AXLE ALLIANCE
UAW Reaches National Agreement With Supplier
It’s the first new, multiplant contract negotiated by the UAW in 20 years — and could serve as a model for the union’s other supplier sector agreements.
The UAW and Axle Alliance Co., a DaimlerChrysler AG subsidiary that makes axles used in Freightliner vehicles and Thomas Built Buses, announced the national agreement Oct. 11. The company also plans to spend $30 million expanding its production center in Redford, Mich., and another $10 million on a new assembly plant in Kings Mountain, N.C. The expansions will boost the current workforce of 200 to more than 500 within the next two years.
“We’re proud to join with Axle Alliance to preserve and expand manufacturing jobs in America,” said UAW President Ron Gettelfinger. “Some companies claim the only way to succeed is to move overseas, but this agreement shows how our union can add value, promote good union pay and benefits for our members, and help employers compete in the global marketplace.”
The original agreement was negotiated with UAW Local 163 members in Redford last February. The national contract will be extended to workers in any additional Axle Alliance plants, once they choose UAW representation.
“It reflects a shared vision of excellence on the shop floor which will benefit our members and the company,” said UAW Vice President Bob King, who directs the union’s Independents, Parts and Suppliers Department.
Christof Traidl, the company’s president and CEO, has a history of working well with the UAW. “Everyone in North Carolina knows I am pro-union,” he said. “It’s what I believe in.”

