Deadline passes without agreement, UAW to strike against the big three. Wishing good luck to the strikers!
i have mixed feelings, but there's no way for the public to know what a fair deal is, and fair is not a definitive term in ones mind
Not a Ford fan but, man, they really need to get a better CEO: On Thursday’s broadcast of CNN’s “The Lead,” Ford President and CEO Jim Farley stated that he’s not opposed to giving workers pay increases, “But if it prevents us from investing in this transition to EVs and in future products like the ones we have now like a new F-150,” they won’t do that because they’ll go bankrupt. I love to watch the automobile assembly line videos on YouTube and have to say the Japanese plants seem to be far more professional and focused than the American plants. (The Toyota Tundra plant in San Antonio is pretty impressive and is my favorite US plant.) I think Toyota putting a plant in Mexico was a mistake and one of the reasons I doubt I'll ever buy another Tacoma. The Feds are broker than broke so another billion dollar auto maker bailout is unlikely to happen again....could we be seeing the death of Ford???
Things got a lot better for Ford once Henry Ford realized that his employees were also his customers. Once he started paying them enough to be able to afford his products, sales took off. If somebody working the assembly line isn't being paid enough to reasonably afford a new F-150, then Ford has some real problems.
Absolutely fantastic news for all the non union Auto Manufacturers in the US! They will be turning out tremendous numbers of vehicles to take up the slack for Americans who need new vehicles. Labor is the highest cost for manufacturing vehicles - so the unions outrageous demands will cause the Big 3 labor cost to go through the roof making the price of their products skyrocket and no longer be price competitive. These Big 3 companies (except Ford) on strike had to be bailed out by the American Public not too long ago. Big 3 should shutter their UAW Plants and move production overseas. Then gradually move production back to the US into non Union Plants ending their labor troubles forever. It would make their products more price competitive, end their labor problems forever and allow them to have cooperative labor/management relationships working towards common company goals to satisfy their customer needs.
I have read a theory that this strike is exactly what the big three want. The idea is that it the crisis could be used to break their relationships with dealers and move to a direct-sale model such as is used by Tesla. I could see that being a win for automakers and auto buyers, but I'm not clear on how exactly a strike condition gives them the leverage to break with the dealers.
Yep, Ford trucks are way too expensive. In 2015, when I was looking to trade my 2005 Tacoma V-6 for a larger truck to pull our larger camper, I needed a V-8. So I searched Ford's truck builder and picked an F-250 with towing package and stuff...got to the end and it said the one I wanted was over $70,000....WHAT? And that was in 2015! So I ended up getting a one-year old Tundra (2014) with 6,000 miles for $38K....and she's been great.
i guess the big 3 would have to go to court and argue that cutting out the middleman is the only way to give the uaw what they want. idk if that will fly though.
I saw a Ram/Jeep/Dodge lot that looked quite full, something I haven't seen in a while. They only just barely had room for the "10% off" and "extra $3500 on your trade" signs. Meanwhile Stellantis has offered to close 18 American facilities as part of the package they're putting up. Hmm.
I was late adding the link to the news story with the details. It's not only a closure, there will be some large new facilities. Still doesn't sound that good.
I don't remember who, maybe Scotty Kilmer, saying GM in Mexico only pays the workers just over $2....for a day, and the workshifts are 12 hours. I don't know if that's true or not.
Mexica car assemblers can make $9 up to $33 an hour. Many North American Auto Manufactures are now moving manufacturing to Mexico. Labor costs are the highest expense in car manufacturing and by moving to Mexico you do not have to put up with the UAW - have an abundance of good workers who appreciate their jobs - and can freely export products to the US through trade agreements with no penalties. Telsa has plans to build a mega factory in Mexico Mexican Workers Win Double-Digit Pay Increase from GM - The Detroit Bureau "The combination of USMCA, which allows the duty-free export of finished automobiles to dealers in the United States, and the Biden administration’s Inflation Reduction Act, has intensified investment in Mexico as Tesla’s recent announcement it plans to build a new gigafactory near Monterey, Mexico underscored. “It will be Tesla’s largest plant,” he said. “The vehicles built there will be eligible for the full $7,500 tax credit,” he noted, even as they pay low wages. GM also is making plans to build electric vehicles in Mexico at the Silao plant and at another assembly complex in Ramos Arizpe, which is preparing to launch battery-electric utility vehicles this year." An Auto Manufacturer would have to have rocks in their head to not move production to non-union plants or across the border to Mexico in the current economic and political climate. Tesla plans gigafactory in first Mexico investment | Reuters Tesla, Suppliers to Invest $15 Billion in Mexico Factory - Local Governor (usnews.com)
Agreed. I can't imagine the current militant approach to negotiations having a positive impact for forward thinking long term Manufacturing in Union Plants. I hope I am wrong but the UAW has had declining membership for years - can't convince the Asian and European transplant factories to vote in unions and has unfortunately painted itself into quite the corner. It is not a good situation for our country. I don't know how many people are aware the City of Detroit in Michigan the heart of UAW Country declared bankruptcy years ago and had to go to bankruptcy court defaulting on Public Pensions Responsibilities/Obligations and other Economic Obligations. I hope sensible parties prevail. United Auto Workers Reports 10% Decline in Members (natlawreview.com New union head for auto workers promises militant contract bargaining and activism : NPR
The big three can afford to be generous now, but when things go south, there will have to be givebacks or bankruptcies
Speaking for our states workforce I don't know why Ford is putting up with this. Kentucky is also home to a huge Toyota non-union facility and countless non-union auto suppliers. The Kentucky Plant is one of their largest and most profitable Plants for Ford which is why the UAW chose it for a walkout. There would not be a lot of sympathy for the UAW in our state. The UAW has launched attempt after attempt to unionize the Toyota Plant and the non-union auto supply plants and has always failed miserably. Our state is a right to work state and future home to a huge Ford Battery Plant now being built. There are plenty of skilled potential employees who would love to have those jobs. If Ford would kick the UAW out of their Kentucky Plants, they will have absolutely no problems filling the new jobs and they can kiss their labor problems goodbye forever. The same for their massive new Battery Plant. Looking at it from a business and management view point I can't understand why the Big 3 allows themselves to be put in this position. Plenty of people in America and overseas would love to step into those jobs.