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By Kimberly S. Johnson
Associated Press
POSTED: 01:22 p.m. EST, Dec 03, 2008
DETROIT: United Auto Workers President Ron Gettelfinger said today that the union is willing to change its contract and will delay billions of dollars in payments to a union-run health care trust in an effort to help the struggling Detroit Three automakers.
Gettelfinger also said the union will modify the jobs bank, in which laid-off workers are paid up to 95 percent of their salaries while not working, but he did not give specifics.
''We're going to sit down and work out the mechanics,'' Gettelfinger said at a news conference after meeting with local union officials. ''We're a little unclear on some of the issues.''
One local union member who was in the meeting said the changes to the jobs banks would all but eliminate them. The member asked not to be identified because the details had not been made public.
Gettelfinger stopped short of saying the union would reopen contract talks with General Motors Corp., Chrysler LLC and Ford Motor Co. but said it would be willing to return to the bargaining table to make changes.
The UAW's efforts to help the Detroit Three get up to $34 billion in government loans come after GM and Chrysler said they are perilously low on cash and need government help before the end of the year. Ford says it has enough borrowed cash to make it through 2009 and may not need government help.
Members of Congress last month criticized the automakers for paying workers who are not on the job.
The CEOs of all three automakers are heading to Washington for Congressional hearings Thursday and Friday on their request for a total of $34 billion in government loans to help them weather a recession and the worst auto sales climate in 26 years.
Congressional leaders demanded business plans from all three that include a reduction in labor costs so Detroit is more competitive with foreign automakers with U.S. factories. The companies submitted their plans to Congress on Tuesday.
DETROIT: United Auto Workers President Ron Gettelfinger said today that the union is willing to change its contract and will delay billions of dollars in payments to a union-run health care trust in an effort to help the struggling Detroit Three automakers.
Gettelfinger also said the union will modify the jobs bank, in which laid-off workers are paid up to 95 percent of their salaries while not working, but he did not give specifics.
''We're going to sit down and work out the mechanics,'' Gettelfinger said at a news conference after meeting with local union officials. ''We're a little unclear on some of the issues.''
One local union member who was in the meeting said the changes to the jobs banks would all but eliminate them. The member asked not to be identified because the details had not been made public.
Gettelfinger stopped short of saying the union would reopen contract talks with General Motors Corp., Chrysler LLC and Ford Motor Co. but said it would be willing to return to the bargaining table to make changes.
The UAW's efforts to help the Detroit Three get up to $34 billion in government loans come after GM and Chrysler said they are perilously low on cash and need government help before the end of the year. Ford says it has enough borrowed cash to make it through 2009 and may not need government help.
Members of Congress last month criticized the automakers for paying workers who are not on the job.
The CEOs of all three automakers are heading to Washington for Congressional hearings Thursday and Friday on their request for a total of $34 billion in government loans to help them weather a recession and the worst auto sales climate in 26 years.
Congressional leaders demanded business plans from all three that include a reduction in labor costs so Detroit is more competitive with foreign automakers with U.S. factories. The companies submitted their plans to Congress on Tuesday.
Comments
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Posted 02:23 PM, 12/03/2008
Something has to be done about paying people 95% of their salary on layoff when their company is not selling any products. You can't cover our day-to-day operating costs if you don't sell products -even eliminating all the highly paid white collar folks in the auto industry will not put a dent in the amount of money is needed on a day to day basis to cover costs. Paying people that much money to be on layoff and sometimes its a voluntary layoff is foolish in the era of the worker. Unemployment is what it is. And you file for that.
Posted 02:34 PM, 12/03/2008
I wish I were an unskilled laborer without a college degree so I could get 95% of my pay while being laid off.
akron, oh
Posted 03:37 PM, 12/03/2008
It does NOT matter if you are selling product or not. no business can afford to pay someone to sit on their duffs all day. i will never by another car from these poeple as long as part of that money is going to support this system
Ravenna, OH
Posted 05:09 PM, 12/03/2008
Here's a contract for you: There will be no more contracts. Unions are now illegal. No assembly line worker makes for than $45,000/year. If you don't like what we are paying, you can quit. There are plenty of people who would kill for that salary. The money saved will be used to build a better product. And finally, the automakers will not receive one dime from the government.
This Place, 32
Posted 10:59 AM, 12/04/2008
Silly people.
Union workers need to make 75K a year because they like to spend 100K a year.
