New Toyota Assembly Plant May Go In Big Three Backyard

[Perian]

Source: The Car Connection daily email

WJR Auto Report: Toyota’s Press Pulls No Punches

Jim Press pulls no punches. Toyota’s top American executive was a keynote
speaker at the recent Management Briefing Seminars, in Traverse City, Michigan.
It’s an event normally dominated by the Big Three. But Press certainly wasn’t
acting intimidated.

Quite the contrary. He laid out Toyota’s game plan to become
one of the dominant U.S. brands, with a mix of high-value products including at
least 10 new hybrid-electric vehicles. “The customer is in charge now,” he
noted, stressing the company that can deliver the best products at the lowest
price will win.

Despite Detroit’s current employee pricing programs, Toyota’s
sales continue to set new records. The automaker promises to build its cars
where it sells them, and has recently announced a number of new plants.

Press told TheCarConnection.com Toyota may soon approve yet another assembly line,
this one right here in Michigan. At a time when the Big Three are looking to
close plants and cut jobs, it would be quite a coup.

[Perian]

If Toyota builds in Detroit, will they have to deal with the UAW?

[pkd87]

Originally Posted by Perian

If Toyota builds in Detroit, will they have to deal with the UAW?

Im not shure but it does mean that the UAW has a better chance of unionizing them. Which could lead to other plants farther south becoming unionized. (which would level the playing field)

[Ming]

On the flip side, if they AREN'T Unionized, this gives GM another bargaining chip with the UAW.

[Hudson]

Originally Posted by Perian

If Toyota builds in Detroit, will they have to deal with the UAW?

They have to "deal with the UAW' now...its just that the union is a minor annoyance, but not representing Toyota workers. If they opened a Michigan plant, they wouldn't have to unionize, but (as was stated above) workers would be more open to the idea of unionization.

[hudson32]

I would hope that the Toyota plant isn't unionized, as Ming said. GM will have and needs to point out Toyota's strength due to its non-unionized work force to lay it down to the UAW.

[Cortazzo]

Toyota will do whatever it takes to prevent unionization of any of its factories. It's a shame we have to root for the transplants to be weighed down by the same albatross as our domestics.

[uujjj]

Anyone have numbers on labor costs at NUMMI vs. other Toyota plants?

[jckjds]

Smoe of your posts dance around the law regarding unionization , but no one has hit it on the head.

The National Labor Relations Act gives employees the right to bargain collectively with their employers. Although a formal union isn't absolutely necessary for this process, it has become a de facto requirement/result of the collective bargaining.

Essentially, all that has to happen for a plant to unionize is a majority of the workers have to vote to be represented by a union. The NLRA lays out the process by which a vote occurs, and makes employer retalliation illegal (i.e. employers aren't legally allowed to fire, demote, or otherwise harrass employees who unionize or support unionization). Typically unioonization is prompted by an organized union attempting to organize a plant/work unit by creating a presence at the worksite, handing out flyers, talking to employees. Once the union has received the signature of 30 percent (I think) of the work force in support of unionization, then a vote is held. Majority wins. If the plant is unionized, EVERY worker is subject to the agreement reached between the union and employer, even those who did not vote for the union. The union represents the minority who didn't vote for it whether they like it or not.

The employer has no legal control over whether a plant unionizes. Placing a plant in Michigan (a very pro-union state) would probably result in unionization because of the high union activity and support in the area. Thus, a Toyota plant in Mich would almost certainly unionize.

[evok]

Originally Posted by Hudson

They have to "deal with the UAW' now...its just that the union is a minor annoyance, but not representing Toyota workers. If they opened a Michigan plant, they wouldn't have to unionize, but (as was stated above) workers would be more open to the idea of unionization.

I have heard that GM's old Buick City foot print is a possibility as is Ford's Wixom location.

[T-Type]

Originally Posted by evok

I have heard that GM's old Buick City foot print is a possibility as is Ford's Wixom location.

That's sacrilege!

[TorchRedCorvette]

I think they will not unionize. They will offer competitive wages without the responsibilty of paying for the retirees,pensions,layoffs,health care,etc.
They will start fresh,just as ISG Steel did when they took over LTV and Bethlehem Steel. Laid off guys were hired back, AND glad to be back.
Better than working in low-end low-paying jobs.
This may upset the UAW and it's members, but it will provide jobs in an industry that has been reducing employment.

[actionjack]

This is what could put Toyota at the top and make them King of the Hill:

"The customer is in charge now"

[evok]

Originally Posted by T-Type

That's sacrilege!

I think it is pretty smart!

And I sure as hell would bet any town/city/state government in MI including the two I mentioned will bend over backwards to get that plant if it comes to fruition.

A job is a job in a state that has a serious unemployment problem. I am sure Mayor Williamson in Flint would be happy to change the motto of the city to Toyota City to get a chance at another plant. 3000+ jobs are hard to come by. And I am sure many in the city will be happy to trade in their Buicks for Toyotas if it helps change the landscape and improve gound zero.

[Hudson]

Originally Posted by evok

I have heard that GM's old Buick City foot print is a possibility as is Ford's Wixom location.

The sale of either would, I believe, include UAW membership as a condition.

I don't believe that Toyota will actually open a plant in Michigan. Just the chance that the UAW would have a chance of organizing should scare off Toyota. They've got so many other areas where they could set up shop, close to their existing suppliers, and not have to worry about the union.

And I think they'll build, not buy. Wixom and Buick City are ancient plants. It would cost more to refurbish (or tear-down and start over) then it would to build a greenfield plant.