From Local 3 News: The text of Volkswagen's best and final offer to Chattanooga employees is officially public, as negotiations between the automaker and the United Auto Workers stall.
"Typically, in negotiations, the union shares the full text of any offer with the bargaining unit," Christena Wilson, Volkswagen's senior director of labor relations, wrote in a letter to employees. "However, after nearly three weeks, the UAW has not released the full text of our offer or responded to your repeated requests for a vote. Because you deserve full transparency, we are sharing the entire final offer and all the previously agreed upon language."
Totaling more than 400 pages and detailing revisions from throughout the bargaining process, Wilson said the offer reflects corrections made after clerical errors.
The contract includes a 20% wage increase over four years, a $4,000 ratification bonus, the company’s first-ever cost-of-living allowance and lower health care costs. If approved before Oct. 31, employees would receive an additional $1,500. Employees could make nearly $80,000 each year, before overtime and benefits, according to a contract fact book released by Volkswagen.
Withdrawn portions of the contract include random drug testing and a tentative agreement about onsite childcare, after disagreements on a weekly subsidy amount.
Employees have raised concerns about poor health care and lack of job security. The contract notes the union first sought free healthcare, then requested HRA reimbursements instead, before reverting back to seeking free healthcare. In the event of temporary layoffs, employees would receive 80% of their regular wage, along with full benefits.
"We have received overwhelmingly positive support for our final offer from our employees, and many have requested to see the full final offer text," said Volkswagen spokesperson Michael Lowder. "The UAW has refused to provide it, so we have made our final offer available in the interest of transparency. There should be no barriers between our employees and their chance to vote. We urge the UAW to honor its commitment and give their membership a voice."
In the letter, Wilson clarified to employees that the company fixed clerical errors three weeks ago and continues to await a union vote.
While some union members are ready to vote, others, including UAW bargaining committee co-chair Steve Cochran, are taking their case to the nation's capital.
Cochran, who started working at Volkswagen 12 years ago, testified before the United States Senate Committee on Health, Education, Labor and Pensions last Wednesday, in a hearing about labor law reforms. He accused Volkswagen of violating federal labor law.
"The company has repeatedly violated labor law to delay us our fair share," Cochran told senators. "They have unlawfully cut jobs at the plant. They have unlawfully refused to bargain in good faith. They have presented us with a quote-unquote final offer that maintains horrible healthcare, doesn’t protect our wages from inflation, and makes no commitment to keeping good jobs in Chattanooga."
The UAW hosted strike training meetings earlier this month, though there has not been a formal strike authorization vote. Some employees raised concerns about a possible strike to Local 3. A Volkswagen document for employees notes that they do not have to participate in a strike authorization vote, and in the event of a strike, those who continue to work would receive pay, even if the company can't run the production line.
We've reached out to the United Auto Workers, along with Cochran, for reaction to the release of the contract, and will update this story when we hear back.
"Typically, in negotiations, the union shares the full text of any offer with the bargaining unit," Christena Wilson, Volkswagen's senior director of labor relations, wrote in a letter to employees. "However, after nearly three weeks, the UAW has not released the full text of our offer or responded to your repeated requests for a vote. Because you deserve full transparency, we are sharing the entire final offer and all the previously agreed upon language."
Totaling more than 400 pages and detailing revisions from throughout the bargaining process, Wilson said the offer reflects corrections made after clerical errors.
The contract includes a 20% wage increase over four years, a $4,000 ratification bonus, the company’s first-ever cost-of-living allowance and lower health care costs. If approved before Oct. 31, employees would receive an additional $1,500. Employees could make nearly $80,000 each year, before overtime and benefits, according to a contract fact book released by Volkswagen.
Withdrawn portions of the contract include random drug testing and a tentative agreement about onsite childcare, after disagreements on a weekly subsidy amount.
Employees have raised concerns about poor health care and lack of job security. The contract notes the union first sought free healthcare, then requested HRA reimbursements instead, before reverting back to seeking free healthcare. In the event of temporary layoffs, employees would receive 80% of their regular wage, along with full benefits.
"We have received overwhelmingly positive support for our final offer from our employees, and many have requested to see the full final offer text," said Volkswagen spokesperson Michael Lowder. "The UAW has refused to provide it, so we have made our final offer available in the interest of transparency. There should be no barriers between our employees and their chance to vote. We urge the UAW to honor its commitment and give their membership a voice."
In the letter, Wilson clarified to employees that the company fixed clerical errors three weeks ago and continues to await a union vote.
While some union members are ready to vote, others, including UAW bargaining committee co-chair Steve Cochran, are taking their case to the nation's capital.
Cochran, who started working at Volkswagen 12 years ago, testified before the United States Senate Committee on Health, Education, Labor and Pensions last Wednesday, in a hearing about labor law reforms. He accused Volkswagen of violating federal labor law.
"The company has repeatedly violated labor law to delay us our fair share," Cochran told senators. "They have unlawfully cut jobs at the plant. They have unlawfully refused to bargain in good faith. They have presented us with a quote-unquote final offer that maintains horrible healthcare, doesn’t protect our wages from inflation, and makes no commitment to keeping good jobs in Chattanooga."
The UAW hosted strike training meetings earlier this month, though there has not been a formal strike authorization vote. Some employees raised concerns about a possible strike to Local 3. A Volkswagen document for employees notes that they do not have to participate in a strike authorization vote, and in the event of a strike, those who continue to work would receive pay, even if the company can't run the production line.
We've reached out to the United Auto Workers, along with Cochran, for reaction to the release of the contract, and will update this story when we hear back.
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