On Friday, the United Steelworkers reached a tentative agreement with Delphi. Details on the agreement were not released to the public as members vote on approval. USW represents 900 workers in Ohio.

By Jesse Russell

Cerberus Capital Management officially took over the controlling stake in Chrysler on Friday, what does it mean for workers? The automaker currently has roughly $18 billion in long term retiree health care costs, Cerberus has said it will take on most of that cost. According to the federal Pension Benefit Guaranty Corpration Daimler has agreed to pay $1 billion into Chrylser’s pension plan as long as it is terminated in the next five years and Chrysler will contribute an additional $200 million beyond requirements. Chrysler will become a private company with this announce

By Doug Cunningham

The United Auto Workers previously opposed private equity companies buying Chrysler but now says the sale to Cerberus is in the best interests of its members. Canadian Auto Workers President Buzz Hargrove doesn’t see it that way when it comes to private equity firms like Cerberus.

[Hargrove]: “They come in, buy as low as they can get and then throw a lot of people out of work, downsize as much as they can and then - in a very short turnaround period - they sell and make a bundle of money for a small number of executives at the expense of thousands of workers and their families and their communities."

By Doug Cunningham

The company that appears to be favored to buy Chrysler reportedly now wants its roughly 50,000 workers to be in the UAW and CAW unions. Magna International is North America’s second largest auto parts maker. The UAW and CAW didn’t immediately return calls from Workers Independent News looking for confirmation, but the New York Times is reporting that Magna has been meeting with UAW and CAW officials. The Times said Canadian Auto Workers President Buzz Hargrove confirmed that Magna came to him about negotiating an agreement that would give all Magna workers in the U.S. and Canada union representation.

By Doug Cunningham

[Jerry Tucker]: “There are plenty of ways that the UAW could - operating strategically and tactically smart - cause a lot of problems for the auto companies and frankly probably freeze the demand for reduction of further benefits and perhaps even the job loss.”

Jerry Tucker is a former member of the UAW International Executive Board and Co-founder of the Center For Labor Renewal. Tucker says with tens of thousands of jobs lost, the UAW is facing more concessionary pressure from U.S. auto makers after more than 20 years of UAW cooperation. It’s an assault on the bedrock middle class manufacturing wage and benefits standard and Tucker says the UAW needs a brand new approach to effectively struggle for workers.

By Doug Cunningham

Canadian Auto Workers president Buzz Hargrove says the CAW isn't interested in any "partnership" with billionaire Kirk Kekorian's private equity fund in its bid to buy Chrysler.

[Hargrove]: "Anytime these groups want to offer you a partnership, it's a very junior partnership. And it means you give, you give and you give they get. So we're not interested in a partnership in Canada with Mr. Kekorian."

Hargrove says when financiers like Kekorian make their moves on a company like Chrysler it's essentially a pillaging of the company to the detriment of the workers.

[Hargrove 2]: "They come in, buy as low as they can get and then throw a lot of people out of work, downsize as much as they can, make the organization lean and mean.

By Doug Cunningham

Dana Corporation must continue to negotiate with the UAW and the United Steelworkers as the company tries to wipe out health care for union retirees and slash wages and benefits for active workers. The bankruptcy court gave Dana and the unions until April 13th to file more papers in the case. Dana wants to use bankruptcy to destroy its union contracts. The UAW and the USW say they will strike and strike hard if Dana throws out the contracts.

By Doug Cunningham

Billionaire Kirk Kekorian is offering $4.5 billion cash to buy Chrysler. Daimler-Benz paid $36 billion for Chrysler in 1998. Kekorian’s group says it intends to build Chrysler by partnering with the UAW an Chrysler management.

By Doug Cunningham

At its bargaining convention in Detroit, UAW President Ron Gettlefinger said the union will do what it has to do to fight for its members at the bargaining table this year.

[Gettlefinger]: “We will do what we have to do. Make no mistake about it! Collective bargaining is not collective begging. And where we have demonstrated cooperation, it would be a grave mistake to equate our actions to capitulation."

Gettlefinger called for a national health care plan and he said bargaining at the domestic auto talks is a “two-way street”, not just an opportunity for companies to force concessions. Gettlefinger says despite serious challenges the union heads into talks this year determined to win the best possible contract for its members.

By Doug Cunningham

Another body blow to autoworkers is coming from Daimler-Chrysler, where 13,000 jobs will be cut and plants closed in a restructuring. United Autoworkers President Ron Gettelfinger says this is devastating news for thousands of workers and their families as well as their communities. The UAW says once again, ill-conceived trade policies have led to tremendous hardship for working families. The union says it will do all it can to hold Daimler-Chrysler to its commitment to develop new products to grow the business. Gettelfinger also says the UAW will negotiate an attrition program and use the job security program that's in place to lessen the impact of the job losses. These jobs cuts will also be an issue at the bargaining table this year as the UAW and the domestic automakers forge a new national contract.

By Doug Cunningham

At a plant in Belvidere, Illinois fifty current and former Chrysler workers have filed a class action lawsuit against Daimler-Chrysler, the International UAW and UAW Local 1268. The suit is over a two-tier wage and benefit system. The suit filed in federal court in Chicago claims they were deceived into taking temporary jobs at much lower pay than UAW workers were getting. Kim Francke is one of the people hired by Chrysler. She says they were forced to sign illegal contracts after they had already quit their previous jobs and had no idea they were not being hired as permanent full-fledged members of the UAW at Chrysler.

By Doug Cunningham

Despite the early retirement buyout deals accepted by thousands of workers at Delphi the struggle that unions are waging with the auto parts giant is far from over. Talks are still underway between Delphi, the UAW, UE-CWA and GM about the labor contracts that Delphi wants to throw out. The UAW says Delphi must honor the contracts and come to an agreement with its unions or there could be a strike. The next bankruptcy court hearing for Delphi is August 11th. At least 2,000 temporary workers have been hired by Delphi to replace those who were bought out. They’re needed until Delphi finishes its bankruptcy plan of wiping out some 25,000 U.S.

By Doug Cunningham

Congressman John Conyers (D-Michigan) chaired a congressional roundtable on the auto industry crisis Tuesday. Conyers invited UAW President Ron Gettlefinger to testify. Conyers wants immediate Congressional involvement to find ways to provide relief for workers devastated by auto plant closings. He has sponsored a bill that would protect the rights of workers in corporate bankruptcies.

By Jesse Russell

Just in time for the United Auto Workers convention in Las Vegas this week, the union reached an agreement with General Motors and Delphi that offers buyouts to all 24,000 of the auto parts supplier’s workers. The new agreement potentially averts a strike by the workers. Although GM does not know how much the buyout will cost the company, reaching the agreement will help discussions move onto wage and benefit cuts. After those cuts are made, Delphi can determine how much the buyouts will be. Workers with at least 30 years experience are eligible for the buyout plan.

By Doug Cunningham

The UAW’s Delphi bankruptcy case arguments against the elimination of union contracts Monday was postponed until Friday. Delphi requested the postponement citing progress in negotiations.
The UAW and other unions have said they will strike if the court lets Delphi destroy the contracts. Delphi wants to wipe out some 24,000 jobs, close all but 8 of its 29 U.S. plants and slash the wages and benefits of any workers that remain in the U.S. Delphi is sheltering it’s overseas operations – created through U.S. worker productivity – from the bankruptcy. A bill introduced in Congress by Senator Evan Bayh and Rep. John Conyers would require that corporations include foreign operations in future bankruptcy filings. It also closes some loopholes that let corporations lavishly reward management even as they destroy working family livelihoods in bankruptcies. The UAW and the other Delphi unions - IUE-CWA, USW, IAM, IBEW and IUOE – continue to negotiate with Delphi with the bankruptcy hearing set to resume Friday, June 9th.

By Jesse Russell

Delphi's costs are $4 billion too high. That's according to General Motors CEO Rick Wagoner during a question and answer period at a Sanford C. Bernstein and CO. conference in New York on Wednesday. Wagoner said Delphi's "cost structure is way out of line." GM is currently working on a deal with the auto parts company and workers represented by the United Auto Workers. Delphi is seeking to throw out existing labor contracts in bankruptcy court. Before that happens the three sides are trying to bang out a out-of-court settlement. Wagoner said the UAW seems to have an understanding of Delphi's situation.

By Doug Cunningham

Delphi workers at the Dayton, Ohio brake plant are resisting company efforts to stockpile parts in anticipation of a strike. They’re using “work to rule” shop floor tactics that slow production. UAW Local 696 member Dan Lamb was just suspended for a week. He says Delphi fired the local union shop chairman and had the union president arrested on the shop floor for refusing to leave the plant during a dispute over safety. Lamb says Delphi is targeting him and others who are resisting Delphi’s attack on working families.

[Dan Lamb 1]: “What they’ve systematically tried to do is disband our union. They’ve taken away our leadership by not allowing our president to come back in, firin’ our shop chairman, firin’ I think two or three of our bargaining committee, puttin’ another couple on notice. And then systematically goin’ through the floor and finding those people that are on the shop floor in leadership, targeting them. Right now we’re just fighting for our jobs. We’re fighting for our families. We know if we lose our jobs, take big cuts in our jobs, we’re going to lose everything that we have.”

By Doug Cunningham

The United Auto Workers union has called for a strike vote at Delphi. UAW Delphi locals will complete the vote by May 14th. On May 9 the bankruptcy judge in the Delphi case is scheduled to rule on a motion by Delphi that would give the giant auto parts company the power to throw out its own union contracts rather than having the court make that decision. The UAW and other Delphi unions have said all along that if their contracts are destroyed in the bankruptcy process a strike is likely. And that could be catastrophic for Delphi and for General Motors. The UAW says what Delphi wants here is illegal.

By Doug Cunningham

Delphi is using bankruptcy laws to systematically shift U.S. profits earned from American workers to build plants in China where workers get $3,200 a year. Delphi’s bankruptcy doesn’t include China, even though U.S. operations built those plants. Delphi had $1.1 billion in Asian sales in 2004 and has booked about $12 billion in future business there. Delphi investment overseas is growing while U.S. Investment shrinks. Delphi is consciously abandoning U.S. working families. After years of bleeding money from U.S. plants to China, Delphi is refusing to send money back from Chinese operations to help its U.S. plants.