Opponents of bailout have their own agenda, says region UAW official
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BY ANDREA HOLECEK
holecek@nwitimes.com
219.933.3316
| Tuesday, December 16, 2008 | (40 comment(s))

CHICAGO HEIGHTS | Opponents of a bailout to the Big 3 automakers are vilifying the United Auto Workers in an attempt to break the back of the union, a UAW official said Monday.

Bill Jackson, president of UAW Local 588, said senators from some of the same southern states that are giving tax credits to transplanted automakers such as Toyota, Nissan and Honda have voted against $14 billion in bridge loans to GM, Chrysler and Ford.

"They have a hidden agenda, and they're painting an untrue picture of our wages," said Jackson, whose local represents hourly workers at the Ford Chicago Heights Stamping Plant. "They're from states that are giving foreign nameplates state tax credits. ... It's not a level playing field."

One claim from bailout opponents that UAW workers make $70 or more an hour draws Jackson's ire. The workers actual wage is much lower, he said, explaining that the $70 figure is the company's total per hour labor cost and includes pension and health care benefits paid to retirees.

"If I make $70 an hour, I'll file a grievance for back pay," Jackson said. "Then I won't have to worry about the auto industry's future."

The average UAW worker's wages and benefits total $58 an hour under the Voluntary Employee Benefits Association, or VEBA, plan, which is part of the UAW's current contract with the automakers.

Jackson, of Dyer, and other local UAW officials have been at the union's international headquarters twice in the past two weeks to discuss possible modifications to the labor agreement that could help keep the automakers out of bankruptcy.

"Everything depends on what Washington does," he said. "We voted as a council to initiate a process to set the wheels in motion. I don't think its an understatement to say we're at a critical time for the industry."

The union can make certain provisions in the agreement, such as allowing the automakers to defer contributions to the VEBA, without the approval of its membership, he said.

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BPF wrote on Dec 18, 2008 8:02 PM:

" Take a look at the UAW website. On the contract page for each website it shows the average gain for the average work for the life of the contract. These UAW workers are getting $10-13K in gains and the rest of us have to bail them out. Anything unions are involved in seem to flounder - think about, the steel industry, government unions and now the auto industry. More Americans should question why they pay more for goods and services to line the pockets of greedy union reps and companies nad agencies that preserve jobs over innovation. Look where it's gotten us. "

AP mech wrote on Dec 17, 2008 11:59 PM:

" 1. I have to pay for my 401K/retirement
2. I have to pay for health care
3. I make $30.00hr non-union
4. If I get laidoff I go to the unemployment line.
My choice to buy a Ford Focus or Toyota Corolla. Both cars cost around 18k in 4 years and 70k miles, the Ford is falling apart the Corolla is still worth 10K. Which car would you buy?
Aircraft Mechanics have a union I refuse to be part of it. Most mech. that belong to the union make $16/24 per hour. What has the union done for the U.S. in the last 20yrs. Don't slam me about being un-American, I spent 22yrs in the Military..... "

American Chic wrote on Dec 17, 2008 8:28 PM:

" Re: cs - Should have tried a Dodge. I also had GM vehicles and was disappointed. Several Dodge vehicles we had were awesome. We looked at a few Kia's and sorry but they just look and feel cheap.
Re: southern senators - The south has been anti-union for a long time, this is nothing new. It's how they were able to create jobs by enticing companies to move south and their economy now depends on those companies. Unions in general aren't going away any time soon, but if the UAW would clean up their own house, they might not face so much criticism. "

really wrote on Dec 17, 2008 7:33 PM:

" kcb writes $20 hr is a good wage. well I don't know about you but i go to work to make money not friends. I am so glad you are happy in your career. However we must be careful of this complacent thinking. this state of mind enables the further separation of the classes and eradication of the middle class which I indeed agree is the backbone of the country. If the middle class is eliminated from our culture you will no longer be happy you will be indentured. "

cs wrote on Dec 17, 2008 10:41 AM:

" american auto makers make nothing but junk...I had 2 american cars a pontiac sunfire and a ford taurus. Had nothing but trouble with both... So iwent and bought a Kia and still today 5 years later still no problems....I love the Kia and its Korean Made. My estimate i will never own or lease or drive an american car again! "

KCB wrote on Dec 17, 2008 9:57 AM:

" hey!! knbl not everyone is GREEDY like you. making 15 to 20 dollars an hour is a good wage. It has nothing to do seeing ourselves as unimportant or "good enough". It has more to do with money management and a REAL WORK ETHIC than what youre saying. To a real degree thats one of the problems in our country, poor money management and horribly overpaid people that dont produce commensurate with their pay.Dont put down the average wage earner! They are the nations real backbone and heroes, because they work and dont whine. "

knbl wrote on Dec 16, 2008 6:38 PM:

" I still can't believe that all of you people working for $15 and $20 an hour believe that you are being paid fairly!! What I am hearing from you is that you feel that you deserve $15 Hr. because you feel you are not good enough or not important enough to make a better wage. This is why you fail! Why are you afraid of making more money and living better. If you choose to be complacent than you have no room to complain that other people are doing better than you. "

KCB wrote on Dec 16, 2008 5:59 PM:

" Mercedes Benz + Alabama= JOBS
Hyundai + Alabama = JOBS
Thyssen-Krupp + Alabama = JOBS
Hey, these folks found the people and the attitude favorable to spend BILLIONS OF DOLLARS building plants that employ "individuals who want to work and are very capable to do so" We spent the time and money and effort to
bring in jobs for our men and women. Yes im sure we made consessions and offers that made it attractive, just as all the other states did to get the facilitys. Its called COMPETITION !! And while we may be looked on as "backward" by some, it aint snowing down here and we love going to work!! "

re moved wrote on Dec 16, 2008 4:37 PM:

" No I will be standing on the corner with a sign that says, voted for Obama need everything! As for the dime you can keep your "Change"! "

moved wrote on Dec 16, 2008 4:19 PM:

" Its time America woke up and realized how the GOP have destroyed this country. Just because Wall Street did well doesn't mean that the Average Joe did well.

Unions fought and died for decent wages, 40 hour weeks, time and a half overtime, benefits, retirement. That's what made this country.

We would be much better off unionized. Its management that has screwed the auto companies. From Chrysler doing its stupid merger with Benz (which was a cash cow for all involved, the union 'rep' in the talks was paid off - talk about a Judas Goat : do your homework and read about it).

Costs are going up more than wages. You can blame the Republicans for that. They don't care about Main Street. You know how much those SOBs made off of the bailout? They still get their bonuses, they found a loophole.

But keep up with your anti union trash. Maybe I'll give you a dime when you stand on the streetcorner with a sign, voted for Bush, need a job. "

to Charlie M wrote on Dec 16, 2008 4:14 PM:

" I didn't say ALL American products were no good, just those made by Ford, GM, and Chrysler. You might be able to give me one of those makes but no way will I ever buy another one. Hate to burst your bubble but the UAW has not done anything to help themselves and I don't want MY TAX dollars paying to keep a bunch of lazy "you owe it to me" crybabies employed. That's one of the problems we have in the U.S. Few are willing to do what is necessary to do a job right. Merry Christmas, ho, ho, ho! "

Duh wrote on Dec 16, 2008 4:07 PM:

" From the UAW website -
How much are current UAW auto industry wages?

In 2006 a typical UAW-represented assembler at GM earned $27.81 per hour of straight-time labor. A typical UAW-represented skilled-trades worker at GM earned $32.32 per hour of straight-time labor. Between 2003 and 2006, the wages of a typical UAW assembler have grown at about the same rate as wages in the private sector as a whole – roughly 9 percent. Part of that growth is due to cost-of-living adjustments that have helped prevent inflation from eroding the purchasing power of workers’ wages.


I think this is a fair wage for work delivered.

For comparison - I have an engineering degree and an MBA; my company values my skills so much that they pay me about $20/hr. I am not complaining since I like what I do, and want to be there - there are more reasons than money for working the jobs we work. It's not just about the money! "

Duh wrote on Dec 16, 2008 4:02 PM:

" The greatness about being an American is that we don't have to leave - we can change things if we don't like them. Sometimes change is painful but necessary in the long run.

GM, Ford and the UAW have been ignoring its competitors for years and have been focused on what was best for themselves. There shortsightedness has come back to bite them where it hurts most.

That us a shame and is to bad. :( "

kcb wrote on Dec 16, 2008 3:33 PM:

" Bottom Line Folks!! Bailout money is the same as "consolidate your credit card debt" If you dont change the habits youve grown dear with and gut out a real change then it all for nothing. youre just running back down the same trail, screamin help me and nobodys gonna listen. Again!! we're ALL in this boat, so by GOD pick up a bucket and start bailing. Suck up your PRIDE and get with it. This is a "WE AMERICANS" not us vs. them. Everybodys gotta eat!! "

To To Whats New wrote on Dec 16, 2008 3:09 PM:

" The Republican Senators from the backward states of Kentucky, Mississippi, Alabama killed the automakers' loans because the UAW refused to cut their wages and benefits in half. These senators knew all along the union would not go for that so they killed the loan. They must still think that they are slave owners. "

Phil wrote on Dec 16, 2008 3:07 PM:

" I don't think Union workers have any idea of the reality of the average person(read that non-union). We have no golden umbrella of the pensions you have and barely make half the wage you do for more and harder work. The idea that my taxes would go to bail out inefficent,inept union workers is insane "

CJD wrote on Dec 16, 2008 2:31 PM:

" Accountant Person: I’m sure all those American pickup trucks and SUVs would be selling like hotcakes if the UAW agreed to work for minimum wage and the Big 3 knocked $1,000 off the price of their poorly built gas hogs. I know I'd run right out and buy a new Hummer (NOT).

In a perfect world, all companies would be union shops. The American economy was doing very well before the Republican thugs busted up the unions. Strengthening unions would improve the lot of everyone involved. "

Reader wrote on Dec 16, 2008 2:28 PM:

" Jaskson's UAW also has an agenda.......more higher wages. I guess $70.00 an hour isn't enough for those loafers on the assembly line! "

70 per hour wrote on Dec 16, 2008 1:40 PM:

" yes that is the real cost and the reason why the automakers asking for a bailout are failing. if you work in accounting you know that it's the wages & benefits calculation that is used to determine cost per unit. it's this bury your head in the sand it's not the real cost union mentality that explains why giving the automakers any money is absurd. "

Charlie M. wrote on Dec 16, 2008 1:27 PM:

" FOR ALL OF YOU THAT THINK AMERICAN PRODUCTS AREN'T GOOD ENOUGH. AN UNIONS ARE BAD. WHY DON'T YOU PACK UP AND LEAVE "AMERICA" WE DON'T WANT YOU HERE ANYWAY! "

kcb wrote on Dec 16, 2008 1:18 PM:

" hey GP, I drive a 10year old Metro!! It was built in CANADA and has a Chevy nameplate on it. It is essentially the Suzuki swift but badged Chevrolet. Interesting little mutt of a car. Wouldnt trade it for anything being built today!! Why?? Because it has proven to be dependable,long lasting(235000 miles to date) and was affordable. oh yeah it still gets 41MPG, NOTHING like that available today from the big 3. Not at a price that JOE AVERAGE can afford. overpaid ceo's and overpaid uaw workers made sure of that. I work in the auto industry at a local dealership. Im worried and concerned just as everyone about detroit. But until EVERYBODY agrees to reasonable wages and benefits and stops whining, the boats still filling with water. join the rest of the working class at 25 to 35k a year and benefits that arent the envy of the world. Get on out in the water beyond the safety of your insulated world,get to know the daily fears and unknowns the rest of us feel. Time to prune and replant and bring new growth. "

TO JB - OHIO wrote on Dec 16, 2008 12:48 PM:

" WELL THEN, I GUESS YOU DON'T BELIEVE IN PEOPLE AFFORDING A HOUSE, WIFE, KID AND A CAR. KEEP WORKING HARD AT YOUR $10 AN HOUR JOB AND NEVER BEING ABLE TO AFFORD ANYTHING NICE IN LIFE. AND NO IM NOT A UNION WORKER. "

To 70 an hour wrote on Dec 16, 2008 12:40 PM:

" You honestly think that there paystub says they make $70 an hour. YOU ARE VERY NIEVE!! $70 an hour is what there billed out at. For example, $20 pension, $20 union dues, $10 misc. for what ever. The reality is they take home between $20-$25 and hour tops actually in there pocket. I CAN'T BELIEVE YOU ACTUALLY THINK THEY GET PAID $70 AN HOUR IN THERE POCKETS. HAHAHAHAHAHAH. IGONORANT. "

ralph wrote on Dec 16, 2008 12:14 PM:

" Please STOP suggesting that union workers make $70/hour. I am tired of reading that and I am not even union. Every major company reports wages/insurance/benefits together for corporate reporting. That's called fancy accounting. That should not have been told to the press because we have idiot people who actually believe that. Ask your boss what your rate per hour is with your insurance and benefits so you will stop commenting. "

Healthcare Worker wrote on Dec 16, 2008 11:54 AM:

" I've worked in healthcare for 10 years, and lived in NWI my whole life. We don't have unions or pensions, but somehow we make it. It's called planning and budgeting your money. I guarentee we wrok longer hours than UAW workers, and our jobs acutually make a difference and matter. It is not the sole solution, but if you want to keep your job take a pay cut. Don't worry you'll make it as we all have for years. You just have to take care of yourself instead of relying on others. Also, most people who help save lives for a living don't make anywhere near $70/hr with benefits. I personally don't feel anyone who assembles cars should make anywhere near $70/hr with benefits. That's a joke. "

william wrote on Dec 16, 2008 11:12 AM:

" Simple solution. Let the American car companies go bankrupt and the union has no contract. Then set up shop and build all of their vehicles in Mexico. The Mexicans are thrilled to work for much less and can do just as good of job. "

JB - Ohio wrote on Dec 16, 2008 9:58 AM:

" I grew up in the 1980s in Pittsburgh, Pa. My grandfather, who was a retired steelworker from the 1940s to 1960s, said one day to my mother "the unions are going to be the death of the steel industry....they are going to price themselves right out of a job." (I actually have many of his original paystubs….his average weekly pay was…no kidding…8 bucks). Somehow, I do not remember anything about him belonging to or having any pension. At any rate, he was absolutely correct. During my teens, I remember driving past all of the rusting out, crumbling steel factories. The smoke stacks literally just fell over in a big heap. No one ever bothered to clean up what was left of the union-devastated mess. Very heartbreaking. Did President Reagan bail that industry out? No.

Know what else? Pittsburgh adapted to change, and is now a booming metropolis of Healthcare and Information Technology.

The unions need to go. They are nothing but dinosaurs that work for their own interests and ultimately bring down great American industries. "

Keywest wrote on Dec 16, 2008 9:45 AM:

" Let's see $78 an hour versus $48 an hour (including benefits). How can the big three ever be competitive regardless if they get a bailout or not?
We have a process for this, its called bankruptcy, Chapter 11.
There is no provision in the Constitution that provides these companies acess to our money.
Any bailout is unconstitutional but when did government pay any attention. "

USW 1011 wrote on Dec 16, 2008 9:40 AM:

" 70 an hour, that is nothing more than Republican spin on the real issue saving jobs! The Republicans would like nothing more than people to really believe these workers make that much. What there agenda is to have them go bankrupt families lose their pensions then they could try and implement a non-union shop! We union people need to stick together and support each other in these tough times God Bless the Unions and USW, UAW Union forever! "

70 an hour wrote on Dec 16, 2008 9:27 AM:

" i wish i made even half that! take the pay cut if you want to save your precious money bleeding company. Then strike to get your absurd pay when they can afford to pay you again. "

Excuse me but wrote on Dec 16, 2008 9:16 AM:

" Unions had nothing to do with the big 3 going under..labor force costs are only about 10-20% of the whole picture. A lot of people that sit and whine about unions are the ones that work jobs they hate making a lot less. Wah! The autoworkers produce what the big whigs tell them to produce...and that's it. They don't plan the BIG picture of the business. If you think the CEOs of the big three are greedy little mongrols, then how do you think they would've treated the workers if the company was nonunionized? Sorry to say but the other foreign companies aren't doing any better..in fact their own countries have bailed them out. "GP" is right...everyone has an I don't care attitude when it doesn't affect them directly. Let's see you open your mouths that wide when it is your industry that falls to pieces and your job and your family suffers. "

blame the UAW wrote on Dec 16, 2008 8:49 AM:

" blame the UAW for making the automakers asking for a bailout non-competitive. NO bailout. restructure the current contracts, including benefits, now to make them competetive in the marketplace. that's the fix, not wasting taxpayer dollars propping up a business that can't exist with the current cost structure. "

To Whats New wrote on Dec 16, 2008 8:39 AM:

" They never said they were blaming the unions for the economic meltdown. They are just asking if the unions have taken any concessions to help keep their jobs. The steelworks union took concessions a few years back. Let's all try to do what we can to keep everyone in business. "

Donnee wrote on Dec 16, 2008 8:35 AM:

" I can understand the frustration by the union workers, who have relied on the union for their pay raises, not on their merit, for their pension, not on their savings, and for their health care. Now the piper needs to be paid. The big 3 automakers, have followed union guide lines for so long, that they refuse to cut the ties, and do what the other automakers have been doing for years. Hire the workers, pay a decent wage, make good cars, and let the supply and demand take care of profits. A profit making business cannot pay out money to more people not working than are working and expect to keep going. If the union got the pension, then the union would pay the pension, but the UAW decided to let the company handle the pension, and now it cannot pay. Bad decisions all around. Do we really want the GOVERNMENT to control the Auto Industry? I for one do not. Let them declare bankruptcy, and re structure, just like the Steel Industry in the 80's had to do. "

Too Bad UAW wrote on Dec 16, 2008 8:04 AM:

" You want a job, make concessions. You have priced the big 3 out of being competitive and your workers build garbage because they are over-paid. I wouldn't care if the big 3 go into bankruptcy and I AM AGAINST a tax payer bailout! I will never buy another so called, "American Car" again, like I said they are over priced JUNK! I've had Honda's and Toyota's, and they are well made, retain resale value and are very dependable. Can't say any of that for Ford, GM, or Chrysler. You UAW folks made your beds, now sleep in them. "

JACK wrote on Dec 16, 2008 7:11 AM:

" Eliminating all UAW contracts has to be the first requirement for any auto industry bailout. "

GP wrote on Dec 16, 2008 6:52 AM:

" WAKE UP AMERICA!!!!!!
Some have decided that we like foreign cars over American made!!!!!!!!!!For all of you who don't think the US made cars are good enough, Wait till we can only buy Tanks, ships, planes and other military vehicles, from a foreign country, because we no longer have anything American Made. As long as it doesn't effect me , "I DON'T CARE " seems to be the attitude of some Americans . A time will come when you wish you had !!!!!!!!!!!!!! "

Whats New wrote on Dec 16, 2008 5:59 AM:

" it's the same old Republican strategy. They have to have a "boogeyman" to fire up their followers. It was illegals, WMD, Gays getting married, a Muslim President now it's the unions that caused this economic meltdown. anyone want more Kool-Aid? "

JW wrote on Dec 16, 2008 4:52 AM:

" True enough CJD, for 35 years the UAW, GM, Ford, Chrysler chose ignorance of the success of Toyota, Nissan, Honda, Kia, and Hyunda.

Now, pay the piper. "

CJD wrote on Dec 16, 2008 2:06 AM:

" Never let a good crisis go to waste; the neoconservative propaganda machine needs to spin the present economic crisis toward damage control. Their mission is twofold: to shift the blame for this mess from themselves (where it belongs) by making labor unions the scapegoat, and simultaneously attack the labor unions to enrich their base constituents.

As usual, much of the American public seems to be falling for their deceptive tactics; never underestimate American ignorance. "

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