UAW President Bob King: “Wages Not Livable.”

UAW’s president Bob King breaks the ice and cuts straight to the chase when negotiating with the Detroit Three for higher entry-levels wages and improvement of the parts suppliers’ business relation. Also, he explained that the $14 an hour wage which most entry-levels workers receive at the Detroit Three is not “a livable wage.”

A $14-an-hour wage translates into $29,120 annual income for an individual worker. Also, the Detroit Three can afford to pay its workers better or could face the threat of losing them in favor of better jobs if there will be no improvement made regarding their issues. “We’ve got to raise those wages so workers will want to stay and workers can support their families by working full-time in the auto industry,” Bob King was quoted as saying by Automotive News.

It is worth mentioning the fact that Chrysler has the most entry-level workers. Detroit Three smallest manufacturer’s entry-level workers earn wages and benefits that are half those of traditional UAW-represented auto workers. Figures revealed the fact that out of 23,000 US hourly work force about 5,000 are entry level. Among those Ford Motor Co. has about 2,000 entry-level workers and temporaries out of 41,000 US hourly workers. King explained that the compensation of parts supplier workers also is a big issue.

He said that the UAW is trying to avoid Detroit Three’s counterparts to pay suppliers more for parts so they can pay their workers more. “We have to collectively find solutions so that the supplier companies are getting a fair price so they can be viable long-term and, in turn, pay their workers a good, middle-class standard of living,” Bob King, UAW President was cited by the aforementioned source.  Source:  Dragos Serban.  Autoevolution.


Posted on August 22, 2011, in Labor Relations and tagged , , , , , , , , , . Bookmark the permalink. Leave a comment.

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