|
|
Published: March 18, 2011 3:00 a.m.
New boss, same GM work – and pay – for haulers
Sherry Slater | The Journal Gazette
FORT WAYNE – Some local transport workers on Thursday transferred to a new employer after a week of behind-the-scenes wrangling.
But those members of Teamsters Local 414 will continue to play a role in moving new Chevrolet Silverado and GMC Sierra pickups from the Allen County truck assembly plant to dealership lots.
Allied Automotive Group last week notified union leaders their employees’ pay was being cut by 20 percent, Teamsters Local 414 President George Gerdes said. The union responded with a 72-hour strike notice, he said.
Allied transports vehicles for several carmakers, including Ford, Chrysler, Honda and Toyota.
“The gist is, (Allied) couldn’t afford to pay us the full rate on what GM was paying them,” Gerdes said.
GM corporate spokesman Dan Flores said Allied decided to discontinue service to the Allen County plant. Flores didn’t have additional details except to say no production disruptions are expected.
General Motors Co. is a new company formed after General Motors Corp. filed for bankruptcy reorganization in mid-2009 and shed much of its debt by renegotiating various contracts. GM’s production workers have accepted concessions in recent years, including forgoing cost-of-living raises.
GM still owes $36 billion from a $49.5 billion federal bailout. Taxpayers own about one-third of the company.
Ford Motor Co. renegotiated its contract with Allied Automotive, agreeing to increased terms, Gerdes said. But GM declined to do the same, he said.
Allied Automotive decided to stop shipping cars from all GM factories, Gerdes said. But competitor Jack Cooper Transport was able to reach a deal with GM to take over the duties, CEO Bob Griffin confirmed.
Because the Teamsters supply workers to both transportation companies, the same workers will continue moving pickups at GM’s Allen County plant. They will draw paychecks from Jack Cooper instead of Allied.
Workers’ duties include moving trucks from the end of the production line to either the rail or truck area.
Despite the employment switch, the union members will work under the same contract and retain seniority and holidays, Gerdes said. Wages average $20.50 an hour, he said.
“We’re flexible,” he said. “We’re not trying to shut GM down.”
Griffin, who is based in Kansas City, Mo., said Jack Cooper already had a presence in Fort Wayne. The company also had enough transport trucks to keep up with the increased workforce and workload, he said. He doesn’t believe anyone will be left without a job.
Jack Cooper has a 50-year business relationship with GM, Griffin said, and details are still being finalized on the new minimum three-year agreement.
Griffin declined to speculate why Allied couldn’t honor the union contract based on what GM will pay.
“I really can’t answer why they can’t handle the business but we can,” he said. “It will be very profitable to us.”
|
|
|
|
