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Do IT this week: Layering
Constant cutting reduces staffing, but most agree more help needed
By Jim Mackinnon
Beacon Journal business writer
Published on Friday, Dec 12, 2008
Doug Rice remembers that when he started work at Chrysler's Twinsburg stamping plant 22 years ago, the factory had about 3,200 workers.
Come January, the plant will have about 850 people inside, following a round of 190 buyouts, early retirements and retirements this month fueled by the turmoil and recession rocking the automobile industry.
Rice, now the president of United Auto Workers Local 122, is among the hundreds of union workers and others in Twinsburg who are hoping that the federal government approves a financial aid package that will keep their factory stamping out sheet metal parts that go onto Dodge, Chrysler and Jeep minivans and trucks.
''If we don't get the loans, naturally we'll be closed up and shut down,'' Rice said. He spoke Thursday from his office at Local 122's hall off Chamberlin Road, just down and across the street from the factory.
If Chrysler, Ford and General Motors do get federal loans and guarantees, that will help keep the companies alive, he said.
''I think it's best for this country that they go ahead and approve the loans,'' Rice said.
It's right to ask hard questions of the automakers, he said. The companies, for one thing, made a lot of profit building what the U.S. market demanded at one time, large SUVs and trucks, he said.
But those profits weren't used in a way to help get the companies through bad times, he said.
All automakers, including Toyota, Honda and Nissan, are hurting now, Rice said.
''It's an economy problem,'' he said.
Following the 9/11 attacks in 2001, the federal government helped the airline industry that was hit by a dramatic reduction in the number of people flying, Rice said.
The Detroit 3 automakers are asking for the same kind of help, he said.
The Local 122 members are watching with intense interest the debate going on this week in Washington, Rice said.
''They're nervous, scared, feel a lot of things being said about them are unfair, untrue,'' Rice said.
He disputes one thing that is appearing in the media, that UAW members make $70 or more an hour.
''I make a whole lot less,'' he said.
The average UAW member in Twinsburg makes $28 an hour, including benefits, Rice said. Someone in a so-called skilled trade makes $32 an hour, including benefits, he said.
Critics of the union and the auto industry add other charges on top of what workers take home to get to the $70-plus hourly figure, he said.
The corporation and the UAW are doing a poor job of defending themselves and the domestic industry, he said.
He said he is worried that Washington will approve an aid package that will force job cuts, he said.
''I don't feel that American citizens should loan money to corporations that will put more people in the unemployment lines,'' Rice said.
The Twinsburg facility, while it has modern stamping technology, is vulnerable to closing because the auto industry now wants to locate stamping plants next to final assembly plants. The nearest Chrysler assembly plant is many, many miles away.
''We're away from everything,'' Rice said.
To stay competitive, the Twinsburg plant management and the UAW are working to reduce costs and make improvements, Rice said.
''We try to be more flexible so we can do more with less. We're achieving that goal right now,'' he said.
The new technology and other improvements have resulted in fewer jobs at the plant, he said.
''We're under constant change,'' Rice said. ''But it's got me concerned, because if the environment doesn't get better, then we're going to be out of jobs.''
The discussions he has with plant management involve such things as how the Twinsburg facility can outperform the competition, including Chrysler's other stamping plants, Rice said.
Everybody is the competition, he said. ''Trying to figure out how to stay in business is our biggest challenge. We've been doing a whole lot of that,'' he said.
Rice said he thinks the stamping plant's expenses already have been trimmed severely to remain viable, but people there are looking at making deeper cuts.
''I mean, the bottom line is, this is survival,'' Rice said. ''And so, whatever we got to do to survive, we got to do.''
Jim Mackinnon can be reached at 330-996-3544 or jmackinnon@thebeaconjournal.com.
Doug Rice remembers that when he started work at Chrysler's Twinsburg stamping plant 22 years ago, the factory had about 3,200 workers.
Get the full article here.
Comments
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Akron's downward sprial ~ Rips my Heart out , oh
Posted 07:22 AM, 12/12/2008
''I mean, the bottom line is, this is survival,'' Rice said. ''And so, whatever we got to do to survive, we got to do.''
So welcome yourself s into the Real World and actually do a honest days work at lower wages and Higher insurance premiums. And also accept the fact that You also could be a part of the mass lay offs, and LOOK AROUND YOU, Your not the only company's hurting in the world.
Tallmadge, OH
Posted 07:41 AM, 12/12/2008
The UAW Union's refusal to give any wage and benefit concessions to get the level to match Toyota means all Twinsburg workers will be losing their jobs as bankruptcy comes to Chrysler. It's so sad that Chrysler will be going into bankruptcy because the UAW failed to do what the Republican senators requested - wage and benefit concessions to match Toyota. Chrysler workers can blame the UAW Union for Chrysler's failure. Remember half a loaf of bread is better then no bread at all.
Posted 08:52 AM, 12/12/2008
It serves the UAW right. They do not want to give back any concessions and they will be out of a job because of that. If I had a choice to give back $5/hour, or whatever that number is, to keep my job....DONE, where do I sign?
I hate to see anyone lose their job, but maybe this will open peoples eyes that unions are not all they are cracked up to be. They are so greedy and when the company closes their door, they are SOL!!
akron, oh
Posted 09:07 AM, 12/12/2008
We have been saying that along. Union don't care about noone but themselfs. They all deserve what they get. How can you pay someone to have a job? If you work dose not speak for you then you are not worthy of having that job.
akron, OH
Posted 09:11 AM, 12/12/2008
its a shame the ceo's make multi thousands and hourly make 19.50 per hr, if auto goe's under where will the free loaders get(supervisers) there $$$$
Posted 10:18 AM, 12/12/2008
I worked there for 14 years before heading south. The price for all the years of the union protecting the lazy, the incompetent, the malingerers, and the complainers is finally being paid.
Stow, OH
Posted 10:44 AM, 12/12/2008
Agree with Chad...unions had their purpose back in the day, but their time has come and gone. We now have minimum wage and employment laws, things that unions needed to get for their employees in the early days. I moved here from the South last year, where there are few teachers unions. Here, in order to teach in the public schools, I was forced to join the teachers union, pay $1,100 annually in dues, and as far as I can see, get absolutely nothing in return for it except resentment from the taxpayers and school board. I hope that this current economic situation is the beginning of the end of labor unions. Your employer does not owe you everything.
This Place, 32
Posted 12:36 PM, 12/12/2008
GREEDY UNIONS KILL AMERICA
This Place, 32
Posted 02:09 PM, 12/12/2008
Fewer than half of the parts on some Big Three vehicles are made in the U.S.
Looking at a Ford Fusion? It is assembled in Mexico. The Chrysler 300C is assembled in Canada, but its transmission is from Indiana; the brand's V-8 engine is made in Mexico. Engines in the Chevrolet Equinox sport utility vehicle are from China.
On the other hand, Toyota's Camry is comprised 80 percent of parts made in the United States, and 56 percent of Toyota's vehicles sold in the U.S.
Posted 03:35 PM, 12/12/2008
OK, US new auto sales were down 38% in November 08 as compared to November 07. Credit is all but unavailable, and we want to "bail out" the auto industry so they can keep making cars . . . WHY??? Understanding completely that more unemplyed people is not a good thing, and empathizing with folks, but does it even make sense to provide taxpayer money to an industry that cannot stand on its own right now?
walton hills, OH
Posted 05:25 PM, 12/12/2008
blame the UAW for all that's wrong with the auto companys. did they make corp decisions? did americians shy away from small cars, and want bigger and better suv's and truck's? supply and demand. the publick did not want small carsuntil gas hit $4.00 per gallon. do you really think that the company you work for would have paid decent wages if the union did not set wages for a decent life style? most co.'s paid a decent wage to keep the unions out. if you are making $18.00 to $20.00 hr, you are living good. do yopu drive an americian car or truck? uaw members produce what management designed and wanted to produce. maybe we should close the auto industry down. 3 million families without an income, makes sense. lets be attacked by another nation, maybe we can ask japan or korea to produce the weapons we need to defend ourselfs. do you know what it is to get your hands dirty, work in a shop 10/12 hrs. aday in the summer with the temps 110 degrees inside the building? or 40 degrees in the winter.don't knock something you know nothing about.we are americians, we should stand tall and together. MERRY CHRISTMAS
Akron, OH
Posted 06:26 PM, 12/12/2008
I thank my LORD that I still have a good job with a great NON-UNION company. We were told last week that we would not be receiving a raise this year. To our company's owner's surprise, we thanked him. After child support and living expenses, I have around $75.00 a week left for food and clothes. You will never hear me gripe because they want me to make less than $25.00 an hour. Hey big 3, pay your over-paid under-worked robot operators what I make a hour..$11.00 an hour!! Bring them back into the real world. I know there are a lot of unemployed people out there that would love to have my job. Take your $20.00 an hour tow-motor drivers and bring them back to earth now. It's no wonder that American cars cost so much. My opinion would be, 30 percent cost of material and 70 percent cost of labor. Take a pay cut or loose your jobs.
Posted 06:46 AM, 12/13/2008
Don't be so quick to make sure we beat down someones wage. The average auto worker makes $29.00/hr. Ok maybe they need to back off that number but we didn't hear anything about how much the average worker for AIG or Goldman makes when we dumped 700B down the toilet for them. Just keep beating down wages and next time it will be your's!
Akron, Oh
Posted 02:47 AM, 12/14/2008
Little johnny, Everyone on here has said that they would take a paycut if it meant losing their jobs. I bet that if you polled everyone here, most would tell you that they were against the 750 BILLION dollar bailout that Obama and most politicians voted for. You are going to gripe about that, but I bet you voted for president. Guess what? Both McCain and Obama voted for the bailout.
Posted 12:51 PM, 12/15/2008
The arrogant stupidity of many remarks about this article are astounding and illustrate that many Americans let Sean Hannity and Limbaugh do thier thinking for them. My father(R.I.P.) busted his chops at the Twinsburgh plant from its opening till he retired in 1972. He worked for Chryslers starting in 1935 and was a charter member of Local 212 UAW in the same year and took a 4 year break in the Navy in WWII. If it weren't for unions---whatever their failings like any other human institution---the workers at Toyota and Honda would be earning Wal-Mart wages and using food stamps---which is probably what we're all headed to anyway. Apparently in the la-la land that passes for the American mind it's OK for millionaires and Wall St giants to be organized to achieve their own ends but not lowly workers. There would not have been a middle-class in this country were it not for the sometimes cantankerous marriage between heavy industry and a union movement. Why don't some of you try reading a book or two instead of listening to talk radio or watching Fox News?! God have mercy on us!
Posted 10:56 AM, 12/16/2008
wall street giants are not organized. they will slit each others throats for a dollar.
So your being stupid. Face it cruddy management along with unions put the big 3 out of business.
Diamond, Oh
Posted 12:48 AM, 10/13/2009
All these people bad mouthing unions need to be adult enough to look at the entire picture. The workers didn't put these companys in the mess they are in. Greedy top execs did. Also, Toyato's do not cost any less than the top 3, their execs make more money. Also, if they are such great Americans, check and see that the profits made by these companies go to the country that owns them. It is offensive to me that people can judge without taking time to know all the facts.
