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…)

United Auto Workers at the Kansas City, Missouri plant that produces Ford F-150s may strike as early as Sunday if the automaker doesn’t “negotiate in good faith,” according to Jimmy Settles, UAW vice president:

The challenges we face may not be easy, and I certainly cannot predict the future, but I would rather die fighting than to do an injustice to this membership or our institution.

Settles wrote to union members that issues such as “manpower provisions, the national heat stress program, and skilled trades scheduling amongst others” prompted the threatened strike at the Kansas City plant.
(Read More…)

… 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…)

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…)

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…)

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…)

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…)

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…)

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…)

Automakers may try to negotiate a massive health care co-op with the United Auto Workers — similar to the one it has with its retirees — and potentially change private health care in the U.S., Bloomberg is reporting.

At issue are the roughly 300,000 workers and beneficiaries, and 750,000 retirees and their families who rely on the UAW for health care.

The pool of more than one million workers and their families could give the Big Three unprecedented negotiating power with U.S. hospitals and clinics.

(Read More…)

The newest round of negotiations between the Big Three automakers and the United Auto Workers will focus on narrowing the gap between veteran workers and “second-tier” workers hired after 2011, Reuters is reporting.

Talks between the UAW, which represents around 138,000 workers, and Ford, Fiat Chrysler Automobiles and General Motors will begin Monday. The UAW’s contract with GM ends Sept. 14.

Union President Dennis Williams said he wanted to focus on narrowing the gap between veteran workers, who make on average $28 an hour, and workers hired post-recession, who make on average $16 to $19 an hour, according to the story.

(Read More…)

The 6th U.S. Circuit Court of Appeals ruled Thursday General Motors will not owe $450 million to the UAW for funding health care among Delphi retirees.

(Read More…)

Volkswagen announced Thursday it would deny the UAW’s request to be the sole representative of the automaker’s Chattanooga, Tenn. plant.

(Read More…)

Delegates at this week’s 2015 UAW Bargaining Convention in Detroit are pushing hard for an end to the two-tier wage system in place since 2007.

(Read More…)

The two-tier wage system in place now may come down in this year’s UAW negotiations with the Detroit Three. If so, Tier 1 may be the dead man walking.

(Read More…)