UAW union vote at Volkswagen could have big implications for US auto industry and labor’s strength in South

nexninja
11 Min Read


New York
CNN
 — 

Renee Berry has been working on the Volkswagen plant in Chattanooga, Tennessee since 2010, shortly after it opened, lengthy sufficient to see nearly all of her co-workers twice vote in opposition to becoming a member of the United Auto Employees union. She thinks the third vote going down this week will likely be totally different.

“It’s a completely totally different ball sport,” she stated. “The ambiance is totally different. You see extra pro-union than anti-union [workers]. An entire lot of people that had been anti-union prior to now have switched.”

The union vote on the Volkswagen plant will imply greater than whether or not the 4,300 hourly staff in Chattanooga are members of the UAW or not. It could possibly be the beginning of a revolution within the US auto business, which has not seen a brand new automaker unionize in almost 50 years.

Right now the business is break up nearly evenly between unionized and nonunion staff at US auto factories, and the unionization of a manufacturing facility in Tennessee would give unions a excessive profile beachhead within the South, which has lengthy been tough territory for unions to arrange.

As a result of the plant is in Tennessee, and never Michigan or Pennsylvania or some extra unionized northern state, the outcomes could possibly be shut, as they had been within the two earlier votes in 2014 and 2019 on the plant. The newest vote noticed 52% determine in opposition to becoming a member of the union.

The plant has greater than doubled its workforce from the 1,600 eligible to vote within the 2019 election. Supporters of the union are hoping that lots of the new, youthful staff will likely be extra union-friendly than the employees in 2019.

Opponents of the union amongst rank-and-file are hoping the union will lose out once more, though they admit they’re undecided that may occur this time.

“I don’t know. It might go both means,” stated Darrell Belcher, who additionally began work quickly after the plant opened. “The final time we had been involved it might swing [to the union]. I’m listening to individuals say there are extra individuals in opposition to it than individuals suppose.”

But it surely’s not simply that there are extra, and totally different staff on the Volkswagen plant than final time.

Earlier votes had been held after the union had negotiated concession contracts through which members on the unionized automakers had given up previous good points, and within the wake of a corruption scandal that may land two former union presidents in jail.

This time the UAW is coming in a winner, after negotiating record wage increases at GM, Ford and Stellantis. The unprecedented simultaneous strike at all three automakers received rapid raises of at least 11% and pay will increase of greater than 30% over the lifetime of the contract that runs via April 2028.

Although Volkswagen shortly matched the UAW’s contracts with the Large Three with an 11% increase of its personal, Berry stated their contract in Chattanooga remains to be inferior to the UAW offers, and other people know that.

“It opened up lots of people’s eyes. That had a big effect,” Berry stated.

“Individuals right here had been rooting for [the strikers],” stated Kelcey Smith, one other union supporter who has been at VW for a couple of yr. “It [the strike and the deal that followed] confirmed what you may obtain.”

Smith stated he has by no means had a union-represented job, and regardless of his help for the union effort, it doesn’t imply that he holds something in opposition to the corporate. “I like my job. I get pleasure from being an worker right here,” he stated.

However he stated he needs the higher pay and advantages he sees staff at unionized auto vegetation are getting, in an effort to present extra for his household.

Volkswagen stated the typical employee in its plant makes about $60,000 a yr earlier than bonuses and advantages. Manufacturing staff working below the latest UAW contract now make about $36 an hour, or about $75,000 a yr earlier than time beyond regulation, bonuses and advantages.

“I need to be financially protected, to offer them a cushion in life,” Smith stated. “I need to do what I can to make issues higher for them.”

However Belcher stated he’s apprehensive what’s going to occur to his job if the union had been to win the pay its supporters on the plant are promising they’ll obtain after a UAW win.

“In my view, if Volkswagen had been to comply with one thing like that, they’d pack up and be gone to Mexico,” he stated.

The corporate stated it’s impartial within the election, solely urging staff to vote nevertheless they need. That’s comparatively uncommon in union illustration elections, the place administration usually lobbies staff to vote no at necessary conferences, and generally takes motion in opposition to union organizers. Even union supporters acknowledge that hasn’t occurred on this case, nevertheless.

One factor serving to the UAW is that unions have far more clout in Germany than in the US, and the principle Volkswagen union there has a seat on the corporate’s board. That is additionally the one VW plant with out union illustration.

The vote is the primary of an effort by the UAW to organize workers at 13 nonunion automakers unfold throughout the nation, principally within the South.

One other vote, at a Mercedes plant simply exterior of Tuscaloosa, Alabama, is ready to be accomplished by Could 17. And efforts are underway to arrange staff on the American vegetation of eight different overseas automakers past VW and Mercedes – BMW, Honda, Hyundai, Mazda, Nissan, Subaru, Toyota, and Volvo, in addition to the vegetation of three US-based electrical automobile makers – Tesla, Rivian and Lucid.

Collectively the US vegetation of these firms have about 150,000 staff, roughly as many because the three unionized automakers whose staff went on strike final yr.

Even when the union wins in Chattanooga, it could possibly be an uphill battle to win on the different firms, stated Artwork Wheaton, director of labor research at Cornell College’s Industrial and Labor Relations college. However it might be an necessary step within the broader organizing effort, he stated. And that might change the dynamics in future auto contract negotiations.

“It received’t be like dominoes the place the others all fall shortly,” he stated. “But it surely’ll begin to construct momentum. As you get extra vegetation organized, you have got extra leverage on the desk and you’ll set an business [contract] sample.”

Due to the potential for organizing efforts to choose up steam as soon as one plant joins the union, the vote is intently watched by individuals throughout the auto business and the labor actions, in addition to by politicians throughout the South, who’ve labored laborious to draw producers to their states with guarantees of a union-free work pressure.

“The fact is firms have selections in relation to the place to speculate and produce jobs and alternative. We’ve got labored tirelessly on behalf of our constituents to carry good-paying jobs to our states,” stated a letter signed by this week by Tennessee Republican Gov. Invoice Lee and 5 different Southern governors – from Alabama, Georgia, Mississippi, South Carolina and Texas – who’ve nonunion auto vegetation of their states. “Unionization will surely put our states’ jobs in jeopardy.”

Fewer than 5% of staff belong to unions in these six states, which is lower than half the union illustration within the seven extra northern industrial states the place the Large Three have most of their vegetation.

It’s not simply Republican governors who’re weighing in on the vote. President Joe Biden, who grew to become the primary president to visit a picket line during the UAW strike final fall, and who has been endorsed by the UAW, congratulated the Volkswagen staff after they filed for the election final month. However Biden’s ties to the union aren’t enjoying notably properly among the many rank-and-file who will likely be voting on the Chattanooga plant.

“I do know lots of people on the professional facet have converted,” stated Corey Linn, a 13-year worker and a kind of working in opposition to the union. “The most important argument to make the change is as soon as they discovered that Biden was backing the UAW. He’s not very fashionable in Tennessee.”

Union supporters say they’ve additionally heard from co-workers who’re afraid that their dues cash would go to Biden, although political donations from unions don’t come from the dues cash collected.

“You hear all of that, ‘Why are they supporting Biden?’” Berry stated.

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