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Strategies & Market Trends : Galapagos Islands -- Ignore unavailable to you. Want to Upgrade?

To: Oral Roberts who wrote (47500)	9/16/2003 10:18:44 AM
From: MulhollandDrive	Read Replies (1) \| Respond to of 57110

well marketwise it's good <g> does it seem to you that autoworkers are noticeably meek in their current round of contract negotiations? notice they give up jobs for "healthcare"..they see the handwriting on the wall and they're running scared. story.news.yahoo.com DETROIT, Michigan (AFP) - General Motors and Ford Motor Co. resumed talks with the United Auto Workers (news - web sites) after DaimlerChrysler struck a new deal as the Big Three US automakers' labor contracts expired. AFP-DPA/File Photo Union officials and the automakers were upbeat as they went back to the bargaining table in Detroit and Dearborn following the expiration Sunday of the previous four-year contract. "We're going to hammer away at the negotiations process until we reach agreement. Obviously in this business it's pretty hard to predict timing," said UAW President Ron Gettelfinger. Union officials and autoworkers put out the word through radio advertisements and phone-in lines that workers should stay on the job while negotiations continue. Earlier Monday, the UAW reached agreement on a tentative labor contract with DaimlerChrysler AG, capping nearly two months of bargaining. The new four-year contract covers some 63,000 hourly and salaried employees at the automaker's Chrysler Group, and requires ratification by UAW members. The terms of the agreement were not disclosed, but DaimlerChrysler officials said they were satisfied with the outcome of the negotiations. "We believe we have crafted a very fair and responsive agreement," said John Franciosi, the head of the DaimlerChrysler AG bargaining team. The Chrysler Group lost 1.1 billion dollars during the second quarter and DaimlerChrysler's bargainers had stressed the need for major improvements in efficiency and productivity throughout the negotiations, which began in mid-July. But all of the Big Three domestic manufacturers are looking for concessions from the union in light of their sliding market share and the increased competition from imports. Sean McAlinden, a labour economist with the Center for Automotive Research, a think tank in Ann Arbor, Michigan, believes the new contract will allow automakers to close plants to address excess capacity. McAlinden says North American plants have capacity to build 22.2 million vehicles in a market that can support no more than 20 million in annual sales and exports. The current contract prohibits closing US plants except in economic emergencies. "I think there will be a list of exclusions at all the companies, but they will now be able to either close plants or sell some to suppliers," he said. Previous contracts have required hiring replacements for most workers who retire, but McAlinden says that is likely to change. He predicts up to 50,000 workers that retire over the next four years will not be replaced. "That's the price of saving health care," said McAlinden. The UAW, historically one of the most powerful blue-collar unions, said in advance of negotiations that it was determined to hold the line on health benefits for its 302,000 working members and 485,000 retirees.