Major Gains on Job Security
MOPAR Units
In a major victory for UAW members, UAW bargainers resisted the company’s demand for sale or closure of the MOPAR Parts Distribution Centers (PDCs). Work at these facilities will remain in place for members of the salaried bargaining units.
Enhanced Opportunities for Insourcing
During these negotiations, the UAW worked to improve the ability of UAW Chrysler local unions to develop competitive business plans to insource work to their facilities.
The company committed to several specific steps to work together with the union to identify insourcing opportunities for UAW Chrysler workers including:
• Local JSOES Committees will now include Office, Clerical and Engineering Unit Chairs.
• An enhanced exchange of information, including agreement to provide all relevant financial and cost data used to develop the cost of performing work in-house instead of outsourcing.
• Electronic exchange of the “work similar” list three times a year, to identify work similar to work already being done in UAW Chrysler facilities. It will now include yearly volumes and the plants supplied.
• Union involvement at the earliest possible stage of sourcing decision, such as when a “Make/Buy” study is initially requested.
• Providing greater opportunity for the union to make an alternative business case for keeping work in house when jobs that were temporarily offloaded are subsequently considered for permanent outsourcing.
• Meetings between union and company representatives to expedite resolution of sourcing-related problems.
Local 509 Gains Union Recognition
In a major win for the collective bargaining rights of UAW members, the salaried bargaining unit of Local 509, which represents workers at the proving grounds located in Wittman, Ariz., will be recognized at the new facility in Yucca, Ariz., in the same manner as currently recognized at the existing proving grounds.
Staffing levels for the facilities are not yet known. Once staffing levels are available, however, this information will be discussed with the union.
SWESS/SUB Increased and Improved
Our UAW bargaining committee secured an agreement that maintains the Salaried Workers Employment Security System (SWESS) and SUB funding cap. In addition, the maximum benefit will be increased from $195 to $200 weekly for hourly workers, and $209 to $214 to salaried workers. Laid-off workers are entitled to 95 percent of their weekly after-tax pay minus $30.
Because the Guaranteed Income Stream (GIS) program has been dormant for some time, the parties agreed it will be eliminated. However, in the event that these funds are exhausted before the expiration of the 2011 agreement, the GIS program will be immediately reinstated under the terms of the 2003 Supplemental Agreement.
Plant Closing Sale and Moratorium
Chrysler has agreed that it will not close, idle, nor partially or wholly sell, spin off, split off, consolidate or otherwise dispose of, in any form, any plant, asset or business unit of any type beyond those which have already been identified.
The following facilities have been identified by Chrysler as exceptions to the plant closing and sale moratorium: Newark Assembly, Detroit Axle, Fontana PDC, Conner Avenue Assembly and Sterling Emissions (SHVTC.)
All eligible employees at these facilities will continue to be fully covered by the individual protections provided by the SWESS program.
Promotions, Training to Prevent Outsourcing
During these negotiations, the parties agreed to a mutually beneficial program that will make available short-term manpower to bridge peak workload requirements in the advance stamping manufacturing engineering development process. At the same time, development and training will be provided to UAW skilled trades tool-and-die workers who wish to be considered for future promotional opportunities to the 311 classifications, tool and die design.
This will provide promotional opportunities from within the UAW ranks and prevent outsourcing actions by the corporation.
Enhanced VTEP for New Process Gear
During these negotiations, the company agreed to replace the contractual Voluntary Termination of Employment Program (VTEP) offering as agreed to on Sept. 8, 2003 with an enhanced payment of $100,000 and basic health care coverage for six months. The enhanced VTEP will be offered to eligible UAW New Process Gear employees in both the hourly and salaried bargaining units.
All other provisions of the Sept. 8, 2003 letter remain in effect.
A.T. KEARNEY — MRO
During these negotiations, the parties agreed to insource Tool Stores work in certain plants. To achieve this, the parties agreed to offer placement in these locations to 20 Huntsville Chrysler-SBU employees and restore them into the plant Tool Stores follow-up process. All terms and conditions of the Huntsville Divestiture Agreement will apply.
This action is expected to be completed by the second quarter of 2008.
Placement Opportunities for Huntsville Engineering Units Members
During these negotiations, the union persisted in the company’s obligation to find placement opportunities for the remaining Huntsville Salary Bargaining unit members. The company agreed to offer placement for up to 60 employees currently in Huntsville to fill positions in certain identified classifications in Vehicle Engineering Scientific labs and the Proving Grounds. This will be accomplished by the end of the second quarter of 2008. All the terms and conditions of the Huntsville Divestiture Agreement will apply.
New Hire Plan
In an effort to secure employment opportunities for future salaried bargaining unit employees, UAW negotiators and Chrysler agreed upon language that would allow for a more favorable labor cost justification, thereby increasing insourcing opportunities and creating opportunities for subsequent manpower additions.
The plan will be jointly developed within 120 days of ratification of the 2007 agreement.