Harley Davidson Strikes @ 12:01 AM Tonight!
Thursday, February 1st, 2007 at 8:28 pm by angrybob
…ummm…errr…its tomorrow really, but its tonight. Damnit - 12:01AM on 2Feb2007. Now its settled.
I am sorry, but I have no sympathy here. A 4% wage increase GUARANTEED without some sort of performance evaluation is a golden parachute as far as I am concerned for an employee of a big company. This is the average increase for us white collar folks on non-promotion years given a good review.
As far as benefits are concerned, I am amused to read that the major sticking point was that they had to convert to the ’salaried’ employees health car plan. Two things scream short-sightedness:
- The fact that the increase in the 401k matching contribution seemed to have been ignored (granted, no amounts are given below for any part of the contract).
- The company’s solvency. How’s that big company free health care for all union employees working for GM? Ford? Some people would rather have no job at $1/hour more on paper or in principle, than actually work.
HD has always used the union as a bragging right to their customer base. While it seems to work, its gonna be a likely and costly eye-opener.
HD strikes tonight at 12:01am!
The following release is from Harley-Davidson: York, Pa., February 1, 2007 — Harley-Davidson Motor Company expressed disappointment at the union vote yesterday that rejected a proposed new collective bargaining agreement for employees and authorized a strike at its final assembly operations in York, Pa. A strike at the facility is expected to occur as early as 12:01 a.m. February 2, when the current contract expires.As a result of the pending strike, production of Touring and Softail motorcycles at Harley-Davidson’s operations in York has been suspended.
“We are obviously disappointed by the union’s decision,” said Fred Gates, General Manager of Harley-Davidson’s operations in York. “The proposed contract was structured to help manage future costs that could be detrimental to our business over the long term,” Gates said. “While Harley-Davidson is a strong company today, we don’t want to find ourselves in ten years in the same position that the Detroit auto industry is in now.”
The proposed contract provided for a four percent wage increase in each of the three contract years. Two percent of the increase was dependent on the union accepting the Company’s salaried health care plan or another plan that would save the Company an equal amount of money. The Company’s union employees in York currently pay no premium for health insurance coverage and minimal out of pocket costs. The proposal would have doubled the Company’s 401(k) contribution match and would have provided a special monthly retirement supplement for certain employees who retire during the contract period. The proposal also would have instituted a second-tier wage and benefit plan for new employees hired after February 2, 2007. For example, under the two-tier structure, new assembly worker hires would have earned $18.25 per hour in the first year of the contract, compared to $20.78 per hour for current assembly workers in the first year of the contract.
Harley-Davidson production employees in York are represented by International Association of Machinists and Aerospace Workers (IAM) Local 175.
Harley-Davidson, Inc. is the parent company for the group of companies doing business as Harley-Davidson Motor Company, Buell Motorcycle Company and Harley-Davidson Financial Services, Inc. Harley-Davidson Motor Company, the only major U.S.-based motorcycle manufacturer, produces heavyweight motorcycles and offers a complete line of motorcycle parts, accessories, apparel, and general merchandise. Buell Motorcycle Company produces sport motorcycles in addition to motorcycle parts, accessories and apparel. Harley-Davidson Financial Services, Inc. provides wholesale and retail financing and insurance programs to Harley-Davidson dealers and customers.
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Angrybob, first of all how can you compare Harley Davidson to Ford or GM? Both of those companies have had in the area of 250,000 employees. Where as Harley has 10,000 worldwide!! Harley will never be a GM or Ford. They are also in the midst of losing 12.5 Billion dollars this year. Unions with them did take concessions and where did it get them. They’re still out of a job. I’m proud to see Local 175 stick up for themselves to a company that has a net income of 1.04 billion after the all expense paid health care and wage packages. OH I’M SORRY THE CEO, CFO, ETC. STILL GOT THEIR 25 MILLION + WAGE OUT OF THAT AS WELL.