Forum Discussion
SidecarFlip
Nov 05, 2019Explorer III
FishOnOne wrote:
GM paved the way for this agreement and FCA will be forced to follow suit as well or the union will go on strike.
And you can put me in the category that knows unions need to go away. All unions!
Keep in mind that, other than Jeeps Wranglers, most of the FCA products are built in Mexico by non union workers and if they are unionized, the wages are a fraction of what the domestic counterparts make. FCA has the largest percentage of vehicles built outside the states of any automaker. RAM pickup trucks, Toluca, Mexico...
Consequently, if FCA don't agree to the UAW they can still build and sell vehicles.
Far as the Jeep end goes, FCA is very progressive at their Toldeo Jeep plant. They are the ONLY automaker that houses sub assembly non union suppliers on the grounds the plant occupies. I ought to know, I drive past almost every day and the sign at the main entrance lists the suppliers on premises.
Don't know if they will agree and I believe the Pugeot / FCA tentative merger has everything to do with busting the union.
I could be wrong.
Far as Toyota or Nissan building a pickup truck, I didn't mean a 1/2 ton grocery / soccer mom truck, I meant a real work truck in the 3/4 or 1 ton flavor.
They can see the profit margin, they aren't stupid.
Union legacy costs are a huge part of the equation when it comes to contract negotiations. Union negotiated pensions eat up a huge percentage of the overall profit margin for unionized automotive.
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