The Militant (logo)  

Vol. 79/No. 41      November 16, 2015

 
New Chrysler contract
maintains lower-paid tiers

 
BY ILONA GERSH  
TOLEDO, Ohio — Three weeks after voting 2-1 against a contract recommended by United Auto Workers officials that perpetuated the hated two-tier wage system put in place in 2007, union members at Fiat Chrysler’s 16 plants voted 77 percent for a new proposal that includes higher wages for second-tier workers. At the Jeep plant here 55 percent voted for the new deal.

Many unionists here told the Militant they opposed a clause that could double the number of workers classified as Temporary Part Time, effectively a third tier, who number more than 1,000 in the plant. New rules on temps weren’t in highlights given to union members, Automotive News reported Oct. 13.

The UAW agreed in 2007 that Chrysler and General Motors could institute the new category of workers who belong to the union to fill in on the days with most absenteeism: Friday through Monday and holidays.

Temporary workers are not eligible for the benefits that permanent workers get, from the pension plan; prescription drug, dental or vision coverage; to bonuses. While they are union members, they may be terminated at any time.

Under the new contract newly hired temp workers will start at $15.78 and top out at $19.28 after five years, while those hired during the old contract get pay raises that top out at $22.

The new agreement says the temporary workers are no longer limited to being “part-time” and can be called in any day of the week. Many permanent workers see this as a threat to their jobs. Many temporary workers see this as closing off any chance of becoming permanent workers.

“I’m a third-generation Chrysler worker,” Edward DeLuna, 27, a temporary worker, told the Militant. “I voted no. I used to think there was a road forward for me here. But now I think they want to keep us as TPTs forever.”

“All they’re doing with the TPTs is setting up another tier,” Bryan Dusseau, 27, a second-tier worker, said. “It’s a horrible contract. Chrysler is making more money than they’ve ever made.

“The bosses in lots of industries are doing the same thing, the tier wage system,” he said. “My dad works for the railroad, and he’s been getting Tier 2 wages for 25 years.”

“I don’t like the pay inequity,” Demetrius Price, a second-tier worker, said. “It’s not fair to workers like me or the TPTs.”

Some gains were won for second-tier workers at Fiat Chrysler, who are 45 percent of the workforce.

Under the proposal that union members rejected, Tier 2 workers would have topped out at about $25 an hour. Under the new contract workers in the second tier are projected to top out at $28, almost the same pay as those hired before 2007. But the wage gains are stretched out gradually over eight years, while the contract itself is only a four-year agreement. Many will be receiving only $22.50 per hour when it expires.
 
 
Related articles:
‘We need $15 an hour, full-time work, a union’
Nationwide protests set for Nov. 10
Seattle forum: Workers discuss $15, union organizing battles
On the Picket Line
Stakes high for all workers in Lac-Mégantic frame-up
During class combat rebellious workers become revolutionists
All out Nov. 10 for $15 and a union!
 
 
 
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