wages based on job descriptions to avoid divisiveness that could arise between workers who have the same job but make dramatically different wages.[26] GM took a different approach than Ford Motor Co., which agreed with the UAW that 20 percent of factory jobs would fall into the second-tier wages, regardless of job description.[26]
A person with knowledge of the bargaining said the UAW gave the company notice that it could strike as early as Thursday at a factory near Lansing that makes GM's fast-selling new crossover vehicles.[2] GM said the UAW sent strike notices to the company Thursday for plants in Flint, Warren and Delta Township near Lansing.[40]
The union warned GM last week that it may strike five plants, including the three in Michigan.[23]
The company had a 100-day supply of the Lucerne. Lache estimated Monday that the strike is costing GM $220 million per week, although he said GM would have had to cut production anyway due to the weak economy so it's difficult to gauge the precise impact.[24] Despite the poverty rations of a $200 a week strike pay, workers have demonstrated enormous solidarity, determination and self-sacrifice.[3]
What a shame that all of the AAM striking workers are affecting so many others. These striking workers have the mentality that it would be better to be out of a job than take a pay cut.[25] I'm surely not one to criticize someones job "if it is worth the pay or not". I think its important that we all take a cut to do our part but when hourly take a cut and the company shells out millions in bonuses to managment and 80-100 million to attorney fees, it doen't seem right. If you need to know the facts go to the strikers and ask them there side of the story, you seem to have heard the medias side already.[19]
Buy-downs are lump-sum payments companies make to compensate for a lower hourly rate. The UAW has criticized a pay raise given to Dauch last year, and said the cuts sought by the company are out of line given its executive compensation and the fact that the company was profitable in 2007.[34] Last year UAW membership declined by 13.7 percent to 464,910, a loss of 73,538 members compared with 2006. The UAW has lost more than two-thirds of its membership since 1979, when membership peaked at 1.5 million. Nevertheless the union earned $75 million in interest on its investments last year, up from $59 million in 2006, and ended the year with $1.25 billion in assets, down slightly from $1.27 billion at the end of 2006. This process is the inevitable outcome of the subordination of the trade unions to the capitalist system and the national interests of corporate America. Politically, this takes the form of the UAW's fierce hostility to building a political party of the working class and its undying support for the Democratic Party.[3] UAW President Walter Reuther opposed the growing demands within the union for the building of a mass labor party, claiming that America was not a country where you had rigid class groupings, like England and other European countries. He insisted the unions would ally itself with the Democratic Party and compete with big business for its allegiance. On this basis he conducted an anticommunist witch-hunt and ruthless purge of the left-wing elements in the union, consolidating the UAW as a pro-capitalist trade union that would not impinge on the rights of private property and profit. Reuther's program was based on a fundamental lie: that the interests of the working class could be reconciled with those of corporate America. He bet the future of the working class on the permanent domination of U.S. industry, which had emerged from World War II as the most powerful economy in the global market, producing half of the world's industrial goods.[3] Fraser led the union through dark hours in the U.S. auto industry in 1977-1983 and was instrumental in the effort that saved Chrysler Corp. from bankruptcy in 1979. As part of the agreement for concessions, Chrysler gave Fraser a seat on its board, making him the first major union chief on the board of a large corporation. He donated his board salary to Wayne State University in Detroit where he taught for decades after retiring from the union.[48]
The Marxist theoretician of industrial unionism in the United States in the 1890s was American Socialist Party leader Daniel De Leon, who, in common with European syndicalists, advocated destruction of the capitalist system and seizure of private industry by industrial unions.[36] There is therefore a one-to-one relationship between industrial union militancy and destruction of American manufacturing jobs.[36]
Even at half the wage you are still making more money than most americans. Stop acting like a bunch of spoiled brats, you are hurting the lower class wage earner as well.Get rid of the unions while you in the process they no longer work for the employee they only work for themselves.[25]
In a column published last week, UAW President Ron Gettelfinger said the union had already made proposals that will mean real sacrifices by our members and real savings for the company.[17] Like many at Local 2093, the Bushouse family is facing an uncertain future as the dispute grinds on. As of Friday, the company had said a counterproposal from the UAW this past week was a "slight improvement" over past proposals but fell far short of the deep concessions the company said it needs to compete in the auto parts business.[4]
The UAW then presented a new contract proposal the company called a "slight improvement" but far short of the deep concessions it needed.[8] The UAW presented the new contract offer on Wednesday as the two sides resumed full bargaining for the first time in a month.[30] UAW members are now considering a new contract offer, which was made on Saturday.[42]
Until the new contract was signed, auto labor in the United States was 50 percent more expensive than in France and Japan.[28]
Although it was a slight improvement from the UAW's previous bargaining positions, the all-in labor cost proposed by the UAW is still approximately 200% of the market rate of AAM's competitors in the United States automotive supply industry.[37] Negotiations are continuing. AAM remains hopeful that the International UAW will soon put forward economic and operating proposals that will allow AAM to compete on a level playing field with its competitors in the United States automotive supply industry and maintain its manufacturing operations in the original U.S. locations.[37]
The WSWS and SEP fight for the strike to be taken out of the hands of the UAW through the formation of rank-and-file committees in every plant, the rejection of all concessions and the extension of the strike to the entire industry.[3] The UAW collaborated with Iacocca and then-Chrysler Executive Vice President Richard Dauch to use the threat, real or otherwise, of plant closings to blackmail workers into accepting concessions to save the company.[3] Lear spokeswoman Andrea Puchalsky said Lear isn't giving regular updates of how many plants and employees are affected, but at least 10 Lear facilities and 1,200 workers have been idled. Puchalsky said GM's Hamtramck plant is among those Lear supplies seats and other parts to.[24] A spokesperson said Friday that a handful of workers have been called back temporarily thanks to some activity at GM's Fort Wayne plant.[25]
Some 350,000 GM workers walked out then and won a 30 percent increase in wages over three years, plus unlimited cost-of-living protection against inflation.[3] The company said it has offered buyouts to workers who want to leave and buy downs to help with the transition to lower wages.[2] Art Wheaton of Cornell Labor Studies in Buffalo has been out on the local picket lines talking with striking workers. Wheaton says he is not surprised that the company said no to this latest offer.[45] We have the flexibility to source all our business to other locations around the world, Dauch told the Detroit Free Press, and we have the right to do so. In a fundamental sense, the corporate CEO does have the legal 'right' to shut his factories and devastate the lives and communities of workers and their families. The capitalist system is based on the private ownership of the means of production, on the institutionalized exploitation of workers, who are forced to sell their labor power.[3] Factory committees - made up of production workers, along with engineers, technicians, accountants and other experts committed to the interests of working people - must take charge of all business decisions affecting work, safety, salaries, hiring and hours. The financial books of all corporations must be opened for inspection by the workers and management personnel selected on the basis of proven competence and a democratic vote of all employees, and their salaries limited to the level of skilled workers. The huge payouts for Dauch and other top executives must be frozen and the tens of millions they have squeezed out of the company returned.[3] Triangulation has been the strangulation of the hopes and dreams of American workers. Mixing the people's work with corporate work might be 'good for business,' but there is no question it's bad for America's workers.[44]
There is no place at the table for union-busters. "These back room dealings remind us yet again of the choice voters have in this election: bringing people together to change this broken system and forge new solutions that help restore the American Dream for America's workers or the status quo where Washington insiders buy their way into the policies they want."[44]
DETROIT (AP) - Gov. Jennifer Granholm and former Vice President Walter Mondale joined hundreds of people for a memorial ceremony for ex-United Auto Workers President Doug Fraser. He died Feb. 23 at age 91.[48] For nearly 30 years the class struggle has been suppressed by the betrayals of the United Auto Workers and the AFL-CIO bureaucracy. Or to put it more precisely, the working class has been shackled as a class war has been prosecuted almost entirely by the other side.[3] The United Auto Workers, however, said a mediator "would add little to the process at this juncture."[34]

I'm sick and tired of hearing about these spoiled rotten overpaid workers striking to get even more from their employer. The unions have killed almost all business they have meddled in within Michigan and have forced business to move out of Michigan to get away from these bellyaching spoiled, overpaid, substance abusing workers. [19] Inappropriate? Alert us. I'm going to put forth an unpopular idea as to who is the real problem with our economy/society - it's us, the average Joes and Janes - whether we are CEOs, union members, white collars, or hourly fast food workers.[19]
Granholm spoke at Saturday's memorial at Wayne State, calling Fraser a "leader to emulate" whose fight for workers continues to benefit thousands today. "There are tens of thousands of UAW members across the country. able to enjoy a decent quality of life because of Doug Fraser," she said.[48]

Earlier yesterday, the UAW gave GM 5-day strike notices over local contract issues at three Michigan factories. [16] From the outset of the strike the chief concerns of the UAW bureaucracy have been to (1) suppress the resistance of the rank and file to a concessions contract and (2) secure the interests of the Solidarity House bureaucrats.[3]
A campaign must be prepared now to mobilize opposition to reject any contract brought back by the UAW that contains wage cuts and other concessions.[3] We never turned our back on helping people or organizations out because I made a good wage to support my family and then some, now the shoe is on the other foot and I need the help now. I'm sure alot of other workers who had their wages cut and those who will in the future will do the same.[19]
"We're not in a position to speculate on future national contract negotiations," said GM spokesman Dan Flores. Gregg Shotwell has watched his former company, Delphi Corp., adopt a two-tier wage, lower wages across the board, and his current employer GM adopt a two-tier system.[1]

Toyota Motor Corp. is now pushing to lower labor costs in the U.S., people who are familiar with the matter said. Later this year, GM will begin shipping the Buick Enclave, a seven-passenger crossover sport utility vehicle made in Lansing, Mich., to China, where the Buick brand is a big seller. [28] Ford Motor Co. is considering ramping up exports if it can bring labor costs down, people familiar with the matter said.[28]

The vital decisions on where to invest society's financial resources - the product of the labor of the working class - must be made democratically by the people, not behind closed doors by speculators and other financial parasites. To accomplish this workers must break with the Democrats and Republicans, shake off their prejudices about socialism, and build a powerful political movement, which aims at the revolutionary reorganization of social life to meet the needs of the vast majority on this planet, not a financial aristocracy that has demonstrated its inability to run society. [3] An early example was the 1869 Knights of Labor, organized shortly after the Civil War, when railroads and other large, interstate business corporations came into being. Its membership dwindled after its identification with the 1886 Chicago Haymarket Square riot between police and unionists that resulted in several deaths when bombs were thrown into the crowd. A similar history of violence and murder surrounds the Industrial Workers of the World (IWW), which was formed in 1905.[36]
Inappropriate? Alert us. You call it screwing over American workers but now I want you to please explain to me why someone should get paid close to $30/hour to screw a bolt, push a button, etc. That is BEYOND ridiculous.[19] The days of earning $28 an hour for driving a vehicle off the assembly line or putting the finishing touches on an engine are gone for the next generation of General Motors Corp. factory workers.[26] The six-week strike has closed or curtailed work at 29 General Motors Corp. factories. DALLAS -- Southwest Airlines Co. nearly doubled the compensation for its chief executive in 2007 to $1.9 million, according to a regulatory filing Thursday. Gary Kelly's compensation included a salary of $424,065, a bonus of $462,000 and stock options that the company valued at $938,775 when they were granted in September.[49] The strike has caused parts shortages that have closed or curtailed work at 29 General Motors Corp. factories, affecting about 39,000 hourly employees.[8]
The strike has forced General Motors to idle some production lines and thousands of workers at 30-plants in North America.[14]

G-M says the U-A-W sent strike notices to the company yesterday for plants in Flint, Warren and Delta Township near Lansing. [43] Around 220 employees at the plant have been temporarily laid off as a result of the ongoing strike at the parts supplier.[11]
Not only in our country; but world wide. He seems to think that his '''buy downs''' and '''buy outs''' will be '''cushy and comfy''' for his employees. These figures must be enough to replace the 14 years my husband has in at your company, the fact that we have to completely start over somewhere else ''' without the same pay ''' and allow our families to keep our houses. In my opinion, this man will never offer enough for the damage that has already been done and the wrath we are about to endure. He smugly accepts a huge salary and bonuses while he threatens to close our plants because we aren'''t making a profit large enough. He fails to announce to the world that these 5 plants fund the off shore plants and the off shore plants rake in the profits. How do you expect my husband and his co-workers to produce enough to finance all of these operations? Meanwhile, he is taking machines out of my husband'''s plant and sending them to non-union plants.[37] In 1955, for example, Detroit was producing four out of five of the world's cars and Toyota was a small company producing 27,000 cars for the Japanese market. This perspective appeared to work from 1945 to 1970 as living standards rose sharply in contrast to the Depression and war years, and social inequality lessened. It all began to unravel with the revival of the Japanese and German economies and their challenge, not only in global markets, but in the U.S. market itself.[3]
The company then repeated earlier threats to close the U.S. plants if costs don't come down.[8] Chrysler LLC, primarily spurred by exchange rates, has already started shifting production from Europe to the U.S. to take advantage of lower costs and available plant capacity.[28]

The company issued a statement Friday saying the union's proposed deal was not cost competitive. [45] Last fall, Ford executives dangled a carrot to union negotiators, saying that exporting opportunities for UAW-built vehicles could increase with more competitive manufacturing costs, a person familiar with the matter said. Now, Ford is considering exporting its Ranger small pickup and Focus small car to places such as Brazil and Mexico when the economics make sense, another person familiar with the matter said.[28]
The auto parts maker said it was disappointed the union refused impartial assistance in trying to reach a settlement. UAW President Ron Gettelfinger said the union had conversations with a representative of the Federal Mediation and Conciliation Service, but that enlisting a federal mediator would add little at this point in the negotiations.[33] The union is considering a new proposal from the company as negotiations continued through the weekend.[34]
In addition to locations in the United States (Michigan, New York, Ohio and Indiana), AAM also has offices or facilities in Brazil, China, Germany, India, Japan, Luxembourg, Mexico, Poland, South Korea, Thailand and the United Kingdom. Certain statements contained in this press release which are not historical facts contain forward-looking information with respect to the Company's plans, projections or future performance, the occurrence of which involves risk and uncertainties that could cause the Company's actual results or plans to differ materially from those expected by the Company which include risk factors described in the Company's filings with the Securities and Exchange Commission.[46] The company also has told UAW officials that it is seriously considering building a future small car in Lordstown, Ohio, that would be exported to markets outside of North America, people familiar with the matter said. It would be one of five new vehicles being produced there near the turn of the decade, one of these people said.[28]
The UAW and the company had no official talks scheduled Monday, spokeswoman Renee Rogers said. Talks have been continuing sporadically, but the two sides' full bargaining teams haven't met together since March 10, she added.[24]
The person did not want to be identified because negotiations are in progress. Even though the UAW and GM reached the national deal last fall, local factories negotiate their own agreements on overtime and work rules.[2] The approach resulted in months of hard bargaining between GM and the UAW as the sides haggled over which jobs would fall into each category.[26] Shaiken notes that the UAW is being careful to define how many and the types of jobs that would see the second-tier wage.[1] Doesn't that sound like an appropriate wage? If it doesn't, good news -- our country allows you to get an education and earn a job that pays more.[25]
Changing classification means that new workers will earn half as much for many assembly jobs.[26] Mark Penn, while serving as an advisor to the Clinton campaign contracted to advocate for a job killing trade agreement with a nation that is the most dangerous place in the world for trade unionists. To make matters worse, his firm also advocates for a corporation notorious for aggressively suppressing the rights of workers.[44] There is simply no way to be competitive in the industry paying line workers, whose jobs require little to no formal education, that kind of money. It's absurd.[19]
"We're in an auto industry recession." That's little comfort to GM's other suppliers, who also are taking a beating due to the strike.[24] On Feb. 26, when the strike began, GM had as much as 150 days' supply of some pickups and SUVs, well over the 60-day supply considered healthy in the industry.[24]
The strike could have more impact as it cuts into GM's car inventories. While sales of large sedans have been slow industrywide -- sales of both the Lucerne and the DTS were down 20 percent in the first two months of this year -- GM had only a 59-day supply of the DTS in February, according to Ward's AutoInfoBank, and has been counting on increasing sales in its revitalized Cadillac division.[24]
"We'll deal with it, we'll be OK," Courtney says. Emma, too young to truly understand what the cuts might mean, just wants her dad around. An executive board member with the union, he's gone a lot -- to Washington, D.C., Lansing and other cities across Michigan.[4] Union gives five-day notices of intention to walk out if local labor contracts aren't settled.[23] Many saw the establishment of industrial unions not as a goal in itself but the beginning of the political organization of the working class to challenge the profit system and fight for a socialist transformation. Very rapidly, however, the leaders of the newly formed UAW and CIO moved to curb this mass movement and prevent any revolutionary challenge to the economic and political supremacy of the capitalist class.[3] The union no longer has the power it once did. Be concerned about your job and start looking for another one if you can't accept what they need to pay you. Nobody likes to loose money, but you have to take what you can get in these economic conditions.[25] Flashboski I'll be one to admit that some of the jobs in the factory are easier than others. Until you stand on the cement floors in oil and the air that don't ciculate when its over 100 degrees you don't understand the circumstance,we make a lower income compared to our managment team. There are some jobs in the plant I would love to have and others they couldn't pay me enough.[19] Scores more jobs at GM's powertrain, stamping and transmission plants will also receive the non-core designation.[26] "Were strong, we can hold out as long as it takes". and for what? Just long enough for AAM to move your jobs out and close your plants.[25]
The labor dispute has idled General Motors Corp.' s Powertrain Transmission plant in White Marsh.[11] Just last week, GM confirmed plans to reopen a pick-up truck plants in Fort Wayne and Ontario.[42]
GM is making plans to sell the Chevrolet Malibu, a sedan made in Kansas and Michigan, and possibly other U.S.-made passenger cars in Brazil and other Latin American markets, GM executives have said.[28] I think that's what the next round is going to be all about," said Gerald Meyers, former chairman of American Motors and now a business professor at the University of Michigan.[1]

Yeah the company execs should also take a pay cut, I am in complete agreement there. [19] There are now reports that the company is threatening to take jobs overseas if an agreement cannot be reached.[25]

For years, workers have been told socialism was contrary to human nature. The market, we were told, was the most rational and efficient form of economic organization, which rewarded those willing to take risks and work the hardest. [3] The response of America's corporate and financial elite was to embark on an offensive against the working class to make workers pay for the decline in the global position of U.S. capitalism.[3]
SOURCES
1. Axle strikers eye Detroit 3 issues | Freep.com | Detroit Free Press 2. The Canadian Press: UAW strike could cut production of GM's hot-selling products 3. WSWS writer Jerry White speaks on American Axle strike 4. American Axle workers make do on strike pay in Three Rivers - 5. Local News: American Axle Rejects Union Offer | american, three, axle - wwmt.com 6. UAW, American Axle continue labor talks - UPI.com 7. American Axle delivers new proposal to UAW | Reuters 8. The Associated Press: American Axle Makes New Offer to UAW 9. TFN NEWS BRIEFING: Aerospace and transportation highlights to 09:10 BST | Latest News | News | Hemscott 10. American Axle: UAW proposal 'non-competitive' 11. American Axle rejects UAW offer to end strike impacting GM's White Marsh plant - Baltimore Business Journal: 12. The Buffalo News: Business: American Axle presents new proposal to UAW 13. American Axle contracts : News : WEYI NBC25 14. WNED: American Axle Rejects Contract Offer (2008-04-11) 15. WLNS TV 6 Lansing Jackson Michigan News and Weather - WLNS.COM | American Axle makes new contract offer to United Auto Workers 16. WLNS TV 6 Lansing Jackson Michigan News and Weather - WLNS.COM | UAW strike could cut production of GM's hot-selling products 17. UAW makes proposal in American Axle negotiations : Indybay 18. American Axle Proposes Contract As Talks Continue - International Business Times - 19. American Axle: UAW's new proposal better, pay still too high - 20. The Buffalo News: Latest Local News: American Axle rejects UAW pay proposal 21. American Axle talks resume 22. WWJ Newsradio 950 - Walkouts Possible at 3 More GM Plants 23. UAW sets strike date at 3 Mich. plants 24. WSJM AM 1400 & FM 94.9 - * 25. Local workers optimistic about American Axle strike talks | WSBT South Bend - Your Local News Leader | Local News 26. Some GM jobs called 'non-core' 27. | Freep.com | Detroit Free Press 28. Winston-Salem Journal | Outlook appearing brighter in Detroit 29. Axle, UAW strike talks yield little agreement | Freep.com | Detroit Free Press 30. American Axle rejects UAW offer, talks continue - MSNBC Wire Services - MSNBC.com 31. UAW rejects Axle's request for federal mediator in talks | Freep.com | Detroit Free Press 32. American Axle reaches contract agreements with unions in Mexico, U.K. - Forbes.com 33. American Axle says UAW refuses mediator in talks | Markets | Markets News | Reuters 34. UPDATE: UAW Rejects Mediator In American Axle Talks 35. General Dynamics Worker Strike Over Benefits Package - News - TriCities.com 36. ESR | April 14, 2008 | Labor union perspective 37. UAW / American Axle & Manufacturing Negotiations Update | Auto Spectator 38. 21 News Now, More Local News for Youngstown, Ohio - American Axle Meets with UAW 39. Proposed American Axle contract : News : WEYI NBC25 40. Hillsdale.net 41. American Axle & Manufacturing offers UAW plan to end strike -- chicagotribune.com 42. UAW and American Axle negotiate new deal 43. INDEX:International, Labour 44. There is No Place at the Table for Union-Busters 45. wbfo NewsRoom 46. American Axle & Manufacturing Reaches Contract Agreements with Unions in Mexico and the United Kingdom 47. Automotive World - US: American Axle turns down UAW proposal 48. Mondale, Granholm join hundreds honoring late UAW chief Fraser - NewsFlash - mlive.com 49. Star-Telegram.com: | 04/11/2008 | American Axle rejects UAW proposal

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