Posts tagged TESLA
Commentary: UAW campaign to organize Southeast carmakers gets into gear
January 11, 2024 // The announcement in Tuscaloosa follows a similar one by workers at the Volkswagen plant in Chattanooga, Tenn., in December. Both the VW and Mercedes announcements are at the leading edge of an “unprecendented” new campaign by the UAW targeting 13 carmakers, from Hyundai and Rivian to Tesla and Honda, according to The Detroit Free Press. That drive pushes the union into territory long hostile to organized labor. Only about 5 percent of Southern workers are in a union, according to the U.S. Bureau of Labor and Statistics. Republican politicians have long used the region’s low union involvement as a selling point.
NLRB complaint alleges Lucid fired employees for union effort
January 10, 2024 // This is not the first time the union has attempted to organize outside of its traditional Big Three stronghold. It has been able to get enough support at Volkswagen’s plant in Chattanooga, Tennessee, to have union elections there twice, and twice at plants operated by Nissan in Canton, Mississippi, and Smyrna, Tennessee. But most of the efforts to organize companies like Tesla failed before even reaching the point of an NLRB-supervised representation election.
Ford Sells Barely Any EVs
January 9, 2024 // Ford recently made the point that its new United Auto Workers (UAW) union contract would be costly and affect its product development plans. Between signing the deal and 2028, Ford said the contract would cost it $8.8 billion, about $900 a vehicle in 2028. Tesla, which does not have a unionized workforce, also has an advantage in labor costs.
UAW President Shawn Fain plans to keep automakers sweating
January 1, 2024 // "I don't like what I've seen in my work career with the UAW leadership, where they were too damn close to the companies," UAW President Shawn Fain told CNN earlier this month. But when asked if things work better for his members when there's a less contentious or more contentious relationship between the UAW and the Big Three, Fain responded, "We just negotiated the most successful contracts in our history," he said. "For the last 30 years that I've been a member, we went backwards. So I like to let the body of work speak for itself," Fain said. The success of those contracts is the reason that Shawn Fain is CNN Business' labor leader of the year.
German Union Backs UAW Organizing Effort at VW Chattanooga
December 23, 2023 // IG Metall, which participated in the UAW’s failed organizing drives at Chattanooga in 2014 and 2019, also has a stake in the UAW’s new fight in Tennessee. IG Metall, Germany’s largest labor union, represents 125,000 VW workers.
Tesla to Raise Wages at Nevada Gigafactory Amid Pressure to Unionize
December 21, 2023 // During the UAW's strike against the Big Three, analysts noted that Tesla could stand to gain as lost revenue from the strike and higher labor costs under new contracts could make it more difficult for traditional automakers to make the EV transition. Tesla is not the only automaker to raise wages following the UAW strike resolution, as Hyundai and others have taken steps to raise worker pay as well. 2 The electric vehicle maker also faces growing pressure from organized labor activity in Sweden, Denmark, Finland, and Norway over its refusal to enter into collective agreements with labor unions.
Court case gives edge to employers over displays of union insignia
December 6, 2023 // Tesla appealed the decision to the 5th Circuit, which considered what the employer’s rule is for the restriction and whether it is lawful. The court found that unions can take issue with employer restrictions to some extent but that employers do not have carte blanche in establishing policies. “But [unions] can’t come out of the gate and say that any kind of restriction is unlawful,” the lawyer explained. “So I would say, the bottom line on the 5th Circuit’s opinion is that as long as you’re [the employer] not outright banning all union insignia of any kind, you’re probably going to be OK as long as you can articulate a reason why you’re restricting [buttons],” Cannon said. “So it’s going to really be more of a balancing test versus what the Labor Board has said, that we think all restrictions are illegal.”
Tesla: UAW seeks to unionize car maker, battle expected with CEO Elon Musk
December 6, 2023 //
Commentary: Unions are coming not just for the few, but for everyone
December 6, 2023 // This week brought wonderful news on that front. The United Auto Workers (UAW), fresh off a historic, victorious strike against the Big Three automakers, announced plans to unionize not just one, not two, but more than a dozen of the remaining non-union auto companies in the US. Tesla, Toyota, Honda, Volkswagen – essentially all of them. After the attractive contracts won in the strikes brought a flood of interest from workers across the country, the union has decided to seize the moment. The UAW is aiming to be exactly where a strong union needs to be: everywhere. Is this plan bold? Yes. Will it be difficult? Yes. Are they in for years-long fights against enormous multinational corporations backed by hostile state governments? Yes. But the great insight that the UAW is showing here is this: the fact that facing down an existential threat will be hard doesn’t matter. If the auto workers’ union is not capable of organizing foreign companies’ auto plants in hostile southern states, its power will die; and if it is not capable of organizing workers at rich and growing and staunchly anti-union companies like Tesla, its power will die. So the choices are to do those things, or die. Despite the difficulty of the task, the choice, when presented like that, is very easy.
Commentary: The UAW’s Strike Win on Plant Closures Is Too Rigid
December 2, 2023 // The transition to battery-electric vehicles is difficult enough without the addition of the UAW’s capacity alignment restrictions. Pricing and profit uncertainty within the sector is daunting, dealers seem reluctant to go all-in on the vision and the required infrastructure to ease consumer’s range anxiety will take multiple years to develop. Additionally, proposed CO2 and emission standards could add additional costs if manufacturers do not sell enough zero-emission vehicles. Manufacturers will need flexibility when transitioning from ICE-dedicated plants to dedicated BEV capacity. Rationalization is mandatory given the potential price pressure that will come from excess capacity in North America. The production volume for total light vehicles is a fixed amount. Supply does not create demand. Thus, the more manufacturers implement product and marketing strategies to fill BEV capacity, the more they will be forced to reduce ICE capacity.