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In the interest of remaining competitive with transplants (non-union automotive plants in the U.S. owned and operated by import automakers), Ford and the United Auto Workers union have tentatively agreed on modifications to their current contract that affects some 41,000 hour workers. The exact modifications won't be officially revealed until the UAW and its members have a chance to ratify the contract changes later this week, but Automotive News is reporting that they include additional product commitments by Ford for UAW plants in the U.S., as well as bringing some parts work back in-house. Also reported are reported are concessions by the UAW for more work rule changes and a reduction in the number of skilled-trades classifications, both aimed at increasing productivity and saving money.
Ford is in a tough spot since its cross-town rivals, General Motors and Chrysler LLC, were able to renegotiate their contracts with the UAW under the umbrella of Chapter 11 bankruptcy this past summer. Ford, having avoided accepting any loans from the government and filing Ch. 11, has enjoyed better-than-expected sales the past few months, and so asking its hourly work force for concessions without the pressure of reorganization and while it's doing relatively well is a tough case to make. Nevertheless, it appears that UAW leaders were willing to see Ford's side of things. We'll let you know later this week when the official contract changes are revealed, so stay tuned.
[Source: Ford, Automotive News - sub. req'd | Photo by Bill Pugliano/Getty]Continue reading Ford and UAW reach tentative agreement on contract changes
Ford and UAW reach tentative agreement on contract changes originally appeared on Autoblog on Tue, 13 Oct 2009 16:31:00 EST. Please see our terms for use of feeds.
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In the interest of remaining competitive with transplants (non-union automotive plants in the U.S. owned and operated by import automakers), Ford and the United Auto Workers union have tentatively agreed on modifications to their current contract that affects some 41,000 hour workers. The exact modifications won't be officially revealed until the UAW and its members have a chance to ratify the contract changes later this week, but Automotive News is reporting that they include additional product commitments by Ford for UAW plants in the U.S., as well as bringing some parts work back in-house. Also reported are reported are concessions by the UAW for more work rule changes and a reduction in the number of skilled-trades classifications, both aimed at increasing productivity and saving money.
Ford is in a tough spot since its cross-town rivals, General Motors and Chrysler LLC, were able to renegotiate their contracts with the UAW under the umbrella of Chapter 11 bankruptcy this past summer. Ford, having avoided accepting any loans from the government and filing Ch. 11, has enjoyed better-than-expected sales the past few months, and so asking its hourly work force for concessions without the pressure of reorganization and while it's doing relatively well is a tough case to make. Nevertheless, it appears that UAW leaders were willing to see Ford's side of things. We'll let you know later this week when the official contract changes are revealed, so stay tuned.
[Source: Ford, Automotive News - sub. req'd | Photo by Bill Pugliano/Getty]Continue reading Ford and UAW reach tentative agreement on contract changes
Ford and UAW reach tentative agreement on contract changes originally appeared on Autoblog on Tue, 13 Oct 2009 16:31:00 EST. Please see our terms for use of feeds.
Permalink | Email this | Comments
More...