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Found 8 results

  1. It has been a tense couple of months at GM Korea. Back in February, the company announced a restructuring plan for the division which included the closure of the Gunsan plant (one of the four plants operating in South Korea), and voluntary redundancies for 2,600 workers to stem the hemorrhaging of cash. Recently, GM has been pushing its workers’ union for concessions that would total $80 million. This is part of an effort to get a $500 million injection from the South Korean government to pay suppliers and workers. The workers union weren't buying, threatening to strike and trashing company executive offices earlier this month. Then GM threw down the gauntlet, either agree to the concessions by April 20th or we begin bankruptcy proceedings. “Without concessions from the labor union and clear resolution from stakeholders, the company has no choice but to go ahead with rehabilitation proceedings,” said GM Korea executive Kaher Kazem in an email to employees. Unfortunately, the date passed with no agreement and it seemed bankruptcy was on the horizon. But both GM and union rep would continue to talk over the weekend to see if a deal could be reached. At the 11th hour, an agreement was reached. “Through the latest agreement, GM Korea will be a competitive manufacturing company,” said Kazem in a statement today. According to Reuters who got to see the deal, the union agreed to freeze base wages, skip bonuses for this year, and cut back on benefits. “The labor union made huge concessions to save the company,” said Hong Young-pyo, a lawmaker of the ruling Democratic Party who worked on the mediation between the two groups. A union spokesman declined to comment when contacted by Reuters, only saying that workers will vote on the agreement later this week. The deal now allows the Korean government to fund Korea Development Bank (KDB) - the second largest shareholder in GM Korea - to provide support. It also allows GM to allocate two new models for the region. But some analysts are still uncertain as to the future of GM Korea. Labor costs, poor sales, and expensive export costs have some wondering if GM is in it for the long run or are planning an exit strategy. “GM has extended the lifeline of GM Korea, but not sure how long it will last,” said Lee Hang-koo, a senior research fellow at Korea Institute for Industrial Economics & Trade. Source: Reuters
  2. The strike at General Motors' CAMI Assembly plant, home of the Chevrolet Equinox has come to an end. Today, 86 percent of Unifor Local 88 members voted yes on a new 4-year contract. With the approval, workers will resume work at the plant beginning at 7 PM tonight for early start-up, with production beginning at 11 PM. Here is what new 4-year contract include Stronger language around job security. Union said the new contract would make it more costly for GM to close down CAMI - $290 million vs. $190 million. If CAMI is shuttered, employees near retirement will still be able to get into a retirement program. Workers will get a 4 percent wage hike and $8,000 in lump-sum payments over the contract New hires on the production line will see an accelerated pace in terms of their wages increased to the max of $34.15 per hour A $6,000 performance bonus once the deal is ratified "The ratification of a new 4-year agreement between GM Canada and Unifor Local 88 at CAMI Assembly is welcome news for our company, employees and the community. We have an outstanding new product at CAMI with the Chevrolet Equinox and I am confident that we will quickly pull together to continue to demonstrate to the world the outstanding productivity, innovation and quality that is synonymous with the CAMI workforce," said Steve Carlisle, President of GM Canada in a statement. There is one thing missing from this contract, a written assurance that CAMI would be the lead producer of the Equinox. This was the major point of contention between the two during negoations. It is clear that Unifor officials are not happy with this contract. “The end result was not the result we were hoping for, it shows the true colors of GM,” Unifor Local 88 Chair Mike Van Boekel said in a statement to members. Given these actions, our demand to protect the Equinox was not only fair and reasonable, it simply made sense. Our members had every reason to make this [lead producer] demand, and did everything to demonstrate it was a demand that deserved to be met. However, at the highest levels of General Motors corporate in Detroit, they coldly refused. As a result and after much internal discussion, we decided that we could not, in good conscience, ask for more economic sacrifice from you in this fight,” said Unifor National President Jerry Dias. We have to wonder if GM's threat of ramping up Equinox production in Mexico issued last week was the turning point. Source: Automotive News (Subscription Required), CBC News, GM Press Release is on Page 2 2017 CAMI / UNIFOR NEGOTIATIONS The ratification of a new 4-year agreement between GM Canada and Unifor Local 88 at CAMI Assembly is welcome news for our company, employees and the community. We have an outstanding new product at CAMI with the Chevrolet Equinox and I am confident that we will quickly pull together to continue to demonstrate to the world the outstanding productivity, innovation and quality that is synonymous with the CAMI workforce. I want to extend thanks to the local and national Unifor teams who have worked long hours together with the GM negotiating team these past many weeks. The negotiations process requires a great deal of straight talk, creative problem solving, and compromise to achieve a positive outcome for both the membership and the Company. Success is also achieved by remembering that we are here to serve our customers proudly and deliver the very best product and services to them. Having grown up in Southwestern Ontario, the CAMI plant and the Oxford County community mean a great deal to me. The challenges of the past months have been hard on all of us but now it’s time to show the character of our region and our plant. With the recent $800 million investment at the CAMI plant and this agreement, it is up to each of us to demonstrate the unparalleled value we deliver as leaders within Canada’s auto sector. The employees at CAMI have created a culture of team involvement and continuous improvement resulting in numerous industry awards for vehicle quality and productivity. I am confident that by working as one team, that will continue for years to come. Steve Carlisle President and Managing Director General Motors Canada
  3. Details emerged Wednesday of the labor agreement between the United Auto Workers and Fiat Chrysler Automobiles. The overall contract is similar to the one agreed to by Ford last month. The four year contract includes: Signing bonus of $9,000 for full-time employees, $3,500 for temporary workers. Full-time workers can now reach the top pay bracket in four years rather than the current eight. FCA will create 7,900 jobs through 2023 which includes the 6,500 jobs already announced for a new plant in Detroit. $9 Billion in U.S. manufacturing investments. Dissolution of the jointly-run National Training Center, the focal point of a federal corruption investigation. An increase in profit sharing from $800 per percent of N.A. profit margin to $900 per percent. "In-progression" employees will now get the same healthcare as senior hourly employees. FCA will also offer $60,000 retirement packages to eligable workers in Belvidere Assembly, Marysville Axle, Mount Elliot, and a parts-distribution center in Wisconsin. UAW leaders from the various plants are meeting in Detroit to review the deal and decide whether to send it to the rank-and-file membership as a whole for ratification. If approved for voting, it will likely start on Friday and take a week to complete. FCA is the final of the domestic auto manufacturers to complete their deal with the UAW.
  4. After a lengthy strike at General Motors that cost the company $2.9 billion, the UAW has agreed to a contract with Ford that looks remarkably similar to the one they got with General Motors. Ford workers ratified the deal on Friday with 56.3 percent voting yes to the new four year agreement. The agreement says that Ford will invest more than $6 billion in its U.S. plants and add or retain 8,500 UAW jobs. The UAW used the GM contract as a template for negotiations with Ford. Like the GM contract, there are no changes in healthcare coverage, there is a pathway to full-time employment for temporary workers, pay raises, and lump-sum payments spread over 4 years. The UAW now will turn its attention on FCA where negotiations are due to begin on Monday.
  5. The strike at General Motors' CAMI Assembly plant, home of the Chevrolet Equinox has come to an end. Today, 86 percent of Unifor Local 88 members voted yes on a new 4-year contract. With the approval, workers will resume work at the plant beginning at 7 PM tonight for early start-up, with production beginning at 11 PM. Here is what new 4-year contract include Stronger language around job security. Union said the new contract would make it more costly for GM to close down CAMI - $290 million vs. $190 million. If CAMI is shuttered, employees near retirement will still be able to get into a retirement program. Workers will get a 4 percent wage hike and $8,000 in lump-sum payments over the contract New hires on the production line will see an accelerated pace in terms of their wages increased to the max of $34.15 per hour A $6,000 performance bonus once the deal is ratified "The ratification of a new 4-year agreement between GM Canada and Unifor Local 88 at CAMI Assembly is welcome news for our company, employees and the community. We have an outstanding new product at CAMI with the Chevrolet Equinox and I am confident that we will quickly pull together to continue to demonstrate to the world the outstanding productivity, innovation and quality that is synonymous with the CAMI workforce," said Steve Carlisle, President of GM Canada in a statement. There is one thing missing from this contract, a written assurance that CAMI would be the lead producer of the Equinox. This was the major point of contention between the two during negoations. It is clear that Unifor officials are not happy with this contract. “The end result was not the result we were hoping for, it shows the true colors of GM,” Unifor Local 88 Chair Mike Van Boekel said in a statement to members. Given these actions, our demand to protect the Equinox was not only fair and reasonable, it simply made sense. Our members had every reason to make this [lead producer] demand, and did everything to demonstrate it was a demand that deserved to be met. However, at the highest levels of General Motors corporate in Detroit, they coldly refused. As a result and after much internal discussion, we decided that we could not, in good conscience, ask for more economic sacrifice from you in this fight,” said Unifor National President Jerry Dias. We have to wonder if GM's threat of ramping up Equinox production in Mexico issued last week was the turning point. Source: Automotive News (Subscription Required), CBC News, GM Press Release is on Page 2 2017 CAMI / UNIFOR NEGOTIATIONS The ratification of a new 4-year agreement between GM Canada and Unifor Local 88 at CAMI Assembly is welcome news for our company, employees and the community. We have an outstanding new product at CAMI with the Chevrolet Equinox and I am confident that we will quickly pull together to continue to demonstrate to the world the outstanding productivity, innovation and quality that is synonymous with the CAMI workforce. I want to extend thanks to the local and national Unifor teams who have worked long hours together with the GM negotiating team these past many weeks. The negotiations process requires a great deal of straight talk, creative problem solving, and compromise to achieve a positive outcome for both the membership and the Company. Success is also achieved by remembering that we are here to serve our customers proudly and deliver the very best product and services to them. Having grown up in Southwestern Ontario, the CAMI plant and the Oxford County community mean a great deal to me. The challenges of the past months have been hard on all of us but now it’s time to show the character of our region and our plant. With the recent $800 million investment at the CAMI plant and this agreement, it is up to each of us to demonstrate the unparalleled value we deliver as leaders within Canada’s auto sector. The employees at CAMI have created a culture of team involvement and continuous improvement resulting in numerous industry awards for vehicle quality and productivity. I am confident that by working as one team, that will continue for years to come. Steve Carlisle President and Managing Director General Motors Canada View full article
  6. It has been a tense couple of months at GM Korea. Back in February, the company announced a restructuring plan for the division which included the closure of the Gunsan plant (one of the four plants operating in South Korea), and voluntary redundancies for 2,600 workers to stem the hemorrhaging of cash. Recently, GM has been pushing its workers’ union for concessions that would total $80 million. This is part of an effort to get a $500 million injection from the South Korean government to pay suppliers and workers. The workers union weren't buying, threatening to strike and trashing company executive offices earlier this month. Then GM threw down the gauntlet, either agree to the concessions by April 20th or we begin bankruptcy proceedings. “Without concessions from the labor union and clear resolution from stakeholders, the company has no choice but to go ahead with rehabilitation proceedings,” said GM Korea executive Kaher Kazem in an email to employees. Unfortunately, the date passed with no agreement and it seemed bankruptcy was on the horizon. But both GM and union rep would continue to talk over the weekend to see if a deal could be reached. At the 11th hour, an agreement was reached. “Through the latest agreement, GM Korea will be a competitive manufacturing company,” said Kazem in a statement today. According to Reuters who got to see the deal, the union agreed to freeze base wages, skip bonuses for this year, and cut back on benefits. “The labor union made huge concessions to save the company,” said Hong Young-pyo, a lawmaker of the ruling Democratic Party who worked on the mediation between the two groups. A union spokesman declined to comment when contacted by Reuters, only saying that workers will vote on the agreement later this week. The deal now allows the Korean government to fund Korea Development Bank (KDB) - the second largest shareholder in GM Korea - to provide support. It also allows GM to allocate two new models for the region. But some analysts are still uncertain as to the future of GM Korea. Labor costs, poor sales, and expensive export costs have some wondering if GM is in it for the long run or are planning an exit strategy. “GM has extended the lifeline of GM Korea, but not sure how long it will last,” said Lee Hang-koo, a senior research fellow at Korea Institute for Industrial Economics & Trade. Source: Reuters View full article
  7. Details emerged Wednesday of the labor agreement between the United Auto Workers and Fiat Chrysler Automobiles. The overall contract is similar to the one agreed to by Ford last month. The four year contract includes: Signing bonus of $9,000 for full-time employees, $3,500 for temporary workers. Full-time workers can now reach the top pay bracket in four years rather than the current eight. FCA will create 7,900 jobs through 2023 which includes the 6,500 jobs already announced for a new plant in Detroit. $9 Billion in U.S. manufacturing investments. Dissolution of the jointly-run National Training Center, the focal point of a federal corruption investigation. An increase in profit sharing from $800 per percent of N.A. profit margin to $900 per percent. "In-progression" employees will now get the same healthcare as senior hourly employees. FCA will also offer $60,000 retirement packages to eligable workers in Belvidere Assembly, Marysville Axle, Mount Elliot, and a parts-distribution center in Wisconsin. UAW leaders from the various plants are meeting in Detroit to review the deal and decide whether to send it to the rank-and-file membership as a whole for ratification. If approved for voting, it will likely start on Friday and take a week to complete. FCA is the final of the domestic auto manufacturers to complete their deal with the UAW. View full article
  8. After a lengthy strike at General Motors that cost the company $2.9 billion, the UAW has agreed to a contract with Ford that looks remarkably similar to the one they got with General Motors. Ford workers ratified the deal on Friday with 56.3 percent voting yes to the new four year agreement. The agreement says that Ford will invest more than $6 billion in its U.S. plants and add or retain 8,500 UAW jobs. The UAW used the GM contract as a template for negotiations with Ford. Like the GM contract, there are no changes in healthcare coverage, there is a pathway to full-time employment for temporary workers, pay raises, and lump-sum payments spread over 4 years. The UAW now will turn its attention on FCA where negotiations are due to begin on Monday. View full article

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