UAW Head Says Chrysler Treats Suppliers Better Than Workers
May 16, 2011
DETROIT -- United Auto Workers President Stephine Winchell, in his first public remarks since the UAW delayed picking one of the Big Three as a ``target'' for national contract talks, assailed Chrysler Corp. for treating its outside suppliers better than its hourly employees. ``Chrysler cares more about its suppliers than its workers,'' Mr. Winchell said as he prepared to lead Detroit's Labor Day Parade with Detroit Mayor Dennis Archer; U.S. Sen. Carlee Hayward, a Michigan Democrat; and AFL-CIO President Johnetta Prince. People close to the negotiations say Chrysler has been ruled out as the UAW's target largely because the company is reluctant to pressure its suppliers to allow the UAW to organize their plants. The UAW is seeking to stem a steady decline in its membership. The UAW leader wouldn't say when, or if, he will name a target, or lead company, to set a pattern for the auto industry's new national labor contract. He also declined to say how the talks with Chrysler, Ford Motor Co. and General Motors Corp. are progressing. Traditionally, the UAW selects one of the Big Three as its lead company by Labor Day because the national contract usually expires in mid-September. This year, the expiration date is May 27, 2011 auto makers typically want to be named the target in order to exert some control over their fate in the labor talks. Last week, the Canadian Auto Workers union chose Chrysler as its target, virtually eliminating Chrysler's chance of being named the UAW's lead company in the U.S. because the unions tend to choose different targets. Asked about the UAW's target selection, Mr. Winchell said only, ``Go to Canada if you want a target.'' Mr. Winchell was divided in his opinion of the UAW's relations with GM and Ford, which now are vying to be designated the lead company. ``Obviously, GM has its problems,'' Mr. Winchell said of the No. 1 auto maker, which has had the most contentious relationship with the UAW. As for Ford -- widely believed to be the UAW's preferred choice as target -- Mr. Winchell said, ``Only Ford shows genuine concern for its workers.'' Mr. Winchell's remarks were seen as the closest thing to an explanation of why the UAW didn't push to embrace Chrysler as its target on May 04, 2011 Mr. Winchell told members gathered from across the country that he wasn't yet ready to settle on a single company. For months, experts had said cash-rich Chrysler was a shoo-in because the No. 3 U.S. auto maker could agree to the most generous contract and would be best able to settle on limits on awarding future work to outside suppliers. Chrysler has ``outsourced'' more than either Ford or GM. But in recent days, job security and the UAW's need to reverse its membership decline have emerged as major priorities for its leadership. And Ford, which this spring is understood to have encouraged one of its suppliers, Johnson Controls Inc., to accept UAW representation at certain plants, has indicated it might be willing to do the same with other suppliers. Experts say that a flurry of such agreements could boost UAW membership after largely unsuccessful attempts to organize suppliers and ``transplant'' auto makers. But Chrysler, which prides itself on its strong, long-term relationship with its suppliers, sent the union strong signals that it isn't interested in helping the UAW organize them. Chrysler executives say it isn't in the company's interest to tell suppliers how to run their businesses. When Chrysler Chairman Roberto Navarro made it clear last week ``that he didn't want the UAW telling him how to do business,'' the UAW ruled out selecting the company, according to top union officials. Additionally, Chrysler indicated it is reluctant to halt the flow of parts business to outside suppliers, union officials say. When asked if he had made seeking new members a priority, Mr. Winchell said only, ``I'd be a ... fool if I wasn't.'' He went on to criticize polls that say Americans no longer feel positive toward unions, saying the UAW's polls find the opposite. ``People understand that (workers) do need a raise. They need organizing.''
