AD #2469 – Another Bad Look for UAW, Hub Motors Headed for Production, Ford & GM Lost Millions on Mobility

November 1st, 2018 at 11:40am

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Runtime: 6:59

0:32 UAW Uses Non-Union Labor to Build Former President’s House
1:14 Supplier Linamar Partners with Protean Electric
1:49 FCA Reports Good Q3 Earnings
3:03 Hyundai Announces New Design Leader
3:43 Ford & VW Talk AVs & EVs
4:02 Continental Works to Alleviate Traffic Jams
5:03 Ford & GM Lost Millions on Mobility Services

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23 Comments to “AD #2469 – Another Bad Look for UAW, Hub Motors Headed for Production, Ford & GM Lost Millions on Mobility”

  1. ChuckGrenci Says:

    My question on the UAW’s building with non-union labor goes a lot more elemental than the story; why the heck are they building this guy anything, hasn’t he been compensated for his service via salary/pay?

  2. Buzzerd Says:

    As a member of two unions I would be real interested why my union was building a house for anyone. It really sounds like the UAW needs a severe house cleaning.

  3. XA351GT Says:

    Wow , I am so shocked that the Union doesn’t want to pay for union work. Don’t get me wrong I think it’s great that they can great a great pay day ,but it shows that when there is a choice people won’t pay it. A friend of mine just reached journeyman in the Steamfitters and is now making nearly $60 @ hour. Now while I wish I got paid so well ,I wouldn’t want to be the one paying for it. That is a primary reason why illegals flock to the states because the pay rates that some people get are just more than the market wants to bear. The illegals will work for next to nothing and there are plenty that will pay for that. It is a razor edge trying to balance a good fair wage for the work required and getting fleeced by union rates . Great for the worker not so much by the consumer that makes no where close to that.


    What is wrong at the UAW? The basics of organization seem to have been lost along the way to the pig trough. Why is a retiring president that has been compensated at a very high level during his tenure being built a vacation home at union expense? Didn’t he save enough money to finance and build his own vacation home? How could the UAW hire non-union builders and expect that anyone would want to join the UAW from the plants owned by foreign car companies that are non-union now? If you are selling the advantages of being a union worked then their isn’t anything that is done by the UAW that shouldn’t be done by union contractors. This makes me sick…

  5. bradley cross Says:

    As for the UAW,
    All members are equal, but some members are more equal than others.

  6. Brett Cammack Says:


    The moral of the story is: “Join a union”

    The minimum wage today, factoring inflation and productivity increases, should be in the neighborhood of $24 an hour, just to put that $60 per hour in some prospective. A union has preserved for its members a equitable rate of compensation.

    Do we applaud them? Or do we applaud the policies of the past 40 years that have gutted the working class like a trout and led to the dangerous populism of today?

  7. XA351GT Says:

    Brett @ % , These kind of wages are the reason why companies are offshoring as many production type jobs as they can so they can maximize their greed. I’m not sure I follow your $24 @ hour rate for minimum wage I think more between $10-12 is where the inflation rate would actually take it to. Biggest thing to me is pay to skill level. Does someone working in fast food or a register in a store deserve $10-12 over someone actually needing skill and intelligence to build something? As soon as you start getting compensated for your ability your told you are too expensive and either replaced by a machine or it is sent overseas to be made by someone getting $10 @ week. So it’s a no win for the little guy trying to scrape by.

  8. BobD Says:

    Sean, on your comment of giving GM and Ford credit for posting their revenue and losses on their mobility activities, it is not “gutsy” but rather a requirement to disclose these numbers since they are public companies. The stockholders have the right to know what is going on with these risky investments.

  9. Kit Gerhart Says:

    5, 6 The UAW helped me from 1977-2001, even though I was a salary employee. The union negotiated wages, vacation, pensions, and health care, and we salary people got the same, or slightly better non-wage benefits. Our wages were, of course, based on our job classification, with increases based on evaluations, and yeah, a certain amount of “who you know.”

    I’ve lost track of how things are now, but I do know that, even the union workers today, are not doing as well as they once did. The non-union workers at the transplant factories are doing worse, even the ones building expensive vehicles for BMW and Mercedes-Benz. Germany is probably now the best place to work in the auto industry.

  10. BobD Says:

    Wheel motors will work for small EV commuter cars where unsprung weight is not much of an issue (there is likely a reasonable market for this in some parts of the world). They will not work on cars that require ride quality, handling, and performance.

  11. Larry D. Says:

    Auto sales numbers have been coming in for October today. I am sure you will all be Stunned (stunned, I say!) to hear that Ford, under the disastrous ‘leadership’ of clueless Hatchet, was down again, 3.9% (a little each month, but it adds up!) while FCA thanks to Jeep and Ram, up SIXTEEN Percent. that is for the WHOLE FCA, not just Jeep! FCA sold more than 199,800 units, make it 201,000 if you include Maserati. Ford barely sold 192,000!!! Even Toyota was surpassed by Chrysler, i wonder if prius buyers go upscale and pure EV and buy Model 3s. Nissan and Honda were also off, and the brand new LEAF EV had DISMAL sales. As I said many times, the dog does not like the Compliance Appliances Dogfood!

  12. Kit Gerhart Says:

    10 Chrysler is selling a lot of trucks, while Toyota is not. That is why FCA outsold Toyota.

    Prius buyers are going various places, including Model 3, Ioniq, and since Americans don’t care about fuel economy these days, probably to big SUVs and pickup trucks. I’m a Prius driver seriously considering going “upscale” with a Camry hybrid. It gets almost the mpg of a Prius, while it is more comfortable, quieter, and quicker. While I like the Prius being a liftback, I have other cars for the times I really need that capability. Toyota should make a Camry hybrid wagon, a no-compromise vehicle which would get essentially the same mpg as the sedan, but with more utility.

  13. Lambo2015 Says:

    I can understand the UAW using some non-union labor as some things are just not feasible. If they are installing Granite counter-tops it does not guarantee there will be a union shop available. But more importantly as pointed out by #1 Chuck why are they even building a retirement home. And its going to be owned by the Union? So that means the union will be paying the taxes and insurance? Is this going to be passed down to each president or will they build each one a new home?

  14. Kit Gerhart Says:

    12 Yeah, the national officers are well paid, maybe too well paid. They should be able to afford their own retirement home.

  15. Lambo2015 Says:

    #13 Well Michigan is a right to work state so I guess when union members start to opt out of the union dues for the ridiculous spending by their union leaders I guess they might see the light. But I wouldnt hold my breath.

  16. Kit Gerhart Says:

    14. With more and more “right to work” states, all unions will be dead, and we’ll be back to the days of Henry Ford’s hired thugs.

  17. Larry D. Says:

    10 Chrysler is selling a lot of trucks, while Toyota is not. That is why FCA outsold Toyota.

    Not the real reason. here are the FACTS:

    1. 70% of all sales in Oct were “trucks” but that includes Minivans, Crossovers, Large SUVs AND Pickups.

    2. I am not sure which of them you include in your “trucks” term, but regardless, Toyota has a FULL truck portfolio, covering ALL the bases, which FCA and even FORD do NOT cover, as for example, the TACOMA medium size Pickup, only GM has serious rivals to it.

    3. The “we make no trucks” excuse is NOT valid for Toyota or even Nissan, whose sales dropped even more, 11%.

    4. The REAL reason is that FCA makes dogfood the dogs WANT and EAT. JEEP has been a STELLAR success, and Ram is doing well too. Kudos to FCA, no excuses.

    5. The automakers who could LEGITIMATELY use this “we make no trucks” excuse are NOT Toyota and Nissan BUT Honda, Mazda (who again did even less unit sales than Tesla) and especially Kia, and it shows.

  18. Larry D. Says:

    15 “With more and more “right to work” states, all unions will be dead, and we’ll be back to the days of Henry Ford’s hired thugs”

    You really had to go back 110 years to defend the indefensible?

    Unions today are a far cry of what they were in 1900 and even in 1880.

    Back then their leadership was NOT corrupt and had no ties to criminal organizations, and the rank and file were truly Working Class poor people who needed a lot of help.

    Unions in the US Degenerated over time. Their leadership still may provide better salaries to their members, even better benefits (UNTIL their employer cannot compete and goes bankrupt), but their bosses are despicable and corrupt.

    The rank and file also have changed from working class to middle class with ridiculous salaries compared to their nonexistent education and very limited skills (the UAW just ASSEMBLE cars, they do not make the components),

    and this is exactly what is wrong in the US, crucial professionals like K-12 and even most University TEACHERS getting paid FAR LESS, instead of far MORE (for DESERVING ones) than unskilled UAW workers (esp if they put a little overtime),

  19. Kit Gerhart Says:

    10, 16. What I was referring to in number 10 was pickups. Ram outsells Tundra by what, 3 to 1. Yeah, they sell a lot of Jeeps, but Toyota sells a lot of Rav4s, Highlanders, and other crossovers/SUVs.

  20. XA351GT Says:

    My Father worked for a union plant building trucks for Autocar in the late 70s. When the recession hit the company asked the Union for temporary concessions until it rebounded. The Union bosses said no dice as they thought the company was trying to screw them. So when the company shut the plant down in Exton , Pa and moved it Utah . Everyone was screwed. Except the Union bosses who were relocated to other UAW plants. It took many workers years to find jobs that paid anywhere close to what they were making.

  21. Kit Gerhart Says:

    17 There was corruption in unions in the ’70s and ’80s too, both at the local and national levels.

    I don’t know when UAW production workers started making more than teachers, but it was a long time ago, and shouldn’t that way. When I was at GM, there wasn’t as much pay difference between production and skilled trades workers as there should have been.

  22. Brett Cammack Says:

    Not just inflation, but also productivity increases. Why should not improved productivity of the workers be rewarded?

    There are two sides to a contract negotiation. Nobody seems to fault the management for making stupid concessions, just labor for winning them.

    “Free Trade” is nothing but a race to the bottom.

    “I don’t see why people should be able to receive a living wage serving me cheap food.” Really? It takes 2.5 jobs at minimum wage to rent a 1 bedroom apartment practically anywhere. I’d pay an extra 50 cents for my McDonalds meal if the bloke making and serving it to me was making a decent wage that they could live on.

  23. Kit Gerhart Says:

    18. “(the UAW just ASSEMBLE cars)” You’d be surprised what UAW people do. Where I worked, they performed jobs in silicon wafer fabs that required quite a lot of skill and knowledge.