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Harley-Davidson, Wisconsin unions reach tentative deal

Discussion in 'Pull up a chair and sit for a spell' started by kenfuzed, Sep 8, 2010.

  1. kenfuzed

    kenfuzed Administrator Staff Member

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    Latest news today regarding Harley-Davidson and their struggle with labor to remain in Milwaukee.

    September 3, 2010 -
    Harley-Davidson and its Milwaukee area labor unions have reached a tentative agreement to keep production jobs in Wisconsin.

    Union members will get details Tuesday of a contract they are expected to vote on Sept. 13.

    Company and union officials have not disclosed the terms of the deal, but H-D said in a press release that leaders of the United Steelworkers of America and the International Association of Machinists and Aerospace Workers are recommending approval of the deal.

    Terms of the contract offers are expected to resemble deals the Motor Co. made last year with production workers in York, Penn. Those deals spared some full-time jobs but traded others off in favor of more flexible, “casual” workers.

    Harley had threatened to move production out of Wisconsin if it couldn’t cut $54 million in labor costs.

    "The proposed agreements provide a very competitive compensation package," spokesman Bob Klein told the Journal Sentinel. "At the same time, they provide us with the flexibility and the cost competitiveness that we need to succeed in the future."

    The company says it will make decisions quickly after the vote. If workers reject the deal, it has threatened to move production out of the state, likely splitting the work between existing plants in Kansas City and York.
    kenfuzed, Sep 8, 2010
    #1
  3. cardboard

    cardboard Well-Known Member

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    cardboard, Sep 8, 2010
    #2
  4. FLHTbiker

    FLHTbiker Moderator Staff Member

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    If the workers don't accept then its in the bread line for a bunch of em. Hope it works out for both sides.
    FLHTbiker, Sep 8, 2010
    #3
  5. alex the dog

    alex the dog Active Member

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    All the big corporations are using this bad economy as an excuse to wrangle better deals from labor, suppliers, and even their dealers.

    G.M. said they were about to fold up because of overhead costs. After wringing blood from their employees and the govt., they miraculously are turning a profit in only a few short months. I'll bet the big honchos are laughing over that one as they plan how to spend their big bonuses.
    alex the dog, Sep 9, 2010
    #4
  6. alex the dog

    alex the dog Active Member

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    Got a kick watching that you-tube link, Cardboard. Never saw that movie, but R.Lee Ermie (Drill Sargeant Hartman) really was in the USMC. I did my basic training in San Diego (1969), and remember the D.I. just as portrayed in this clip. I can laugh now.
    alex the dog, Sep 9, 2010
    #5
  7. FLHTbiker

    FLHTbiker Moderator Staff Member

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    Watched the Video and makes you want to kill the guy. Course the Navy boot camp was not that much better. Was there in San Diego Nov 68 and remember one guy tried to take on the company commander (same as drill Sargent). He didn't make it and after getting a good beating he wound up in the Brigg. Never saw him again.
    FLHTbiker, Sep 9, 2010
    #6
  8. hotroadking

    hotroadking Super Moderator Staff Member

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    It's not an excuse JMO, economy is bad, and it's getting worse
    HD's are toys for most people, sales suck, profits are down,
    it's not all about fat cats, which for some reason becomes the
    counter punch when labor is addressed.

    Fact is labor was asked prior to help offset costs, they said no
    that's when the big gun of moving comes out, in todays economy you
    can move a plant cheaply compared to years ago where you had tons of
    skilled labor, now you move machines..

    Labor has to face up to the facts that the world economy won't support the rates
    they were used to when the US was the strongest consumer of US goods.

    Now you can get crap from overseas for pennies on the dollar...
    companies can't compete at high labor rates.

    Cost of raw goods is set on the market not by the company...
    hotroadking, Sep 9, 2010
    #7
  9. Sleepy

    Sleepy Well-Known Member

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    Agree with HRK the economy sucks right now and will for a while. I think the bargaining unit will likely accept the offer as the committee has looked at the writing on the wall and grudgingly recomended acceptance. I've been there, it's hard to do and you hope that you don't get hammered again in the future. We did that three years ago, new owners wanted concessions from us to get over the hump and become competitive so in a super heated Alberta economy we sucked it up and ate ****. We had a great year in '08 and set records in '09 and a very good year this year and come bargaining time we got met with some very heavy cuts and more concessions. to make a long story short we're out on the sidewalk over a pension dispute. If it is an economic problem we should be able to figure out a solution, if it is a question of philosophy this one is going to get nasty, there isn't a lot of sympathy for labour out there so we'll see what happens. We've seen some long time contractors cross the line. I don't know how this is all going to end up but I do know this, things will never be the same around here and that's too bad
    Sleepy, Sep 9, 2010
    #8
  10. FLHTbiker

    FLHTbiker Moderator Staff Member

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    This economy is really taking effect everywhere. On a inspection I did today on a new Townhouse the builder paid the buyers closing costs and his down payment. Plus the unit had already been furnished as a show house to show potential buyers of the other units. The builder gave the buyer all the furnishings and all the appliances (refrig. washer dryer and stove). The house had been sitting vacant for well over a year. So it seems now that even the builders are willing to make concessions to get things to move. They also dropped the price and the buyers payment is only 75 more than his apartment rent was. Pretty good deal.
    FLHTbiker, Sep 9, 2010
    #9
  11. alex the dog

    alex the dog Active Member

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    I understand you have to make concessions to keep your job, but did you ever see upper mgmt. take a pay cut? NO!!! Plus, the Bast$#@s keep giving themselves bonuses, which comes at the workers expense and drains the company profit margin to the point where it's always operating in the red.

    I respect H-D as a company trying to survive, but the corporate bast&^%s are looting most of the profits with their "golden parachutes". I would wager that the Motor Co. would be on solid ground quickly if the big wigs would keep their hands out of the till.
    alex the dog, Sep 10, 2010
    #10
  12. FLHTbiker

    FLHTbiker Moderator Staff Member

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    I think that would hold true for all the companies.
    FLHTbiker, Sep 10, 2010
    #11
  13. kenfuzed

    kenfuzed Administrator Staff Member

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    +1 completely agree. Coming from someone running a small business and dealing with suppliers in union and non-union markets I get to see it all. I often have to obtain supplies and raw materials from other states because of higher labor and taxation within my own state. I still refuse to buy these items from overseas despite the potential to make a fortune, but I can certainly understand how a company would need to relocate to remain profitable. If things keep going as they are I see my company seeking a friendlier state away from high tax and labor costs.
    kenfuzed, Sep 10, 2010
    #12
  14. alex the dog

    alex the dog Active Member

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    It's a vicious circle you know: 1)companies have to be competitive to get the order; 2) now they have to find less expensive sources for materials; 3)think about laying-off employees to further reduce costs- maybe go overseas; 4)now you have a cheaper product offering, but all the unemployed people can't buy anything no matter how cheap; 5)nobody buys your products so you go out of business; 1)start over.............
    alex the dog, Sep 11, 2010
    #13
  15. cowboy

    cowboy Moderator Staff Member

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    So has anyone heard about if the union took the deal or not ?
    ken you can always come on over to Texas , we have the hard winds instead of the shaky ground :D
    cowboy, Sep 13, 2010
    #14
  16. FLHTbiker

    FLHTbiker Moderator Staff Member

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    I have heard that Nev. is a good place to move a business.:)
    FLHTbiker, Sep 13, 2010
    #15
  17. cowboy

    cowboy Moderator Staff Member

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    I read on yahoo news that they took the contract so they staying home
    cowboy, Sep 16, 2010
    #16
  18. FLHTbiker

    FLHTbiker Moderator Staff Member

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    That's good news. In the situation that the economy is in a give a little on both sides is a good thing, works for everyones benefit.

    Sure hot in Alvin today we won't even break 70 today.
    FLHTbiker, Sep 16, 2010
    #17

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