Category Archives: labor issues

UAW Has Tentative Agreement with General Dynamics

The UAW said today that it has reached a tentative agreement with General Dynamics – Electric Boat ahead of the UAW Marine Drafters strike deadline of midnight Sunday 18 May. “This agreement comes after an unprecedented mobilization from the union’s membership: 2200 members, or more than 90% of the bargaining unit, signed up to report for picket duty if a strike became necessary,” the UAW said. The five-year agreement, covering more than 2400 workers in Groton who design nuclear submarines, obtains a 30% wage increase over the life of the agreement and an improved wage progression. In total, MDA-UAW members will see a cumulative $115,000 increase in total compensation during the agreement. Continue reading

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GM 2025 Guidance – Trump Tariff Exposure $4-5 Billion!

General Motors (NYSE: GM) this morning issued its 2025 full year earnings guidance after a delay earlier this week caused by the ongoing chaos of the Trump tariff pandemic. While the goals and rhetoric  of the current mis-administration continue to fluctuate wildly behind a non-transparent word barrage of lies, false facts, and ignorant assertions, General Motors remains focused and amazingly consistent in stating its goals and steps taken to achieve them given the growing Trump disease infested swamp in Washington.

“We are updating our full-year EBIT-adjusted guidance to a range of $10 billion – $12.5 billion, including a current tariff exposure of $4 billion – $5 billion,” said GM Chair and CEO Mary Barra. “We look forward to maintaining our strong dialogue with the Administration on trade and other policies as they continue to evolve. As you know, there are ongoing discussions with key trade partners that may also have an impact. We will continue to be nimble and disciplined and update you as we know more.” Continue reading

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UAW Members OK Strike at General Dynamics Electric Boat

UAW President Shawn Fain and Local 571 President Bill Louis yesterday with more than a thousand union members announced a “major escalation” in the ongoing labor dispute at General Dynamics Electric Boat. The marine drafters, a highly skilled workforce responsible for designing the U.S. Navy’s nuclear submarine fleet, have voted to authorize a strike against their employer. The decision underlines growing frustration with the defense contractor, which has reported massive profits even as the workers behind a foundation of the nation’s nuclear deterrence fight for a contract that delivers on their priorities: fair pay, retirement security for all, and dignity on the job. Continue reading

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Michigan Governor Whitmer Offers Sensible Tariff Fixes

Michigan Governor Gretchen Whitmer today delivered her “Build, America, Build” speech in Washington D.C. Simply put, it was a plan to show both parties and federal officials how to build America’s manufacturing might, increase jobs, invest in people and protect our national defense. It was based on Whitmer’s proven approach – work with friends and compete against adversaries.

“Before we dig in to my proposals today, I need to acknowledge what’s going on with tariffs. I’m not going to sugarcoat it… these last few days have been tough for Michigan. 20% of our economy is tied to the auto industry, which depends on a steady flow of goods from our largest and closest trading partners. We’re home to THE busiest international border crossing in North America. More than 10,000 vehicles carrying parts and materials cross the bridge between Detroit and Windsor every weekday. Continue reading

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Two-Faced UAW Endorsement of Trump’s Tariff Wars

Late yesterday the UAW issued a complicated and nuanced endorsement of king Donald Trump’s imposition of tariffs on the auto industry. The 25% tariff covers cars and car parts or components imported into the United States. They are planned to take effect on 3 April, Trump decreed yesterday. Simply put roughly half of all vehicles sold in the United States are imported. Furthermore, ~60% of the parts used to assemble vehicles in the country are imported. Continue reading

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Trump Chaos – Voters Support Park and Forest Services

As part of recent budget cuts mandated by the Trump Administration’s Department of Government Efficiency, aka Trump Chaos 2.0, the U.S. National Park Service and U.S. Forest Service laid off more than 3000 workers across the country. From park rangers and environmental educators to locksmiths and trail maintenance and wildfire prevention workers, the layoffs impacted a wide-ranging group of workers.

However, new polling from Data for Progress* finds that strong, bipartisan majorities of likely voters hold favorable views of the U.S. National Park Service (75%) and U.S. Forest Service (74%). Continue reading

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FAA to Increase Air Traffic Controller Trainee Hiring

U.S. Transportation Secretary Sean P. Duffy today announced a new plan to increase the hiring of air traffic controllers. This announcement followed a tour of the Federal Aviation Administration’s (FAA) Academy at the Mike Monroney Aeronautical Center after a series of disastrous and fatal incidents under the unfriendly skies of Trump 2.0.

“Today’s visit reaffirmed how being an air traffic controller is one of the best, most rewarding jobs in America, and that the next generation at the Academy is the best in the world. I witnessed firsthand the dedication, skill, and rigor that our future air traffic controllers bring to their training and the urgent need to do all that we can to recruit more people to join in our shared mission of safety in our skies,” said U.S. Transportation Secretary Sean P. Duffy. Continue reading

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Michigan Governor Gretchen Whitmer Defends Auto Industry

“To grow Michigan’s economy and fight for the auto industry, I’ll work with anyone who’s serious about solving problems in Lansing or DC,” said Governor Whitmer. “Right now, there’s an ongoing, global competition between Michigan, China, and other states to build the future of the auto industry. To make sure we win, we need commonsense, bipartisan tools that create good-paying jobs and bring supply chains home. We must also find a fiscally responsible, sustainable solution to fix the damn roads work with our Canadian neighbors to ensure tariffs don’t lead to higher costs for families and businesses. Together, let’s create Michigan jobs, fix Michigan roads, and grow Michigan’s economy. The road ahead is bright, so let’s roll up our sleeves and get to work.” Continue reading

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Census Bureau – Varying Veteran Employment Outcomes

The U.S. Census Bureau today released an expanded version of Veteran Employment Outcomes (VEO), an experimental data product showing earnings and employment outcomes for veterans of the U.S. armed forces.

“Coverage includes labor market outcomes one, five and 10 years after discharge, by military occupation, rank, demographics, industry and geography of employment. Among the findings, veterans with more specialized military training and work experience had higher civilian earnings and employment rates than infantry and combat veterans,” Census said. Continue reading

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Significant 2024 Automotive Stories and Trends

Once again at the beginning of 2025 AutoInformed notes – matter-of-factly – that its vision is 20-20 on the consequences of long past occurrences. However, in the here and now our perception is cloudy. We do not have the advantages of historians re-assessing events years later with help from other news outlets, blogs, letters, memoirs, magazines and whatever new forms of expressed thought emerge. Thus far the most valued revisions and nuanced interpretations appear in books and essays after more documents and perspectives surface from the players or perpetrators engaged in them. These are not yet available, and under Trump 2.0 they would likely be banned anyway. Continue reading

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Volkswagen Settles – Union Jobs Safe Until 2030

Volkswagen AG (VOW.F) and its IG Metall* and Works Council employee representatives for Passenger Cars, Commercial Vehicles and Group Components as well as its Audi and other brands have concluded a joint agreement – dubbed ‘Zukunft Volkswagen’ (Future) – that guarantees jobs as it reduces production capacities at Volkswagen AG’s German locations. Ultimately, but not now, the workforce will be cut by more than 35,000 at Volkswagen’s German locations by 2030. This includes a newly formulated “job security plan” through to 2030 at the troubled automaker.

“Cost savings for Volkswagen AG of more than €15 billion per year in the medium term,” VW said. “Of this, over €4 billion per year will come from the present negotiations on labor costs, structural and production measures and plant utilization. Labor cost effects alone amount to €1.5 billion per year.” However, the capital markets remain skeptical taking a wait and see attitude about VW’s ability to compete with higher quality and less expensive brands. AutoInformed notes that this is a five-year bet on the come line or the promise that material cost savings will be secured. VW stock closed yesterday at €88.85. A year ago on 23 December it was €93.95. Continue reading

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Battery Electric Vehicle Sales In EU Slumping

Roughly half of all European markets saw a drop in battery electric vehicle sales through September 2024, compared to the same period in 2023. There was a slight improvement in Q3.

“This was contrary to consensus market projections. Battery electric vehicle sales in the EU experienced a year-on-year decline of 4% during the first nine months, prompting most OEMs to re-evaluate and rescale their investment plans and strategies towards electrification,” said Vivek Satheesh, a powertrain analyst at the respected  GlobalData consultancy. Continue reading

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Abgewürgt – Volkswagen German Collective Bargaining

The negotiating committees of Volkswagen AG and IG Metall Lower Saxony and Saxony-Anhalt held  negotiations on the 2024 collective bargaining round in Wolfsburg yesterday without reaching an agreement on plant closings or cutting labor costs. However, they did agree to meet again on 9 December 2024. (Read AutoInformed.com on: Large European Job Cuts Coming at Ford, Again, and Pablo Di Si Out at VW Group of America)

“We view it as a positive signal that the employee representatives have shown openness to reducing labor costs and capacity reductions. However, the counter-proposal they submitted must be judged on whether it creates both sustainable financial relief for the company and offers clear prospects for the workforce,” said Arne Meiswinkel, lead negotiator at Volkswagen AG. “For Volkswagen AG, the sustainable achievement of financial targets remains crucial in order to ensure competitiveness in an extremely challenging phase for the German automotive industry,” said Meiswinkel. Continue reading

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Large European Job Cuts Coming at Ford, Again

Ford Motor Company (NYSE: F) announced today its restructuring plans to create a badly needed more “cost-competitive structure.” The main focus is the health of Ford’s passenger vehicle business in Europe, where it incurred significant losses for years. Ford is also lagging in the European shift to electrified vehicles, and new competition – especially Chinese – has been disruptive. Through Q3 of 2024, Ford sales are down ~18% in Europe. Continue reading

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NLRB Rules Against Anti-Union Captive-Audience Meetings

The National Labor Relations Board today issued a decision in Amazon.com Services LLC, ruling that an employer violates the National Labor Relations Act by requiring employees under threat of discipline or discharge to attend meetings in which the employer expresses its views on unionization. Members Prouty and Wilcox joined Chairman McFerran in issuing the decision. Member Kaplan – a Trump appointee – dissented. Continue reading

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