Autoblog

Report: NUMMI and UAW seeking closure through cash

Chris Shunk — Wed, 17 Mar 2010 16:27:00 EST

Filed under: Plants/Manufacturing, Toyota, UAW/Unions

Thanks to the hard work and solidarity of the United Auto Workers union, Detroit automakers have for years known that it is extremely expensive to offer early retirements, entice workers to walk away from their jobs or permanently close the doors at a plant. And even though NUMMI is an independent company, Toyota, too, is now fully aware of the financial pain involved in mothballing a factory for good. The Freemont, California NUMMI plant became expendable after General Motors cut ties with the company during its bankruptcy proceedings, leaving Toyota with more capacity than it needed.

A report from the Silicon Valley Mercury News indicates that the UAW and NUMMI have reached a tentative agreement on a separation package valued at $281 million, or about $60,000 for each and every member of the 4,700 worker plant. The original proposal was valued at $253 million, with $168 million for hourly workers and $85 million for salaried employees.

While $60,000 sounds like a king's ransom to simply walk away from a job, the number isn't as impressive when considering national unemployment at close to 10 percent. After all, it's not exactly as though there are plenty of quality manufacturing jobs out there - even when times are good.

With NUMMI scheduled to shutter on April 1, we can see why some workers are anxious to close the deal. NUMMI employee Scott MacMillan reportedly told the SVMN that workers are dissatisfied with the amount of information the UAW is giving workers, adding "that has caused a lot of frustration for the employees." NUMMI UAW workers are scheduled to vote on the separation package later today.

[Source: Silicon Valley Mercury News | Image: Justin Sullivan/Getty]

Report: NUMMI and UAW seeking closure through cash originally appeared on Autoblog on Wed, 17 Mar 2010 16:27:00 EST. Please see our terms for use of feeds.

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Report: Geely may need to come up with $1.4B to fix damaged Volvo after purchase

Chris Shunk — Fri, 12 Mar 2010 10:28:00 EST

Filed under: Ford, Volvo, UAW/Unions, Geely

It's going to cost up to $2 billion for Zhejiang Geely Holding Group Co. to take ownership of Volvo, but according to a new report out of BusinessWeek, that lofty figure is just the cost of entry. Volvo union members and the board have apparently told the Chinese automaker that it will need at least $1.4 billion to repair the storied Swedish automaker.

Union head Glenn Magnusson reportedly says the money will be needed for the next year's product development, marketing, production and distribution. Magnusson tells BW that Geely has yet to demonstrate that it has the financials to sustain Volvo, adding "we haven't seen anything yet and we're not satisfied."

Further, Volvo board member Magnus Sundemo feels $1.4 billion may be a little low, adding that Geely will need to invest "at least as much as they're paying to buy us." One reason Volvo insiders feel the company will need plenty of cash is to satisfy Geely's desire to build up Volvo in China, with the goal of assembling 200,000 vehicles per year in The Land of the Great Wall.

Ford Motor Company and Geely, who have been in talks seemingly forever, are looking to get a deal done by the end of March. Regulatory filings are expected to draw out the process of officially handing over ownership of the Swedish automaker to June 30 at the earliest.

[Source: BusinessWeek]

Report: Geely may need to come up with $1.4B to fix damaged Volvo after purchase originally appeared on Autoblog on Fri, 12 Mar 2010 10:28:00 EST. Please see our terms for use of feeds.

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Toyota commits $250 million to aid with NUMMI transition

Steven J. Ewing — Wed, 03 Mar 2010 18:31:00 EST

Filed under: Plants/Manufacturing, Toyota, UAW/Unions

The present Toyota recalls have been garnering a vast amount of media attention, but no one has forgotten about the automaker's earlier decision to end its production contract with California's New United Motor Manufacturing Inc. (NUMMI). Just recently, Toyota issued a press release stating it will commit $250 million to support the NUMMI plant closure that, as we reported earlier, will mean a direct loss of 5,400 jobs and up to 50,000 jobs at suppliers and other supporting businesses. Don't blame Toyota entirely, however, as the plant was originally established as a joint venture between General Motors and Toyota, but GM pulled out first during its time in bankruptcy last summer.

Toyota says its financial support will aid in providing bonuses to both salaried and hourly NUMMI employees at the plant. The funding, however, is still subject to current negotiations between the UAW and NUMMI. Jim Wiseman, Group Vice President of Toyota Motor North America issued this statement:

"Although NUMMI is an independent company, Toyota has made a significant financial commitment to help ensure that production continues as smoothly as possible and that team members receive transition support. We hope that NUMMI and the United Auto Workers will reach an agreement soon, so that NUMMI's UAW team members can benefit from the transition support that we have committed to funding."

NUMMI currently produces both the Corolla and Tacoma for Toyota. Earlier reports state that Corolla production will be moved to the automaker's Cambridge, Ontario factory, and the Tacoma will be shifted to Toyota's San Antonio, Texas facility. Toyota's production contract with NUMMI officially ends in just a few weeks on April 1st, which is no joke to the workers who won't be building the cars the next day. Follow the jump to read the official press release.

[Source: Toyota | Image: Justin Sullivan/Getty]

Continue reading Toyota commits $250 million to aid with NUMMI transition

Toyota commits $250 million to aid with NUMMI transition originally appeared on Autoblog on Wed, 03 Mar 2010 18:31:00 EST. Please see our terms for use of feeds.

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Welcome Home: Chrysler buys back plant from itself for $20M

Chris Shunk — Mon, 22 Feb 2010 09:00:00 EST

Filed under: Hirings/Firings/Layoffs, Plants/Manufacturing, Chrysler, Dodge, UAW/Unions

When General Motors and Chrysler were going through bankruptcy proceedings last spring and summer, we learned of several plants that were tagged for closure. Any time a plant closes, it's a huge blow to the area around the plant, as UAW factory jobs provide a good standard of living for thousands of area residents. Among the plants scheduled for moth balls was the Sterling Heights, MI facility that currently produces the Dodge Avenger and Chrysler Sebring, but a report from Automotive News shows that the plant may have new life.

Chrysler is reportedly buying the Sterling Heights plant back from the shell company set up to sell off Team Pentastar's bad debt. According to bankruptcy court documents, the facility reportedly fetched a sale price of $20 million; a mere fraction of the cost of a new plant, which can siphon a billion dollars or more. Old Carco, LLC reportedly didn't have any other offers for the plant, which was valued at up to $21 million. The move will likely ensure that the Avenger and Sebring will receive their purported major refresh and continue on the market for the foreseeable future. Also relieved are the 1,200 union and salaried employees who work at the plant.

[Source: Automotive News - Sub. Req'd]

Welcome Home: Chrysler buys back plant from itself for $20M originally appeared on Autoblog on Mon, 22 Feb 2010 09:00:00 EST. Please see our terms for use of feeds.

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Report: UAW, Teamsters plan D.C. rally against Toyota over NUMMI plant closing

Jonny Lieberman — Thu, 28 Jan 2010 13:27:00 EST

Filed under: Japan, Plants/Manufacturing, Recalls, Toyota, UAW/Unions

How much Toyota news can you take in one week? Put another way, how much negative press can Toyota absorb? First there was the massive recall, then there was the sales and manufacturing freeze. And now there's ~~this~~ this: The UAW and the Teamsters are planning to rally outside the Japanese Embassy in Washington D.C. and accuse the world's largest automaker of being, "a danger to America."

This might sound like the plot of a James Ellroy novel to some, but here's the interesting/crazy part. The UAW/Teamsters alliance is not protesting ToMoCo because of the manufacturer's gas pedal woes. The two unions are rallying because Toyota is shutting down the New United Motors Manufacturing (NUMMI) assembly plant in Fremont, CA. Here's what the UAW/Teamsters are saying:

[The NUMMI closure] will mean a loss of 5,400 direct jobs and up to 50,000 jobs at suppliers and other supporting businesses. This would be the biggest factory layoff in California since the beginning of the recession. Toyota is also endangering 5,000 middle-class jobs in the car haul industry.

What's a little curious to us is the timing. While the planned protest ostensibly has nothing to do with Gas PedalGate, the timing really is suspicious. Sort of a kick 'em while they're down situation. After all, we've all know about NUMMI's fate for many months. Why this week? Anyone else get the feeling that somewhere, somehow Jimmy Hoffa is smiling?

[Source: Detroit Free Press | Image: Getty]

Report: UAW, Teamsters plan D.C. rally against Toyota over NUMMI plant closing originally appeared on Autoblog on Thu, 28 Jan 2010 13:27:00 EST. Please see our terms for use of feeds.

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GM announces plans to close Opel Antwerp facility

Michael Harley — Sun, 24 Jan 2010 14:19:00 EST

Filed under: Europe, Government/Legal, Hirings/Firings/Layoffs, GM, Earnings/Financials, Opel, UAW/Unions

General Motors is closing down its Opel plant in Antwerp, and forfeiting up to €500 million (about $707 million) in aid the Flemish government had promised if the operation had remained open. The action is expected to take place over the next few months. Shutting down Antwerp is just one part of GM's restructuring program for its European operations - underway for a year now. All told, the automaker estimates it will have to cut 8,300 jobs, including 4,000 in Germany alone. According to GM, Opel needs to cut its production capacity by 20 percent to remain viable; the the Antwerp facility made models that could be built elsewhere.

The plant closure is one of the first in Europe since the financial crisis began two years ago. As expected, it is being met with controversy. GM's European works council (EWC), a cross-border trade union corporation, calls the plant closure a "one-sided and economically unreasonable approach." They accused GM of breaking an agreement to bring production of a small SUV to Antwerp (it'll be made in South Korea instead). Enraged over the loss of their 2,606 jobs, the line workers at the Antwerp facility organized an impromptu blockade to prevent new cars from leaving the factory earlier this week.

[Source: The Financial Times]

GM announces plans to close Opel Antwerp facility originally appeared on Autoblog on Sun, 24 Jan 2010 14:19:00 EST. Please see our terms for use of feeds.

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Report: UAW considering selling famed Black Lake compound

Jonny Lieberman — Mon, 18 Jan 2010 18:01:00 EST

Filed under: Earnings/Financials, UAW/Unions

The United Auto Workers is many things to many people. To some, it's the reason why all of our manufacturing hasn't been shipped over to China. To others, UAW added costs are the reason why American cars can't compete with imports. Whatever your opinion, the facts are that the UAW is not nearly as strong as it once was. Back in 1979 the UAW claimed 1.5 million members on its rosters. In 2008 that number shrank to just 431,000 souls.

Obviously, something's got to give. And the UAW did give a little, agreeing to partially fund its Voluntary Employees' Beneficiary Associations (VEBAs) with GM and Chrysler shares (as opposed to cash) when both automakers went bankrupt in 2009. Even more obviously, that's just not enough.

Meet the UAW's Black Lake compound. It sits on just over 1,000 acres in Onaway, Michigan. The main lodge was built back in the 1930s by a Detroit advertising executive. Desi Arnaz and Lucille Ball spent their honeymoon there. Notorious ex-boxer, Union buster and Henry Ford's right hand man, Harry Bennett was once late to a bargaining session because he was vacationing at the Black Lake. Bennett even showed photos to the UAW folks. UAW leader Walter Reuther replied, "after the revolution we will own that place."

And in 1967, that's exactly what happened. Purchased by the UAW to be a family education center, Black Lake was even given a world-class golf course in 2000 (ranked #34 in the world by Golf Digest). Trouble is, since 2005 Black Lake has lost $23 million. Obviously, with the state of not just the UAW but American auto making in general, this sort of extravagance won't stand. Says current UAW President Ron Gettlefinger, "We regret that current financial conditions require us to explore the possible sale of the property." The real stumbling block is Michigan's severely depressed real estate market, which might make selling Black Lake a less than profitable endeavor.

[Source: The Detroit News | Image: Black Lake Golf Club]

Report: UAW considering selling famed Black Lake compound originally appeared on Autoblog on Mon, 18 Jan 2010 18:01:00 EST. Please see our terms for use of feeds.

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Ford completes transfer of retiree healthcare to VEBA, makes extra $500M payment

John Neff — Mon, 04 Jan 2010 16:57:00 EST

Filed under: Ford, UAW/Unions

Everything's coming up roses for Ford. That's what we keep hearing in the news anyway. Ford can now add one more feather to its cap of accomplishments with today's announcement that it has completed transferring all of its retiree healthcare obligations to the VEBA trust run by the United Auto Workers union. The official press release from Ford after the jump is dense, but the gist is that Ford has made its required payments to the VEBA fund and thrown in an extra $500 million payment that isn't due until later for good measure. That last part not only gets The Blue Oval ahead of the game, but also demonstrates the degree of confidence that Ford has in both its turnaround plan and what its balance sheet will look like in the coming years.

The net effect of this news is that Ford can practically erase retiree healthcare off its books. Sure, the company takes a big hit now with the billions of dollars it just paid into the UAW-run VEBA account, but over the long term Ford won't be forced to roll the rising cost of retiree health care into the price of its vehicles. Both General Motors and Chrysler LLC have the same obligation as Ford to pay into VEBA accounts and transfer control of retiree healthcare to the UAW, but neither has completed that process to date.

[Source: Ford | Source Image: Bill Pugliano/Getty]

Continue reading Ford completes transfer of retiree healthcare to VEBA, makes extra $500M payment

Ford completes transfer of retiree healthcare to VEBA, makes extra $500M payment originally appeared on Autoblog on Mon, 04 Jan 2010 16:57:00 EST. Please see our terms for use of feeds.

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REPORT: GM to depart with form and run certain plants around-the-clock

Michael Harley — Wed, 23 Dec 2009 10:59:00 EST

Filed under: Plants/Manufacturing, Buick, Chevrolet, GM, Earnings/Financials, UAW/Unions

Two weeks from now, General Motors will start running its Fairfax assembly plant continuously on a permanent basis. The unprecedented around-the-clock operation, following on the heels of the temporary third shifts a few months ago, is intended to boost the plant's production from its current 4,500 vehicles per week to 6,300 units over the same period.

Operating around-the-clock is no simple feat. Experts point out that automotive assembly lines require a lot of scheduled maintenance, cleaning, and restocking - tasks that are usually accomplished during the down periods between shifts. Typically, car makers add second shifts on a temporary basis when the market demands more vehicles. Third shifts are common for part suppliers, but not for automakers (even Toyota Motor Corp., often cited as a benchmark in efficiency, rarely operates more than two shifts). To allow time for maintenance, GM and union officials have figured out how to "overspeed" parts of the assembly line so they can be slowed temporarily later. The three-shift assembly line will run about 21.6 hours per day (up from 14.5 hours with two shifts).

GM is moving cautiously. The Fairfax assembly plant is the automaker's best candidate for a permanent third shift. Located in Kansas City, it consistently ranks among the most efficient automotive factories in America. In addition, the facility is tasked with manufacturing the Chevrolet Malibu and Buick Lacrosse - both vehicles are selling well, so a third shift will help satisfy demand rather than oversaturate the market. Hat tip to Sea Urchin for the tip!

[Source: Wall Street Journal - Subs. Req'd]

REPORT: GM to depart with form and run certain plants around-the-clock originally appeared on Autoblog on Wed, 23 Dec 2009 10:59:00 EST. Please see our terms for use of feeds.

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REPORT: Ford offering all 41,000 UAW workers buyout packages

Jeremy Korzeniewski — Mon, 21 Dec 2009 18:29:00 EST

Filed under: Hirings/Firings/Layoffs, Ford, Earnings/Financials, UAW/Unions

According to Ford spokesman Mark Truby, "Despite a strengthening in our business, we still have a surplus in employees." Union employees to be specific. As such, Ford has just announced plans to reduce its unionized workforce by offering a buyout package to all 41,000 UAW members currently employed by the automaker.

Reuters reports that Ford workers with at least one year of experience can take a payout of $50,000 plus a new car voucher worth $25,000 or an additional cash payment of $20,000. Retirement-age workers can opt to take their pensions plus the $25,000 new vehicle voucher or the $20,000 payment. Finally, skilled-trade workers that are eligible for retirement can opt for a $40,000 payout plus their pensions.

Ford says these efforts are necessary to remain competitive with foreign rivals and fellow American automakers General Motors and Chrysler, both of which recently went through government-sponsored bankruptcy proceedings and extensive reorganization. Earlier this year, Ford's UAW workers voted down a revised contract that would have essentially granted Ford the same measures that unionized auto workers had earlier extended to Chrysler and General Motors.

Workers who accept the buyout packages would leave sometime during the month of February, 2010. Any new workers hired as replacements will start at $14 per hour under the latest UAW contract, which is half of the current average wage of UAW employees being offered the buyouts.

[Source: Reuters | Image: Bill Pugliano/Getty]

REPORT: Ford offering all 41,000 UAW workers buyout packages originally appeared on Autoblog on Mon, 21 Dec 2009 18:29:00 EST. Please see our terms for use of feeds.

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REPORT: Next UAW president to be Ford lead negotiator King

Dan Roth — Mon, 14 Dec 2009 08:01:00 EST

Filed under: Etc., Ford, UAW/Unions

Ron Gettelfinger, the United Auto Workers' (UAW) president during the recent tumult, is moving on from his post, and has thrown his support behind Bob King. King is currently a vice president in the union and manages the relationship with Ford.

While the outlook is positive for King's nomination, he's going to have some reconciliation to do. In the last go-round with Ford, King asked his membership to agree to concessions that took strikes off the table, which the UAW's rank and file promptly denied. Despite the contention, King has been thought of as Ron Gettelfinger's replacement for some time, and the union hopes King will be a tougher customer in the throes of negotiation.

[Source: Wall Street Journal - Sub. Req.]

REPORT: Next UAW president to be Ford lead negotiator King originally appeared on Autoblog on Mon, 14 Dec 2009 08:01:00 EST. Please see our terms for use of feeds.

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REPORT: Chrysler again offering early retirement to 23k hourly workers

Chris Shunk — Wed, 04 Nov 2009 09:20:00 EST

Filed under: Hirings/Firings/Layoffs, Chrysler, UAW/Unions

The Detroit Free Press is reporting that Chrysler is again offering early retirement packages in an effort to entice some of its 23,000 hourly employees to hit the road. The buyout packages are the first offered by post-bankruptcy Chrysler, though the terms of the buyouts are very similar to earlier offerings. The Freep is reporting that all workers with at least one year of service can walk away from their current job and receive $75,000 plus a $25,000 voucher. Those who wish to participate in this program will also continue to receive health benefits for an additional six months with the option to purchase coverage for a year after that.

Retirement-eligible workers age 55-59 with a combined 85 years of service or workers age 60 or older with at least 10 years of service can receive $50,000 plus a $25,000 voucher. A third package for workers between the ages of 55 and 62 with at least 10 years of service can receive immediate full retirement benefits. The workers have two weeks to decide whether or not to take the buyout/retirement packages, as the offer will be pulled from the table November 13.

Chrysler's newest buyout program comes as many facilities across the country are either closing or have already closed. Without a jobs bank to keep paychecks coming, we're guessing the take rate could be substantial in affected areas.

[Source: Detroit Free Press | Image: Bill Pugliano/Getty]

REPORT: Chrysler again offering early retirement to 23k hourly workers originally appeared on Autoblog on Wed, 04 Nov 2009 09:20:00 EST. Please see our terms for use of feeds.

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Autoblog Podcast #151: With Eddie Alterman of Car and Driver

Dan Roth — Tue, 03 Nov 2009 15:50:00 EST

Filed under: Podcasts, SEMA Show, Etc., Plants/Manufacturing, Audi, BMW, Dodge, Ford, Lincoln, Subaru, Earnings/Financials, UAW/Unions, Celebrities

Click above for the Autoblog Podcast in iTunes, RSS or listen now!

Abuelsamid, Lieberman, Roth and Shunk. Sounds like a law firm, but it's this week's podcast crew. Car and Driver editor-in-chief Eddie Alterman bravely wades into the pool and joins us for Episode #151 of the Autoblog Podcast, as well.

We spend a goodly amount of time going over what's in all five garages this week, before picking up actual topics. Once into news, we move through the Honda Accord Crosstour's pricing and impending launch, Ford's profitable quarter and union dealings, Edmunds' dust-up with the White House, and wrap with what might be cool at the crazy automotive cavalcade that is SEMA. It's an hour and twenty minutes of rollicking good times, so let us know what you think by dropping us an email at Podcast at Autoblog dot com, reviewing the show in iTunes, filling out our survey, or even leaving us a voicemail on our Google Voice line 734-288-8POD (734-288-8763). Thanks for listening, we'll see you next week!

Continue reading Autoblog Podcast #151: With Eddie Alterman of Car and Driver

Autoblog Podcast #151: With Eddie Alterman of Car and Driver originally appeared on Autoblog on Tue, 03 Nov 2009 15:50:00 EST. Please see our terms for use of feeds.

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New contract between Ford and UAW voted down over weekend

Noah Joseph — Mon, 02 Nov 2009 13:30:00 EST

Filed under: Ford, UAW/Unions

What's good for the goose may be good for the gander, but what works for one country or automaker doesn't necessarily work for another. So while the Canadian Auto Workers union may have approved a new agreement with Ford, below the 49th parallel their compatriots apparently feel otherwise.

Up for ratification over the past week and into the weekend was a proposal that would essentially grant Ford the same measures that unionized auto workers extended to Chrysler and General Motors in the midst of their bankruptcy proceedings. The measures include limitations placed on the unionized workers' rights to strike for increased wages and benefits, as well as a reduction in paid vacation time, a broad wage freeze as well as one on cost-of-living adjustments and increased employee contributions towards insurance and pensions. The agreement would also allow the automaker more flexibility in shifting jobs around, and in exchange the workers expected more jobs to be created - or at least fewer to be lost.

Some union leaders pleaded with their constituents that ratification of the deal was essential to keeping all three of the Detroit automakers on an even keel, thereby maintaining a common ground on which to build negotiations for the future. However as voting drew to a close across the country this weekend, UAW members at three of Ford's largest U.S. plants - the Dearborn Truck Plant, Romeo Engine Plant and UAW Local 862 representing the Louisville Assembly Plant and Kentucky Truck Plant - all voted against the new contract, making its passage now virtually impossible.

[Source: The Detroit News | Image: Scott Olson/Getty]

New contract between Ford and UAW voted down over weekend originally appeared on Autoblog on Mon, 02 Nov 2009 13:30:00 EST. Please see our terms for use of feeds.

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Ford and Canadian Auto Workers reportedly reach a deal

Dan Roth — Sat, 31 Oct 2009 16:09:00 EST

Filed under: Plants/Manufacturing, Ford, UAW/Unions, Canada

Ford Motor Company and the leadership of the Canadian Auto Workers union have reached a tentative agreement after a marathon four-day wrap-up to negotiations. Union membership needs to approve the deal, which will guarantee a Great White North presence for Ford until at least 2012. Voting is underway this weekend, and if approved, the CAW will be responsible for building 10 percent of Ford's North American production, down from the current 13 percent, which the union had been trying to hold on to.

Workers did agree to time off reductions, and pledged that new employees will have to pay into their pensions. Ford's given its word that the company will build as many vehicles in Canada as it sells there, and the union deemed the pledge good enough to grant GM- and Chrysler-style concessions to Ford.

The Panther platform has been given its last rites; the St. Thomas Assembly plant is the only Ford location currently building the body-on-frame biggies, and that plant will close in September 2011. The 1,600 people in Ontario who build Town Cars and Grand Marquis are understandably unhappy about word that Ford intends to shutter the plant, but the Panther has cheated death more than once. This time, it may stick.

Better news for CAW members is that Ford's Oakville assembly complex, also in Ontario, has the go-ahead to add a third shift when needed. Ford also says it will manufacture a new vehicle at Oakville, which currently builds the Edge, Flex, MKX, and MKT crossovers, but that will likely come after the current labor agreement expires.

[Source: CBC News, Photo: Ford/CC]

Ford and Canadian Auto Workers reportedly reach a deal originally appeared on Autoblog on Sat, 31 Oct 2009 16:09:00 EST. Please see our terms for use of feeds.

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VIDEO: Formula D Judgment Day 2009

Jonny Lieberman — Thu, 29 Oct 2009 18:29:00 EST

Filed under: Motorsports, UAW/Unions

Formula D Judgment Day - click above image to watch the video

Two weeks ago was Formula D's big season finale and 2009 Championship, AKA Judgment Day. While we (sadly) couldn't be there, we did get a little preview of the event when Tanner Foust took us drifting in his ferret-on-linoleum-out-of-hell stock car-engined Scion. Anyhow, in this video all the usual trouble makers and tire killers are present, including Vaugn Gitten Jr., Samuel Hubinette, Tanner Foust and Joon Maeng -- plus the 2009 season winner, Chris Forsberg. Also -- you're going to like new host Kerryann De La Cruz. Still, wish we could have been there at the Irwindale Speedway watching it all unfold.

But sometimes we just have to settle for second best, which in this case our friends over at WebRidesTV have put together a most excellent Judgment Day video. If you've never given drifting and/or and Formula D a chance, this could be your ticket in. As has been noticed countless times in the past, in what other motorsport do Dodge Vipers and Ford Mustangs go head to head with Nissan Zs, 240SXs and Skylines? Not to mention Toyota AE86 Corollas and the occasional Japanese-tuned Corvette -- on the same track at the same time. It's just nothing but fun. Make the jump to watch the video.

[Source: WebRidesTV]

Continue reading VIDEO: Formula D Judgment Day 2009

VIDEO: Formula D Judgment Day 2009 originally appeared on Autoblog on Thu, 29 Oct 2009 18:29:00 EST. Please see our terms for use of feeds.

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REPORT: Three Ford plants vote down new contract with UAW

Dan Roth — Tue, 27 Oct 2009 11:39:00 EST

Filed under: Plants/Manufacturing, Ford, UAW/Unions

Pattern bargaining is how things tend to be done in Detroit, a strategy which ensures that one automaker doesn't tend to get a plum deal at the expense of the other car builders in town. General Motors and Chrysler negotiated pretty hard with the United Auto Workers as part of the bailouts, and Ford's now in the process of securing new agreements with its labor force. While the Blue Oval didn't need government money to stay afloat (well, aside from those low interest technology loans, anyway), it wants parity with its rivals workforce deals.

Several Ford plants have approved the new deal, in which Dearborn has asked for the same concessions that its rivals have already secured. Most recently, however, three Ford facilities have voted down the plan to hold firm entry-level pay and benefits, limits on the union's right to strike over wages and benefits, and consolidates skilled trades. Those opposed to Ford's new agreement argue that the true spirit of pattern agreements would lift Chrysler and GM up to where Ford's current agreements are. Kansas City's F-150 plant slapped down the proposed contract by 92%, but Ford will await the final tally before conceding defeat - or celebrating successful negotiations. Contentious labor dealings are certainly not something Ford wants to deal with at this precarious moment. Even while business has been trending up lately, there's still a long way to go, and if labor puts a skip in the get along, it could be a nail in the coffin of a successful recovery.

[Source: Automotive News - sub req. | Image: Bill Pugliano/Getty]

REPORT: Three Ford plants vote down new contract with UAW originally appeared on Autoblog on Tue, 27 Oct 2009 11:39:00 EST. Please see our terms for use of feeds.

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Shreveport, LA mayor lobbies D.C. to close the HUMMER deal, already

Jonathon Ramsey — Sat, 24 Oct 2009 14:16:00 EST

Filed under: SUV, Truck, China, Government/Legal, Plants/Manufacturing, GM, Hummer, UAW/Unions

Cedric Glover, the mayor of Shreveport, Louisiana, went to Washington, D.C. to plead his case for the sale of Hummer to Tengzhong. The only thing is, we're not sure why he went. To be more precise, we do know that he wants to protect jobs at GM's Shreveport plant that builds Hummers. The plant has about 800 workers who build some of The General's pickup trucks and Hummer models, and the loss of The Big H would undoubtedly put people out of work.

What we're not sure of is what he thinks Washington has to do with it. He did ask that a couple of D.C. muckety-mucks "consider reaching out to the Chinese government to urge immediate approval of the Hummer deal," but Washington hasn't expressed any opposition to the deal and probably couldn't get the deal concluded on the Chinese side any sooner -- never mind the fact that Hummer is the least of Washington's concerns as far as China goes.

We've been told by one source at Hummer that although nothing is final until it's signed, they feel good about the deal, and Tengzhong must have known what it was doing when it made the bid in the first place. Yet beyond all that, as it stands today the Shreveport plant has three years to live at most: the facility wasn't part of the Hummer sale, and GM said it would shutter the place by 2012 at the latest. Mayor Glover wants to save jobs in his town, which is great, but unless GM starts going gangbusters (and soon) then Glover could be playing the Deck Chair and Sinking Ship game.

[Source: HummerGuy]

Shreveport, LA mayor lobbies D.C. to close the HUMMER deal, already originally appeared on Autoblog on Sat, 24 Oct 2009 14:16:00 EST. Please see our terms for use of feeds.

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U-S-A! Ford reportedly moving production of Kuga to America

Chris Shunk — Fri, 23 Oct 2009 11:29:00 EST

Filed under: Plants/Manufacturing, Crossover, Ford, UAW/Unions

2009 Ford Kuga (Euro Spec) - Click above for high-res image gallery

The Ford Kuga is currently made in Europe and isn't available for sale here in the States, but if a report from Bloomberg is to be believed, the next Kuga could be produced in Louisville, Kentucky for sale both here and abroad. Bloomberg's sources claim that Ford plans to build as many as 80,000 Kuga crossovers here for export overseas by October 2011, which would undoubtedly make members of the United Auto Workers union very happy.

Ford is currently awaiting the ratification of a new labor deal that would put labor costs of the Dearborn, MI-based automaker on a nearly equal footing with General Motors and Chrysler. A major tenet of the negotiations is the guarantee of new product to build in U.S. assembly plants, effectively giving 41,000 blue collar Ford employees some much needed job security. A summary of the tentative agreement between the UAW and Ford reportedly states that the Louisville facility will receive a new product with "considerable export volume," so it's not a far leap to surmise that the Kuga will become Kentucky born and bred.

At this point, Ford has only announced that the Louisville plant will receive a more fuel efficient product based on Ford's global C platform. The Kuga certainly fits that bill, and building the small crossover in the good ol' US of A makes financial sense right now since the dollar is worth less than the euro or British pound, and labor costs in the U.S. could be $10 per hour cheaper than they are in Germany, for instance.

Gallery: First Drive: 2008 Ford Kuga

[Source: Bloomberg]

U-S-A! Ford reportedly moving production of Kuga to America originally appeared on Autoblog on Fri, 23 Oct 2009 11:29:00 EST. Please see our terms for use of feeds.

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REPORT: NY cracking down on cabbies using cell phones - only took 10 years

Michael Harley — Mon, 19 Oct 2009 11:00:00 EST

Filed under: Etc., Government/Legal, Safety, UAW/Unions

It's hard to believe, but cab drivers in New York City are prohibited by law from talking on cell phones, with or without headsets. That doesn't seem to stop them, says the city's Taxi and Limousine Commission. Citing phone-related accident statistics, the commission is now proposing more stringent rules that would raise fines and even keep cabbies from using hands-free devices to chat. "We've tried everything else; there's no other way we can make this work," says Matthew W. Daus, the taxi commissioner.

In the first six months of 2009, only one ticket was issued for every 500,000 cab rides. Cabbies escape prosecution because they claim they were only wearing the hands-free devices, not using them. "Judges have been dismissing summonses because there's no proof of conversation," says Daus. Under the proposed rules, the wearing of a headset merits an infraction. Under the current rules, cab drivers are allowed to talk on cell phones while stopped at a red light. The new rules would require drivers to pull over to answer the phone.

Without a doubt, the cabbies are riled. Calling the proposed rules inhumane, they claim mobile phones are crucial in emergencies and the only way they are able to keep in touch with relatives during their 12-hour shifts. While the drafted rules are subject to public hearings next month, the drivers point out the absurdity of some of the proposals. When one organizer at the New York Taxi Workers Alliance was told that he'd have to pull over to answer a ringing phone, his amusing answer was rather succinct: "Where do you get space to put your car?"

[Source: NY Times | Photo by EMMANUEL DUNAND/AFP/Getty]

REPORT: NY cracking down on cabbies using cell phones - only took 10 years originally appeared on Autoblog on Mon, 19 Oct 2009 11:00:00 EST. Please see our terms for use of feeds.

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