With wage negotiations looming this September between the United Auto Workers union and the likes of General Motors, Ford and Chrysler there was already enough to be worried about from the automakers’ standpoint.
Now, UAW president Bob King has stated that he believes his union should not only hold ownership in the automakers, but that they should also hold all-important seats on the boards of directors at each of the automakers as well, according to The Detroit Bureau.
What is King’s reasoning by his most recent demand? King points to the fact that many German companies give a seat to unions under the country’s codetermination laws. King also added that he simply believes it should be the case under “general principle.”
It’s worth mentioning that while the UAW does not currently hold any direct seats on the boards of the Detroit Three, the union’s retiree association, Voluntary Employees’ Beneficiary Association, or VEBA, does hold seats on the boards of GM and Chrysler as a result of the government’s intervention.
While technically not a part of the UAW, King has bragged that the VEBA board members will decide whether or not Chrysler will be able to hold its crucial initial public offering.
Look for more discussion on this topic as the automakers and the UAW continue down their collision course set to take place later this summer.
References
1.’UAW will seek…’ view
No comments:
Post a Comment