The head of the United Automobile Workers union, who came under criticism recently by some members for not taking a firm enough posture against wage and benefit cuts, made clear that workers are done making sacrifices. The union leader, Ron Gettelfinger, opening the UAW’s two-day bargaining convention on Tuesday said that he would take a hard line against more concessions, even if it meant calling a strike.
The UAW union, kicking off a two-day bargaining convention has revealed that it plans to defend workers in employer restructurings and that it will also refuse to accept moves by corporations to transfer risks associated with employment benefits to workers. Their lengthy proposed resolution clearly states, ‘UAW members will resist efforts by employers to escape their health care and pension obligations by transferring risk to individual workers.’
In his speech, Gettelfinger agreed that the UAW has faced continued challenges since its last bargaining convention in 2002. He pointed out that DaimlerChrysler AG’s announcement in February that it would consider selling its U.S.-based Chrysler unit. Several workers have said that they do not believe that the Detroit automakers are in financial trouble. However, the union head has vowed that the union is on guard to protect the best interests of its members.
Detroit’s based three automakers, General Motors Corp., Ford Motor Co. and Chrysler Group have cut more than 80,000 union jobs after losing a combined $16 billion in 2006. Daimler has recently begun taking bids for Chrysler, raising the risk that the fourth largest U.S. automaker will move into the hands of private ownership which will take a tough line with the UAW.
In the last round of contract talks in 2003, the UAW had agreed to job cuts, plant closures and modest wage increases in order to protect comparatively generous health-care and pension packages.
