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By
Aaron Cole on October 7, 2015
Negotiators for the United Auto Workers and Fiat Chrysler Automobiles are working to avoid a strike as a deadline looms Wednesday for 40,000 workers at the automaker’s plants.
Reuters reported (via Automotive News) that talks were ongoing to move forward or present a new four-year contract to workers after hourly employees roundly rejected the last proposed deal. The Detroit Free Press reported that employees voiced displeasure with the “alternative work schedules” in the contract that would keep workers on four, 10-hour shifts instead of five, 8-hour shifts, sometimes switching between late night and early morning shifts within days.
The last strike at Chrysler plants lasted for only 6.5 hours in 2007.
(Read More…)
By
Aaron Cole on October 5, 2015
A late-night deal reached between Ford and Kansas City, Missouri auto workers averted a strike over the weekend.
United Auto Workers Vice President Jimmy Settles in a letter to workers said negotiators reached an agreement late Friday night.
As you know, earlier this week, I gave Ford Motor Company 120-hour notice of our intention to strike at the Kansas City facility if a tentative agreement for their local contract could not be reached. Thankfully, with this evenings (sic) announcement, that action has been averted.
The UAW hasn’t yet announced if it will shift its focus to negotiations with Ford after a majority of Fiat Chrysler Automobiles union workers rejected their proposed deal with the automaker. (Read More…)
By
Aaron Cole on October 1, 2015
United Auto Workers at Fiat Chrysler Automobiles officially rejected a proposed contract that would have raised wages for workers, but didn’t eliminate the tiered pay system for veteran and newly hired workers.
Reuters reported that 65 percent of the 40,000 union workers voted against the contract. Reports said that workers voiced concerns that the contract didn’t raise wages enough; created a lower-paid, “third” tier for parts and axle operations workers; and few details were provided for the health care co-op.
FCA relies heaviest among domestic automakers on lower-paid Tier 2 workers. Approximately 45 percent of hourly workers at FCA plants are Tier 2 workers.
(Read More…)
By
Aaron Cole on October 1, 2015

The average transaction price for a new car edged up slightly August to September from $33,563 to $33,730, researchers at Kelley Blue Book said Thursday.
Fiat Chrysler Automobiles posted the largest gain over the same month last year, as the automaker increased its average transaction price 4.1 percent to $34,809. Unsurprisingly, Volkswagen was the only major automaker to post a loss in the report, losing 1.6 percent from August to September this year, and 0.1 percent from September 2014.
Ford, General Motors and Kia/Hyundai all posted gains over 3 percent, year-over-year. Overall, the industry average for new car transaction prices rose 2 percent from September 2014 to September 2015. Toyota was the other automaker to fall below the industry average for gains. Its average transaction price increased by only 0.6 percent.
(Read More…)
By
Aaron Cole on September 30, 2015
… it’s probably dead.
The Detroit Free Press reported that the deal appears to be mathematically impossible after several large locals voted down the proposed contract this week.
The margins of defeat have been growing since Mopar and axle operators workers voted down the proposal by just over 50 percent and 65 percent last week, according to reports. Workers in Toledo, which builds the Jeep Wrangler and may lose the Cherokee to Sterling Heights, Michigan in order to build more Wranglers, voted overwhelmingly against the proposal; 87 percent declined the contract according to the Free Press.
Union workers at Fiat Chrysler Automobiles plants say that the contract, which does not specify production sites or moving plans — such as shifting truck and car production — doesn’t assuage concerns that more jobs will be lost to Mexico.
(Read More…)
By
Aaron Cole on September 29, 2015
Fiat Chrysler Automobiles admitted Tuesday it hasn’t accurately reported required early warning report data to the National Highway Traffic Safety Administration. The safety administration said that warning data includes “significant under-reported notices and claims of death, injuries and other information.”
According to the automaker, FCA self-reported its violations to NHTSA as part of its increased scrutiny after a record $105 million fine and consent order that FCA agreed to in July. Under the order, FCA agreed to have an independent monitor review its recalls for at least two years. (Read More…)
By
Aaron Cole on September 28, 2015
United Auto Workers at Fiat Chrysler Automobiles’ Jefferson North Assembly Plant and its Kokomo Transmission Plant voted down a contract proposal over the weekend, marking the latest and perhaps the most significant defeat to the union’s proposal, the Detroit Free Press reported.
According to reports, 66 percent of the workers, who build Jeep Grand Cherokees and Dodge Durangos at the Jefferson facility, vetoed the contract.
The contract faces an uncertain future with the rest of UAW workers at FCA, and while overall passage is mathematically possible, the growing rate of rejection doesn’t look particularly promising.
(Read More…)
By
Aaron Cole on September 25, 2015
This week, Daimler, BMW, Jaguar Land Rover and Fiat Chrysler Automobiles issued statements on how their diesel cars don’t cheat like someone else you may’ve heard of.
“The BMW Group does not manipulate or rig any emissions tests,” BMW said in a statement Thursday. “We observe the legal requirements in each country and fulfill all local testing requirements.”
BMW’s admission is notable because the automakers’ X3 diesel model was targeted by the independent commission that discovered that Volkswagen’s cars illegally polluted.
(Read More…)
By
Aaron Cole on September 24, 2015
Detroit parts and axle operations workers Wednesday voted against a four-year contract proposed by the United Auto Workers and Fiat Chrysler Automobiles, the Detroit News reported.
About 700 Local 1248 workers in Warren, Michigan, turned down the proposal and said Wednesday that the contract created a third, unfair pay tier for Mopar workers that would cap their wages at a lower rate than Tier 1 and Tier 2 workers at FCA.
Under the proposed contract, veteran Tier 1 workers could receive pay raises up to $30 an hour, and newer, Tier 2 workers’ pay could go up to $25 an hour. Parts and axle operations workers pay would top out at $22 and $22.35 per hour, respectively.
(Read More…)
By
Aaron Cole on September 23, 2015
Parts and service workers say the recent Fiat Chrysler Automobiles-United Auto Workers contract has created an unfair, lower paying tier and are airing their uncertainty, the Detroit News reported.
Under the proposed contract, Mopar parts distribution center workers and axle operation workers top out at $22 and $22.35 respectively — less than the Tier 1 and Tier 2 pay raises up to $30 and $25 per hour respectively.
“They created a third tier,” Lamont Carr, a Local 1248 worker, told the Detroit News.
(Read More…)
By
Aaron Cole on September 20, 2015
Included in the United Auto Workers latest round of negotiations was language that protected workers at Fiat Chrysler Automobiles from discrimination based on gender identity.
“During this round of bargaining the union expressed the importance of the parties both maintaining and strengthening policies that ensure the equal treatment of all employees,” the union wrote in its white paper to members.
Michigan and Ohio do not protect workers from discrimination based on gender identity, according to the ACLU. Only Illinois, where FCA currently builds the Dodge Dart, Jeep Compass and Patriot at its Belvidere plant, has a law that protects workers from gender-identity discrimination. (Read More…)
By
Aaron Cole on September 17, 2015
United Auto Workers members working for Fiat Chrysler Automobiles could get a $3,000 bonus to ratify its newest contract in the next few days, Bloomberg reported.
The bonus will be on top of raises for the workers, something that the UAW stressed in its negotiations with the automaker. Tier 1, veteran workers, could see pay raises to bump up hourly wages to $30 an hour. Lower-paid, newly hired Tier 2 workers could get pay raises up to $25 hourly after eight years of employment.
The newest contract with the UAW could eventually end the tiered-pay system. Roughly 45 percent of union workers at FCA were hired as Tier 2 workers.
(Read More…)
By
Aaron Cole on September 16, 2015
The tentative pact between the United Auto Workers and Fiat Chrysler Automobiles reached Tuesday evening may eventually end the two-tiered pay system for thousands of workers at the automaker, Reuters reported.
FCA chief executive Sergio Marchionne said the agreement would do away with the separate system “over time.” Roughly 45 percent of FCA’s workforce was hired at the lower, Tier 2 pay, which is roughly $9 less per hour than older, Tier 1 workers.
According to the report, raises for both classifications of workers would be likely, although details weren’t discussed.
(Read More…)
By
Aaron Cole on September 15, 2015
Representatives from the United Auto Workers and Fiat Chrysler Automobiles agreed Tuesday to extend their contract on an “hour-by-hour” basis, Reuters reported. Workers reported Tuesday for their morning shifts, but those workers could walk out at any time if talks stall.
On Monday, it became clear that the UAW would set its sights on FCA and their larger share of Tier 2 workers — workers hired after the recession at a lower hourly wage — as the union aims to “bridge the gap” between the two tiers.
According to the report, the union may opt to strike, stage a limited walkout or continue negotiations if talks reach an impasse.
(Read More…)
By
Aaron Cole on September 10, 2015

This has not been a banner summer for Fiat Chrysler Automobiles. In the past 90 days, FCA has recalled nearly 4 million cars and trucks for various issues including hackable cars, volatile fuel tanks, faulty airbags and now, in some of its Ram trucks, airbags with minds of their own.
In a statement Thursday, FCA said it was recalling more than 1 million pickups for a faulty steering wheel wiring harness that could rub against a spring and deploy the driver’s side airbag. The company said it was aware of two injuries related to the airbag deployment. Ram trucks — all models — made between 2012-2014 are affected by the recall. More than 235,000 trucks in Canada will be recalled as well.
In addition, FCA is recalling roughly 350,000 trucks for faulty welds and non-compliant side-curtain airbags.
(Read More…)
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