UAW Has Big Plans For 2011 Contract Talks
As the UAW heads into a contract year with Ford, GM and Chrysler, there are reports that the union could be looking for representation on the three companies boards of directors.
New UAW President Bob King has told the industry publication Automotive News that this is something the union has sought in the past, and that having a representative on a companies board, could be a reflection of a newfound cooperation between union and management. King says this type of system works particularly well for German auto companies.
The union's VEBA—the retiree health care trust fund—currently has representation on the General Motors board. But the VEBA's ownership in GM shrunk with the companies recent Initial Public Offering of stock.
The VEBA has a majority stake in Chrysler. But that will also be reduced as Chrysler puts its stock on the market this year.
Board representation will be only one goal as the union heads into the 2011 contract talks. King has said in the past that he wants union members to share in new profits at the companies. Ford and GM are currently making money. Chrysler is close to returning to profitability.
Profit sharing has been talked about as a way for the companies to reward workers for sacrifices, but tie that reward to the auto makers performance in the marketplace.
The concessions given by UAW workers during the recession, King says, averaged between $7,000 and $30,000 per worker.
The 2011 contract talks will begin with a UAW bargaining convention in the spring. The formal negotiations will begin in the summer. The current contract expires in September.
