Ford, GM may use offshoring as leverage in UAW talks - Kansas City Business Journal (blog)
The timing of General Motors pondering the importation of a Chinese-built Buick crossover vehicle and Ford Motor Co. moving some production out of the U. S. isn't being lost on the United Auto Workers. Ford and GM employ about 10,000 hourly workers at their Kansas City-area production plants, so the effect of these negotiations on the area economy can be huge. The last deal was signed in 2011, an economically difficult time for the automotive industry, which caused the UAW make several concessions to help their employers bounce back. In return, Ford and GM upgraded their plants and hired more workers, which in Kansas City equated to more than $1 billion of investment and thousands of new jobs. Essentially, the automakers are implying that the UAW may have to choose between higher pay and benefits — or more domestic jobs. For GM, the car in question is the Buick Envision, which is built only in China and has been experiencing solid sales there. It's a midsize crossover, between the small Buick Encore and the large Buick Enclave. Cindy Estrada , vice president of the UAW's General Motors department, wasted no time blasting the company for even considering importing a Chinese-made Buick, calling it "alarming" and arguing that GM should stick with its earlier declaration to... Source: www.bizjournals.com
