first of all i saw you had posted this article in another thread and i
believe you posting it here again may be considered spam . you might
want to be careful about doing that lew .
secondly i say wonderful the workers should be paid when laid off
brcause of the owners mistakes or greed ! thank God for unions ! ! !
On Dec 22, 7:25 am, "[email protected]" <[email protected]> wrote:
> Automakers Forced to Pay 85- to 95-Percent of Wages to Union Members
> Who Are Not Working
> Friday, November 21, 2008
> By Tiffany Gabbay
>
> United Auto Workers President Ron Gettelfinger(CNSNews.com) – The Big
> Three automakers are forced to pay 85- to 95-percent of union wages
> and benefits to members of the United Auto Workers union who aren’t
> working – even if their plants have been closed.
>
> Industry analysts say union labor agreements that obligate the Big
> Three to pay millions of dollars to workers who are no longer working
> are a major reason why the automakers are in trouble – a problem that
> no short-term bailout can fix.
>
> During hearings last week where the chief executives of Ford, Chrysler
> and General Motors appeared before the Senate Banking Committee, Sen.
> Bob Corker (R-Tenn.) raised the issue.
>
> Corker asked Rick Wagoner, CEO of General Motors, why with all of the
> measures he has taken to prevent a collapse, his company was still not
> making money.
>
> “Is it because of the (United Auto Workers) union?” Corker asked
> pointedly.
>
> Wagoner, who demurred from answering directly, said that even at
> plants that are closing, “85 percent” of union employment benefits
> still “have to be paid.” He said that GM has had to restructure and
> reduce the cost of operating in the U.S., but the company still pays
> for employees that are not currently working at “idle facilities.”
>
> Chrysler Chairman Robert Nardelli, facing a similar question from
> Corker, confirmed that “agreements are in place” between Chrysler and
> UAW that, regardless of demand, Chrysler must still operate at a pay
> rate of 95 percent of wages for employees not currently working at
> idle facilities.
>
> Peter Morici, a professor at the University of Maryland’s school of
> business, told CNSNews.com that one of the biggest problems the
> companies face is the UAW’s Jobs Bank – a program established more
> than two decades ago that guarantees nearly full salary and benefits
> to out-of-work employees.
>
> “Right now if a plant closes in St. Louis and a new one opens in
> Kansas City, the workers don’t have to move from St. Louis to Kansas
> City; they can opt to get a $105,000 payout or go on Jobs Bank where
> they can collect 95 percent of pay for the rest of their lives,”
> Morici said.
>
> The Detroit automakers have not released official numbers indicating
> how much they currently spend on their respective Jobs Banks, but
> previously released four-year labor contracts signed with the UAW in
> 2003 revealed “contribution caps” to be implemented by each of the Big
> Three.
>
> These contracts say that GM agreed to allocate $2.1 billion in Jobs
> Bank payments over four years, Chrysler $451 million for its program
> along with another $50 million for salaried union employees, and Ford
> agreed to set aside $944 million.
>
> Morici, who also testified at last Tuesday’s committee hearing, said
> that economists estimate that $2,000 per vehicle of every car
> manufactured by the Big Three goes directly to pay employee benefits,
> something foreign automakers do not have as part of their overhead.
>
> The economist said he believes U.S. automakers are “capable of making
> high quality vehicles” but that the extremely high labor and product
> development costs will keep the Big Three from becoming profitable and
> surviving.
>
> “My view is they can’t do that because their labor costs are too high
> and their product development costs are too high” Morici said.
>
> “They need to lower their labor costs to those enjoyed by say, Honda
> at the new Indiana plant and eliminate all of the burdens and work
> rules that get in between the management and workers in terms of
> defining how the work place is run,” he added.
>
> UAW President Ron Gettelfinger, meanwhile, told the congressional
> panel that his union will not be making any concessions in order to
> receive the proposed $25 billion in government aid – and attributed
> the automakers’ difficulties to the economy and the tight credit
> market’s impact on car buyers.
>
> Viewer Comments
> The following comments are posted by our readers and are not
> necessarily the opinions of either CNSNews.com or the story’s author.
> To be considered for publication, comments must adhere to the Terms of
> Use for posting to this Web site. Thank you.
>
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>
> freeseeker at 02:57 AM - December 02, 2008
> Most of our employees, both production and skilled, have higher
> eduction. Most have at least some college, many have advanced degrees.
> What I'm telling you is, we get paid more, yes, because we've earned
> it. I'm sick and tired of class warfare among blue collar workers.
> Pitting one worker against another. A liberal ploy if I ever heard
> one. Finally, the auto industry has earned a bailout. The only reason
> Ford and the others are loosing money is because Congress has
> destroyed the economy over the last 2 years. The industry loses right
> now are loses not of our own making. Remember in 1994 when the
> Democrats were warning that if they ever got back control of Congress
> they were going to make the American people pay for throwing them out
> in the first place. January 3, 2007 the economy was humming along.
> It's taken the Democrat controlled Congress less than 2 years to screw
> up everything and everyone. The economy being in the condition it's in
> was a successful vendeta.
>
> freeseeker at 02:43 AM - December 02, 2008
> I'm a skilled trades worker. Electrician by trade. My base rate of pay
> is just shy of $33.00 per hour. That's about $1.00 per hour more than
> a typical Toyota skilled worker. Do I have good beneifts? Yes, of
> course. If not I'd have to take all my skills and find a job that
> included good benefits. But then again I'm a highly trained commodity.
> My skills have value. As the work force changes, as all the companies
> automate, the production workers are becoming fewer and fewer. They're
> skills are also becoming greater and greater. We all earn the money we
> make. Frankly most of you can't do what we do, and wouldn't last a day
> if the opportunity presented itself. I speak from experience, I've
> been an assembler, a production machine operator, an electrical
> apprentice, a journeyman electrician, and both a production and
> skilled supervisor. I have a college degree, a state journeyman's
> license, and soon to have a master's license.
>
> freeseeker at 02:30 AM - December 02, 2008
> I'm a Ford worker. "Frank as I wanna be" is correct about the 85% pay.
> With the 2007 contracts the jobs bank is coming to an end. As it is
> now the jobs bank does not last forever. As I read the contract you
> run out of that benefit after 2 years. That is two years after
> unemployment runs out. The jobs bank was originally created to
> discourage the companies from laying people off in the first place.
> Frakly I don't see what else Ford could do to satisfy Congress. Ford
> alone has gotten rid of 51,000 employees and closed 17 plants. Our
> quality and gas milage meets or exceeds anything the Japanese or
> Koreans are putting out. And I'd put the new Lincoln MKS against a
> Lexus any day. Our new F-150 is the finest new truck on the market.
> The Toyota Tundra is, by comparison, JUNK! I've also read comments
> about the wages paid to UAW represented workers. Production does not
> make $30 an hour. They make about $1.00 an hour more the a typical
> Toyota worker.
>
> matts2 at 11:07 PM - November 30, 2008
> What an astounding misunderstanding. Here is the the original comment:
> "Wagoner, who demurred from answering directly, said that even at
> plants that are closing, “85 percent” of union employment benefits
> still “have to be paid.” Got that? Not 85% of all wages, 85% (and that
> for a limited time) at a *closed* plant. From that you somehow
> concluded that 85% of all wages are to non-workers. For your
> conclusion to make sense it would mean two things. First, that the
> automakers have laid off all of their non-union workers, so 85% of
> union wages was 85% of all wages. Second, that they have closed all of
> their plants so pay to laid off workers was the only pay. Next time,
> if some fact seems too outrageous, check to see if it is a fact before
> you show your outrage.
>
> Santee at 02:14 AM - November 25, 2008
> What other company has such a package for its employees? The Big Three
> auto makers are in trouble for good reason! We wonder why such
> benefits would have even been considered, until we realize the
> stranglehold that the UAW has on the Big Three. The UAW "will not be
> making any concessions in order to receive the proposed $25 billion in
> government aid." Sounds like the Big Three still will not "make it"
> with all the money that the government can throw at them because they
> still have not gotten it together. The best of plans and all the
> retooling in the world, will not make them competitive with other auto
> makers. Let them go Chapter Eleven, get rid of most of the garbage
> that has built up over the years, retool for energy efficient vehicles
> then perhaps they can be competitive again. The government should not
> throw money down this rathole.
>
> On Dec 22, 6:35 am, Florida Cracker 532 <[email protected]>
> wrote:
>
>
>
> > Blacks and Immigrants Bring in the Union [ anti-union campaign  went
> > down to defeat ]http://www.truthout.org:80/122108B
> > When workers at Smithfield Foods' North Carolina packing house voted
> > in the union on December 11, the longest, most bitter anti-union
> > campaign in modern labor history went down to defeat. Sixteen years
> > ago, workers there began organizing with the United Food and
> > Commercial Workers. In 1994 and 1997, the union was defeated in
> > elections later thrown out by Federal authorities because the company
> > created an atmosphere of violence and terror in the plant. In 1997,
> > one worker was beaten after the vote
>
> ...
>
> read more »- Hide quoted text -
>
> - Show quoted text -
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