Posts tagged two tier
Biden’s Union Problems Are a Gift to Trump
September 8, 2023 // Former President Donald Trump, who won Michigan by just under 11,000 votes in one of the biggest political upsets of the 2016 election, weighed in on the possibility of a strike over the Labor Day weekend, referring to Fain as a "respected" union head and vowing to stop the "madness" of electric vehicles. A labor action from UAW is likely to open up an opportunity for Trump to seize one of Michigan's most critical counties. Recent polls show that Biden is in a statistical dead heat against Trump. The Democrat is leading by just one percentage point, according to RealClearPolitics' polling averages. "Fain is in no hurry to endorse President Biden when a significant number of UAW members supported former President Trump in previous elections," Arthur Wheaton, the director of Labor Studies at Cornell University, told Newsweek. "Why risk fractures in union solidarity during a crucial bargaining period. No upside to endorsing now and plenty of potential downside in an extremely difficult bargaining time at the Detroit Three." Political consultant Jay Towsend said that while a UAW strike would be unlikely to damage Biden's image as a union supporter, the economic impact and turmoil that a labor action could cause would give his re-election campaign "a headache it does not need, especially in rust-belt states he must win."
UAW’s Shawn Fain calls GM’s contract counteroffer ‘insulting’: What’s in it
September 8, 2023 // GM presented the counteroffer around 10 a.m. Thursday to UAW leaders. It comes just days after the UAW filed unfair labor practice charges against GM and Stellantis. The National Labor Relations Board is investigating those charges now and the outcome could impact a potential strike. "After refusing to bargain in good faith for the past six weeks, only after having federal labor board charges filed against them, GM has come to the table with an insulting proposal that doesn’t come close to an equitable agreement for America’s autoworkers," Fain said in a statement to the Free Press. In a letter to the employees midmorning, which GM provided to the Detroit Free Press, GM wrote, "Our offer includes well-deserved wage improvements that far exceed the 2019 agreement and reward you for your hard work. We still have work to do, but we wanted to make this offer to show our good faith efforts to keep the process moving." For all hourly employees, GM said it will recognize Juneteenth as a paid holiday, giving a new total of 16 to 18 paid holidays per year. Ford declined to recognize Juneteenth as a paid holiday, Fain has said. GM hourly employees would also receive a $5,500 bonus for ratifying the contract, which matches Ford's offer.
Locomotive Manufacturer, Union Agree to End Two-Month Strike
September 6, 2023 //
‘I’m ready to rumble.’ UAW workers march at Labor Day Parade with strike looming
September 5, 2023 // President Joe Biden also spoke about the strike, saying he isn't worried about a strike and said it won't happen. UAW President Shawn Fain was shocked by Biden's comments and said Biden must know something he doesn't. "We just voted to strike by 97% because our members are fed up," Fain said. "I'm ready to rumble for whatever cause, we deserve and are out here to fight for our cause," a worker told us.
Looming auto strike puts Biden’s labor loyalty to the test
September 1, 2023 // On Monday, the Treasury Department sent a love letter to unions in the form of a new report, arguing that unions are central to the U.S. middle class. “The Biden-Harris Administration recognizes the benefits of unions to the middle class and the broader economy and is committed to fulfilling the policy objectives of the [National Labor Relations Act],” the report said. While unions are seeing a surge in popularity in the U.S., organized labor has been in long-term decline, with union participation rates falling by half since they first started being measured in the early 1980s.
‘I have a pension; they don’t’: Why United Auto Workers are fighting to end a two-tier system for wages and benefits
August 30, 2023 // U.S. automakers over the years have justified tiering as a way to stay competitive because of globalization, Lichtenstein said. “Whether the automakers are doing well [financially] or not, they’ll say the competition, like Toyota, will eat our cake.” But “across the board, the rank-and-file hated [tiering],” said Marick Masters, a business professor at Wayne State University in Detroit. “It was a sore point from Day 1. They viewed it as discriminatory that people were doing same job and getting paid substantially less, and that [some workers were] treated as second-class citizens.”
Teamsters overwhelmingly ratify UPS contract
August 23, 2023 // According to the Teamsters, 86.3% of voters ratified the contract, the largest margin in the long history of collective bargaining agreements between the two sides. It is unclear how many of the 340,000 unionized UPS workers cast ballots. All 44 supplemental agreements were ratified, except for a supplement covering 174 members in Florida. The national, or “master,” agreement will go into effect once the supplement is renegotiated and ratified, the Teamsters said. Each supplement covers specific regions of the country and is tailored to the needs of Teamsters members in the respective regions.
The United Auto Workers Meet Electrification
August 22, 2023 // LeRoy and Whiton calculated in their report that battery factory subsidies will range from $2 million to $7 million per job over the ten-year duration of the 45X program. One of their case studies is the $3.5 billion BlueOval Battery Park in Marshall, Michigan. So far, the facility has been awarded $1.7 billion in state and local government subsidies, in addition to qualifying for an expected $6.7 billion in federal 45X credits. Yet wages at the battery plant will average around $45,000 a year. The gap between the sheer amount of money on the table for manufacturers and the quality of job it translates into is the IRA’s weakest link. “The states where these facilities are located should be publicly saying that in exchange for such subsidies the company should allow for voluntary [union] recognition votes,” LeRoy suggested.
What’s on the line as Wabtec strike in Erie nears the two-month mark?
August 18, 2023 // The company's Erie workforce of more than 2,000, including nearly 1,400 union workers, helps sustain five local jobs for every job at the former GE Transportation plant, Bernstein said. "A plant shutdown would lead to an immediate domino effect on local businesses that rely on the patronage of the 1,400 union workers and their families," Grunke wrote. "From small shops and restaurants to service providers and suppliers, the livelihoods of countless other families hang in the balance." Scott Slawson, president of UE Local 506, which represents most of the striking workers, doesn't minimize the importance of the plant to the local economy. He's spoken of it often, both before and during the current strike.

The UAW vs. The Big Three: Why the union’s wish list isn’t ‘going to happen’
August 15, 2023 // The UAW's wish list would amount to $25 billion-$30 billion per automaker over the life of the contract. "That adds $35 to $40 per hour to active labor cost — an increase of roughly 60%," the source said. The impact being that automakers would return to the "bankruptcy era" and more than double the labor costs for GM, Ford, and Stellantis versus non-union automakers like Tesla (TSLA).