GM To Seek 'Fundamental Change' In Contract Talks

Gm_Tooler · 04-13-2006, 10:48 AM

A short article to kick off the drum beat for '07.

NEW YORK -(Dow Jones)- A senior General Motors Corp. (GM) official said the struggling auto maker will seek a "fundamental change" in its costs when it negotiates a new labor contract next year with the United Automobile Workers union, according to a report in Thursday's edition of The New York Times.
"We just have to open it up all in that contract," Vice Chairman Robert A. Lutz said, according to the Times. "The summer of '07 is going to be kind of a watershed year where we really have to make a fundamental change in a lot of the cost structure of doing business in the United States."

Continued:
http://money.cnn.com/services/ticker...3_FORTUNE5.htm
.

importedtuna · 04-13-2006, 11:38 AM

Quote:

Originally Posted by Gm_Tooler

"The summer of '07 is going to be kind of a watershed year where we really have to make a fundamental change in a lot of the cost structure of doing business in the United States."

Of course that's the bloated UAW cost, not the "cost of doing business in the United States" that Toyota, Honda, Nissan, and now the Koreans are paying to assemble and manufacture cars and components. They don't need a change, because they are paying fair wages to people that are happy to have jobs and aren't looking for massive pension plans, buyouts, and unrealistic perks (and wouldn't get them even if they were looking in non-Union jobs). And they don't have a guy at the top like Gettelfinger who cares more about re-election than the health of the companies his constituents work for.

rsbaker · 04-13-2006, 11:48 AM

GM please don't do something stupid like Delta Airline did with its pilots. They won concessions from the pilots and others and then almost immediately gave big fat bonuses to their execs and is now in court to get the contact thrown out. Now Delta will probably get a strike from which it will probably not recover. I think the UAW will make a good deal if GM doesn't get arrogant and stupid. Be fair but be frank and don't get greedy GM or UAW. General Motors can be turned around but only if Management and Labor work together.

GMFreak8 · 04-13-2006, 11:52 AM

Quote:

Originally Posted by rsbaker

Be fair but be frank and don't get greedy GM or UAW.

That's just it, the UAW seems incapable of being fair. They seem to think it's still 1955, and everything is peachy.

GM_Guy81 · 04-13-2006, 11:53 AM

GM should just build alot of excess inventory in preperation then just... NOT renew the UAW contract. Then just offer non union jobs.

importedtuna · 04-13-2006, 11:57 AM

LOL, can that even be done? Not renew the contract? Probably a lot of unemployed people who'd jump at it, and the UAW wouldn't be legally able to set up a strike line because they'd be out of the picture!

Import a bunch of Daewoos and Holdens in the meantime.

GMFreak8 · 04-13-2006, 11:59 AM

Quote:

Originally Posted by GM_Guy81

GM should just build alot of excess inventory in preperation then just... NOT renew the UAW contract. Then just offer non union jobs.

Wish it were that simple.

sigma · 04-13-2006, 12:00 PM

That the key to being sucessful. Cut everyone, and makr everyone share the pain.

Lewie · 04-13-2006, 12:02 PM

UAW: leader in American Greed

I hope the contract talks see a breakthrough this year, but I can't foresee anything substantial.

Steel4ring · 04-13-2006, 12:06 PM

Quote:

Originally Posted by GM_Guy81

GM should just build alot of excess inventory in preperation then just... NOT renew the UAW contract. Then just offer non union jobs.

Agreed. I see alot of overtime coming in the Dec-March timeframe for most plants. Don't panic when you see a huge number of days to move cars come spring next year. I would think GM would want about 80-100 days on hand of the best sellers by this time next year, just incase they have to duke it out with Gettlefinger and his UAW thugs.

Steel4ring · 04-13-2006, 12:08 PM

Quote:

Originally Posted by sigma

That the key to being sucessful. Cut everyone, and makr everyone share the pain.

I am sure the UAW will never see it that way, no matter how fair the pain is shared.

**ChevroletRevived** · 04-13-2006, 12:25 PM

GM needs to make sure that we get some major concessions. We desperately needs some large changes in order to compete. No one can compete when you're saddled with a $1500+ healthcare tab per vehicle. The outcome of this contract probably will determine the future of GM. GM, be smart and get a fair deal. And the UAW thinks we're still in the glory days. Wake up and smell the coffee, UAW, it's 2006, and you need to change and adapt.

vdoh182 · 04-13-2006, 12:26 PM

I guess someone at toyota leaked the information that paying someone with a GED 76 dollars and hour isnt going to make u any money.

VibenPontiac · 04-13-2006, 12:41 PM

The UAW needs to adapt in a huge way. Why soemone should pay 27% of their helthcare vs 5% just because they wear a "white shirt" I'll never understand. That been said management should try to live up to the obligations it has to older retired members. Its probably not feasible to do so 100% but they should get as close as possible - maybe something like applying 100% of benefits to those that have been retired for 15 years or more then slide the scale down from there.

PRO_USA1776 · 04-13-2006, 01:30 PM

I am neutral at best on the UAW, they have a 1935 fight at the overpass mentality. I for one want GM and Ford to survive and prosper. What I don't like to see is the UAW put these companies in a straight jacket, then it is almost impossible to compete with asians

04-13-2006, 10:48 AM	#1 (permalink)
Gm_Tooler 3.8 Liter V6 Join Date: Oct 2005 Location: MidSouth U.S. Drives: '05 Silverado Posts: 441	GM To Seek 'Fundamental Change' In Contract Talks A short article to kick off the drum beat for '07. NEW YORK -(Dow Jones)- A senior General Motors Corp. (GM) official said the struggling auto maker will seek a "fundamental change" in its costs when it negotiates a new labor contract next year with the United Automobile Workers union, according to a report in Thursday's edition of The New York Times. "We just have to open it up all in that contract," Vice Chairman Robert A. Lutz said, according to the Times. "The summer of '07 is going to be kind of a watershed year where we really have to make a fundamental change in a lot of the cost structure of doing business in the United States." Continued: http://money.cnn.com/services/ticker...3_FORTUNE5.htm . __________________ GM/UAW Agreement (8) ........ In addition, the products to be manufactured, the location of the plants, the schedules of production, the methods, processes and means of manufacturing are solely and exclusively the responsibility of the Corporation.

04-13-2006, 11:48 AM	#3 (permalink)
rsbaker 5.3 Liter Vortec V8 Join Date: Jan 2003 Posts: 1,384	Re: GM To Seek 'Fundamental Change' In Contract Talks GM please don't do something stupid like Delta Airline did with its pilots. They won concessions from the pilots and others and then almost immediately gave big fat bonuses to their execs and is now in court to get the contact thrown out. Now Delta will probably get a strike from which it will probably not recover. I think the UAW will make a good deal if GM doesn't get arrogant and stupid. Be fair but be frank and don't get greedy GM or UAW. General Motors can be turned around but only if Management and Labor work together.

04-13-2006, 11:53 AM	#5 (permalink)
GM_Guy81 5.3 Liter Vortec V8 Join Date: Feb 2004 Location: Los Angeles, CA Posts: 1,267	Re: GM To Seek 'Fundamental Change' In Contract Talks GM should just build alot of excess inventory in preperation then just... NOT renew the UAW contract. Then just offer non union jobs. __________________ "Government at its best is a necessary evil, at its worst it is an intolerable one" - Thomas Paine

04-13-2006, 11:57 AM	#6 (permalink)
importedtuna 3.9 Liter V6 Join Date: Jan 2006 Posts: 984	Re: GM To Seek 'Fundamental Change' In Contract Talks LOL, can that even be done? Not renew the contract? Probably a lot of unemployed people who'd jump at it, and the UAW wouldn't be legally able to set up a strike line because they'd be out of the picture! Import a bunch of Daewoos and Holdens in the meantime. __________________ The only people who "don't worry" about Gas Prices are people addicted to jacked up 4x4 trucks & SUVs like a smoker who can't control the price of cigarettes.

04-13-2006, 12:00 PM	#8 (permalink)
sigma 6.2 Liter Vortec V8 Join Date: Sep 2005 Location: In the Galactica CIC Drives: 2005 Chevy Malibu Posts: 2,559	Re: GM To Seek 'Fundamental Change' In Contract Talks That the key to being sucessful. Cut everyone, and makr everyone share the pain. __________________ "The best committee is the committee of one" -Bob Lutz

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04-13-2006, 12:02 PM	#9 (permalink)
Lewie 2.0 Liter Supercharged ECOTEC Join Date: Sep 2005 Posts: 175	Re: GM To Seek 'Fundamental Change' In Contract Talks UAW: leader in American Greed I hope the contract talks see a breakthrough this year, but I can't foresee anything substantial.

04-13-2006, 12:25 PM	#12 (permalink)
ChevroletRevived GMI Staff Member Join Date: Jul 2004 Location: The Good Ol United States of America Posts: 8,863	Re: GM To Seek 'Fundamental Change' In Contract Talks GM needs to make sure that we get some major concessions. We desperately needs some large changes in order to compete. No one can compete when you're saddled with a $1500+ healthcare tab per vehicle. The outcome of this contract probably will determine the future of GM. GM, be smart and get a fair deal. And the UAW thinks we're still in the glory days. Wake up and smell the coffee, UAW, it's 2006, and you need to change and adapt. __________________ GMI's Revitalization in Action Director Check out our latest lineup by Clicking Here If you've got inside news and would like to be a GMInsider, send me a private message or email me HERE.

04-13-2006, 12:26 PM	#13 (permalink)
vdoh182 3.8 Liter Supercharged V6 Join Date: Oct 2003 Posts: 548	Re: GM To Seek 'Fundamental Change' In Contract Talks I guess someone at toyota leaked the information that paying someone with a GED 76 dollars and hour isnt going to make u any money.

04-13-2006, 12:41 PM	#14 (permalink)
VibenPontiac 3.6 Liter V6 Join Date: Jan 2005 Location: Atlanta Posts: 1,109	Re: GM To Seek 'Fundamental Change' In Contract Talks The UAW needs to adapt in a huge way. Why soemone should pay 27% of their helthcare vs 5% just because they wear a "white shirt" I'll never understand. That been said management should try to live up to the obligations it has to older retired members. Its probably not feasible to do so 100% but they should get as close as possible - maybe something like applying 100% of benefits to those that have been retired for 15 years or more then slide the scale down from there. __________________ "Whenever I’m suffering from Insomnia, I just look at a picture of a Toyota Camry and I’m straight off.." "This is a Renault Espace, probably the best of the people carriers. Not that that's much to shout about. That's like saying 'Oh good, I've got syphilis, the best of the sexually transmitted diseases!" www.dickipedia.org

04-13-2006, 01:30 PM	#15 (permalink)
PRO_USA1776 3.8 Liter V6 Join Date: Nov 2005 Location: Michigan - Home of the Arsenal of Democracy Drives: 2005 SRX - V6 AWD, 1971 F-250 4x4, 1994 M Posts: 497	Re: GM To Seek 'Fundamental Change' In Contract Talks I am neutral at best on the UAW, they have a 1935 fight at the overpass mentality. I for one want GM and Ford to survive and prosper. What I don't like to see is the UAW put these companies in a straight jacket, then it is almost impossible to compete with asians

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