Ford and the UAW

Recent auto news stories say Ford Motor Company and UAW leaders have been in negotiations concerning contract renewal for months. Now, as union represented workers’ contracts are set to expire in the near future, another dispute still remains between the two sides.

In early 2010, UAW president Bob King filed a grievance against Ford with a stamp of over 35,000 hourly employee signatures. The complaint stated that when Ford restored tuition reimbursement, merit payments, and a 401(k) equal to salaried employees, it failed to do so for employees represented by the UAW.

These claims, however, may fall short of seeing substantial compensation from Ford. The company has always maintained the firm legal premise of managing the company however it saw fit. Precedent examples include the 2007 UAW contracts as well as revisions made in 2009 that stated Ford would keep the UAW informed of the company’s “equity of sacrifice” among shareholders.

The formal complaint had not gained much ground since it was first made well over a year ago, but now King and the UAW have brought attention back to the matter by calling for arbitration. An arbitration hearing is scheduled for September 15th, the day after the current four-year UAW contracts expire.

When asked about the negotiations, UAW representative Gary Walkowicz reasons that King will utilize contract negotiations to make whatever settlement Ford agrees to pay regarding the grievance seem more inflated than if it were dealt with autonomously. Regardless, Walkowicz expects the grievance to end with some moderate monetary payout by Ford in.

King’s complaints are placing thousands of employee jobs and wages on the line. Adding strain to already strenuous dealings risks the successful supplanting of UAW contracts come September.

In addition to these risks, the UAW has recently tried to display a positive, cooperative image of their relationship with Ford to transplants. Walkowicz stated that if these grievances brought about a strike at Ford, it would deteriorate both this new image and ultimately lose ground in contract negotiations.

The union has also portrayed Ford as a company that practices a “double-standard” in regards to their treatment of salaried and hourly workers. Further still, the UAW has berated Ford CEO Alan Mullaly for his hefty salary and multiple bonuses.

Walcowicz projects the only way for King to achieve a transplant is to reduce additional controversy infamous of prior UAW dealings, and focus on maintaining its new cooperative temperament.

Car research says Ford has been doing very well as of late with many news models with the Ford Focus November 2010 Sales at : 13,030 up 22.5%. The Focus S has an invoice price of 20,196 and an MSRP of 21,850.

Car videos of the new Ford Focus show it's availible in both a hatchback and a sedan.

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