I recently read a good free press article. It discusses the gap between unionized and non-unionized labor costs in U.S. Automotive Plants. Unionized plants in Michigan are at a competitive disadvantage when compared to non-unionzed plants further south. The cost of negotiating and maintaining relations with a union was rated at almost $10 per hour per worker, which is a huge sum. I worked at an assembly plant for two summers in a row and the pay was fantastic. The only downside I ever found was the deducted union dues I was forced to pay. These dues supposedly went to help increase my pay and benefits, but in reality helped fund extra overhead that in turn hurt my pay and benefits. Now UAW negotiations are coming up and the president has already technically said "no concessions on benefits or pay." You'd think a large group like this would eventually figure out they are driving themselves out of existance. As the employer loses marketshare due to this competitive disadvantage, production is cut back and jobs are lost. A simple equation Union negotiators seem to be ignoring. In a time when the majority of the world participates in 401k programs and high co-pays for benefits, the union prefers to do as they please for as long as they please without regard to changing market conditions. It would be a shame if all of Michigan's automotive plants closed down as a result of this elitist attitude. Unfortunately the article won't be read by any unionized members since the paper itself is non-union. How unfortunate such closed minds persist in positions of power.
User Comments for 08-27-2003:
I am forced to see the new detroit union sculpture on my way to work everyday to Detroit. It always reminds me how people in the Unions don't have to work as hard, get over paid and take extended breaks, so we end up paying $30,000 for a car that really should cost $12,000. God bless Unions : / Stavos |
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Visit www.detroitarchive.com
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(end plug) DA fan |