
Highlights
The Center for Automotive Research estimates Fiat Chrysler will see the sharpest rise between now and 2023, from $55 per hour to $66 per hour, while GM's hourly labor cost will rise from $63 to $71 and Ford's hourly costs will jump from $61 now to $69 in 2023.
Temporary workers were a sticking point in labor talks between the UAW and GM last year and one of several reasons the union walked out for almost six weeks.
Fiat Chrysler's roughly 47,000 hourly UAW workers overwhelmingly ratified a new four-year labor contract, ending the most contentious set of Detroit 3 negotiations in years. Roughly 71 percent of workers voted in favor of the deal, the union said.
The plant's UAW-represented hourly workers will be offered transfers, likely to locations in Michigan and Ohio, at least until production resumes.
UAW leaders on Wednesday approved sending the tentative four-year pact to the rank-and-file for ratification votes. The voting process begins on Friday.
The union said it secured an additional $4.5 billion in investments from the company but released no other details. A council made up of officers from UAW locals representing FCA workers must approve the proposed four-year pact before it's presented to members for ratification. The council will review the agreement on Wednesday.
The automaker and union are close to reaching a tentative agreement that includes $9,000 signing bonuses, matching what Ford agreed to pay senior workers, Bloomberg reported.
What does UAW's success in bargaining with Ford and General Motors mean for Unifor, Canadian autoworkers and new product for Ontario plants?
Cindy Estrada, vice president of the UAW's FCA department, said there have been "a few outside distractions" since Ford workers approved their contract on Nov. 15.
Displaying only hourly employees totals per local that exceed 1,000 | ||||||
VOTING | ||||||
Production | Skilled trades workers | |||||
FCA PLANTS / FACILITIES | Hourly Employees | Yes | No | Yes | No | |
Local 1268 & 1761 - Belvidere Assembly & Stamping | 3,667 | |||||
Local 723 - Dundee Engine | 427 | 162 | 121 | 35 | ||
Local 685 & 1302 - Indiana Transmission I & II | 1,429 | |||||
Local 7 - Jefferson North Assembly | 4,680 | 1,992 | 475 | 121 | 169 | |
Local 1302 - Kokomo Casting | 1,171 | |||||
Local 1166 - Kokomo Casting | 1,171 | 516 | 66 | 224 | 75 | |
Local 685 - Kokomo Transmission, Tipton Transmission, Indiana Transmission | 3,570 | 2,424 | 432 | 533 | 234 | |
Local 51 - Mack Avenue Engine | ||||||
Local 212 - Mt. Elliott Tool & Die | ||||||
Local 1700 - Sterling Heights Assembly | 7,327 | 2,828 | 491 | 98 | 336 | |
Local 1264 - Sterling Stamping | 2,036 | |||||
Local 12 - Toledo Assembly | 6,400 | 1,470 | 1,488 | 177 | 94 | |
Local 1435 - Toledo Machining | 183 | 93 | 93 | 49 | ||
Local 372 - Trenton Engine | 1,565 | 644 | 146 | 123 | 52 | |
Local 869 - Warren Stamping | 1,785 | |||||
Local 140 - Warren Truck | 2,306 | 865 | 132 | 99 | 63 | |
Local 412 - CTC* | 63% | 79% | ||||
Local 889 | ||||||
Local 961 - Marysville Axle | ||||||
Local 1248 - Center Line/Romulus | 407 | 57 | 54 | 3 | ||
TOTAL | 47,000 | 11,756 | 3,542 | 1,643 | 1,110 | |
Percentage breakdown | 76.8% | 23.2% | 59.7% | 40.3% | ||
* Estimate ** Includes Production and Skilled Trades, but no breakdown available |
||||||
Displaying only hourly employees totals per local that exceed 1,000 | ||||||
VOTING | ||||||
Production | Skilled trades workers | |||||
FORD PLANTS / FACILITIES | Hourly Employees | Yes | No | Yes | No | |
Local 551 - Chicago Assembly | 5,700 | 913 | 1,497 | 117 | 102 | |
Local 862 - Kentucky Truck | 8,620 | 2,001 | 3,651 | 360 | 356 | |
Local 862 - Louisville Assembly | 3,900 | 675 | 1,833 | 163 | 151 | |
Local 600 - Dearborn Truck** | 4,200 | 1,571 | 776 | |||
Local 3000 - Flat Rock Assembly | 2,300 | 940 | 806 | 148 | 116 | |
Local 900 - Michigan Assembly | 2,800 | 1093 | 156 | 186 | 14 | |
Local 900 - Michigan Body/Stamping | 359 | 208 | 172 | 88 | ||
Local 249 - Kansas City Assembly | 6,900 | 2,254 | 1,804 | 287 | 151 | |
Local 2000 - Ohio Assembly** | 1,600 | 917 | 410 | |||
Local 588 - Chicago Stamping | 1,180 | 402 | 154 | 203 | 64 | |
Local 600 - Rouge Maintenance & Construction** | 501 | 153 | ||||
Local 600 - Dearborn Engine & Fuel Tank | ||||||
Local 600 -Dearborn Diversified | ||||||
Local 600 - Dearborn Stamping** | 1,690 | 743 | 251 | |||
Local 600 - Dearborn Tool & Die | ||||||
Local 182 - Livonia Transmission | 2,640 | 988 | 479 | 286 | 68 | |
Local 931 - Allen Park | 129 | 37 | 48 | 7 | ||
Local 898 - Rawsonville | 260 | 79 | 91 | 44 | ||
Local 400 - Romeo Engine | ||||||
Local 228 - Sterling Axle | 2,205 | 607 | 573 | 264 | 70 | |
Local 2280 - Van Dyke Transmission | 1,030 | 363 | 157 | 200 | 54 | |
Local 387 - Woodhaven Forging | 28 | 4 | 26 | 2 | ||
Local 387 - Woodhaven Stamping | 162 | 48 | 94 | 36 | ||
Local 897 - Buffalo Stamping | 1,010 | 319 | 204 | 196 | 93 | |
Local 1250 - Cleveland Engine 1 | 1,600 | 579 | 475 | 76 | 84 | |
Local 1219 Lima Engine | 1,380 | 380 | 477 | 112 | 57 | |
Local 863 - Sharonville Transmission | 1,590 | 503 | 422 | 205 | 138 | |
Local 509 - Rancho Cucamonga | ||||||
Local 76 - Sacramento HVC/HCC | ||||||
Local 186 - Denver HVC | ||||||
Local 376 - Hartford HVC | ||||||
Local 788 - Lakeland HVC | ||||||
Local 882 - Atlanta HVC | ||||||
Local 862 - Indianapolis HVC | ||||||
Local 249 - Kansas City HVC | 84.9% | |||||
Local 600 -- Brownstown Complex and Livonia PDC | 353 | 139 | 22 | 18 | ||
Local 600 - Detroit HVC, Brownstown Township | ||||||
Local 723 - River Rasin | ||||||
Local 600 - Warranty PRC | ||||||
Local 2210 - New York HVC, Cranbury | ||||||
Local 3520 - Greensboro HVC | ||||||
Local 492.- Portland HVC | ||||||
Local 3036 - Memphis HVC/HCC/LVLC | ||||||
Local 870 - Fort Worth HVC | ||||||
Local 864 - Houston HVC | ||||||
Local 3519 - Washington DC HVC, Winchester | ||||||
Local 879 - Twin Cities HVC, Menomonie | ||||||
TOTAL | 55,094 | 17,040 | 14,793 | 3,256 | 1,713 | |
Percentage breakdown | 53.5% | 46.5% | 65.5% | 34.5% | ||
* Estimate ** Includes Production and Skilled Trades, but no breakdown available |
||||||
VOTING | |||||||
Production | Skilled trades workers | ||||||
GM PLANTS / FACILITIES | Hourly employees | Yes | No | Yes | No | ||
Local 276- Arlington | 5,078 | 2,425 | 698 | 171 | 113 | ||
Local 2164 - Bowling Green | 348 | 437 | 45 | 50 | |||
Local 22- Detroit-Hamtramck | 729 | 449 | 134 | 45 | 12 | ||
Local 31 - Fairfax | 2,198 | 777 | 798 | 130 | 75 | ||
Local 598 - Flint | 4,800 | 2,281 | 1,496 | 179 | 81 | ||
Local 2209 Ft. Wayne | 4,231 | 1,675 | 1,699 | 192 | 109 | ||
Local 602 -Lansing DT Assembly | 2,350 | 717 | 1,031 | 93 | 59 | ||
Local 652 - Lansing Regional Stamping, GR Stamping, Assembly | 900 | 308 | 169 | 54 | |||
Local 1112 - Lordstown (unallocated) | 53 | 399 | 8 | 13 | |||
Local 5960 - Orion | |||||||
Local 1853 Spring Hill | 1,486 | 1,527 | 180 | 146 | |||
Local 2250 - Wentzville | 1,913 | 1,098 | 202 | 87 | |||
Local 163 - Romulus | 516 | 389 | 100 | 59 | |||
Local 160 - Warren Tech Center | 144 | 33 | 739 | 128 | |||
Local 668 - Saginaw Metal Casting* | 75% | 73% | |||||
Local 14 - Toledo Transmission | 995 | 247 | 139 | 35 | |||
Local 774 - Tonawanda Engine | 495 | 476 | 84 | 127 | |||
Local 239 - Baltimore (unallocated) | |||||||
Local 909 - Warren Transmisison (unallocated) | |||||||
Local 977 - Marion Metal Center | 266 | 224 | 187 | 79 | |||
Local 1005 - Parma Metal Center | 294 | 293 | 144 | 111 | |||
Local 362 - Bay City | 153 | 91 | 82 | 38 | |||
Local 211 - Defiance | 216 | 59 | 99 | 54 | |||
Local 653 - Pontiac Redistribution Center | Medical Center | 396 | 219 | 294 | 69 | |||
Local 167 GMCH Grand Rapids | 200 | 341 | 69 | 56 | |||
Local 292 - GMCH Kokomo | 32 | 128 | 24 | 43 | |||
Local 686 GMCH Lockport | 176 | 767 | 55 | 90 | |||
Local 55 GMCH Lockport | |||||||
Local 1097 GMCH Rochester | 91 | 455 | 19 | 71 | |||
Local 174 - Brownstown | |||||||
Local 440 - Bedford Casting | 184 | 313 | 72 | 78 | |||
Local 651 - Davison Road Processing Center | 334 | 559 | 6 | 12 | |||
Local 1590 Martinsburg Parts Distribution Center | |||||||
Local 2177 Philadelphia Parts Distribution Center | |||||||
Local 659 Flint Processing Center, Flint Metal Center, Flint Engine, Flint Tool & Die | 707 | 348 | 353 | 168 | |||
Local 2162- Reno Parts Distribution Center | |||||||
Local 2404-- Charlotte Parts Distribution Center | |||||||
Local 2402-- Jackson Parts Distribution Center | |||||||
Local 6645-- Fontana ACDelco Parts Dist. Center/West Bulk Center | |||||||
Local 6645-- Rancho Cucamonga Parts Distribution Center | |||||||
Local 2406-- Memphis ACDelco Parts Distribution Center / Bulk Center | |||||||
Local 722-- Hudson Parts Distribution Center | |||||||
Local 174-- Willow Run Redistribution Center # 58 | |||||||
Local 1753- Lansing Redistribution Center | 68 | 84 | 7 | 5 | |||
Local 2114 -- Chicago Parts Distribution Center | |||||||
Local 674-- Cincinnati Parts Distribution Center | |||||||
Local 431-- Denver Parts Distribution Center | |||||||
Local 696-- West Chester Processing Center | |||||||
Local 816 -- Fort Worth Parts Distribution Center | |||||||
TOTAL | 47,422 | 19,228 | 15,386 | 4,051 | 2,103 | ||
Percentage breakdown | 55.5% | 44.5% | 65.8% | 34.2% | |||
* Estimate | |||||||
Ford expects the cost of health insurance for its 55,000 hourly workers in the U.S. to top $1 billion for the first time in 2020.
The U.S. auto market, while still healthy, has been contracting. Meanwhile, electric powertrains threaten to upend the workforce landscape for all automakers and health care costs threaten the profitability of businesses across America. It is in this environment that the UAW and Detroit 3 will negotiate a new four-year deal.
Learn more about the Health Care issue »
Learn more about the Temporary Workers issue »
Contract highlights and lowlights
"We are preparing for a conflict, and we are choosing to rely upon ourselves rather than rely on the goodwill of others."
-- UAW President Gary Jones
"You could essentially shut down all of Ford with a couple of engine plants or a couple of transmission plants. It would really hit the volume sweet spot."
-- Jeff Schuster, president of global forecasting, LMC Automotive
Electric vehicles, which lack complex components such as multispeed transmissions or exhaust and fuel systems, require fewer labor hours. The UAW believes 35,000 or more of its members jobs are at risk because of EVs.
"There's a move toward electric and self-driving cars and a need to innovate and come up with this new technology and find the best way to do that. From the company side, this is big. From the worker side, they want some stability. They're afraid their plants are going to be shut down and they're going to lose their jobs. I think this is the biggest concern of workers in the UAW at this point, that the industry is heading toward another downturn." -- Josh Murray, an assistant professor of sociology at Vanderbilt University.
Dittes will enter negotiations after being appointed a vice president in January 2018. He was originally chosen to oversee the union's Fiat Chrysler department following the retirement of Norwood Jewell, who has since been charged and pleaded guilty in an ongoing corruption scandal. The following June, Dittes was re-elected at the union's bargaining convention and tapped to run the GM department.
Johnson was appointed to his current title in April. He leads GM's global manufacturing operations, manufacturing engineering and labor relations organizations. He was previously vice president of North American manufacturing and labor relations.
Gamble, a UAW veteran, enters his first round of negotiations as a vice president following the retirement of longtime UAW-Ford VP Jimmy Settles. Before his current role, he served three terms as director of UAW Region 1A. He was on the UAW-Ford national negotiating team in both 1998 and 2003, according to the union.
Dirksen has held his current role since January 2014, leading the company's negotiations during the last round of contract talks. He's responsible for global labor policy and negotiations covering Ford's approximately 140,000 union employees. Additionally, he is responsible for hourly employee health care management and the company's collective bargaining with unions worldwide, according to Ford.
Estrada, the union's top-ranking female official, will oversee negotiations with Fiat Chrysler for the first time this year after previously leading the union's General Motors department. She was first elected UAW vice president in 2010 and assigned to direct the union's independents, parts and supplier/competitive shop department; public sector and health care servicing department and women's department.
Shagena has served in his current position since 2015. He's the lead representative for a number of functions, including labor relations; integrated health care & disability; retirement & savings; manufacturing HR/ER; occupational safety & health; FCA Mexico & FCA Canada HR/ER; labor economics & benefit finance; & the UAW-Chrysler National Training Center.