Chrysler workers await answers, weigh options
Details of the 13,000 job cuts have not been laid out, leaving many wondering if they'll be offered a buyout or early-retirement package -- and just what such an offer might look like. Analysts and media also continue to speculate about a possible sale of the Chrysler Group, a division of DaimlerChrysler AG.
After being with the company when it changed ownership once before, John T. Mateik, a 52-year-old electrician at Chrysler's Warren Truck plant, said he's ready to take an offer and retire.
"I'm definitely going this time," said Mateik, who started at Warren Truck
34 years ago. "I'm just tired of the whole game."
In an already shaky Michigan auto industry, the Chrysler Group's job cuts and possible sale have created even more uncertainty for autoworkers.
The sale of the Chrysler Group likely would mean more job cuts and plant closings beyond the 13,000 announced, said Peter Berg, an associate professor at Michigan State University's School of Labor and Industrial Relations. A new owner would be looking to consolidate operations to save money, he said.
The UAW might have a stronger voice if the acquisition were made by General Motors Corp., which already works with the UAW, Berg said. Foreign automakers largely have kept the UAW out of their plants.
Ultimately, though, the UAW and its members have little role in determining where Chrysler ends up, Berg said. "They can have discussions with people, but they don't have shares, a huge block of shares," he said. "They wait it out. That's what they do."
The UAW did not return calls Tuesday about the possible sale of the Chrysler Group. It issued a statement last week saying it was working to lessen the impact of the job cuts on members.
UAW members at several Chrysler Group plants said they're not sure what to think. Some believed the Chrysler Group could be sold because German shareholders are ready to dump the division. Others thought the idea of a sale was far-fetched -- just media hype.
Gary Pacheco, a 50-year-old worker at the Chrysler Group's Trenton Engine plant, said he initially discounted talk of the Chrysler Group being sold, but he's not so sure anymore.
"If you asked me two days ago, I would have said 'No way in hell. Nobody is going to buy them,' " Pacheco said. "As of right now, I have no idea. I'm surprised" billionaire investor Kirk "Kerkorian hasn't popped back up."
Pacheco said he'd like to stay with the company but is preparing for tough times ahead. He's not sure how the buyouts and early retirement packages will shake out for him.
"My main concern right now is paying off any debt I've got, so when they pull the plug on my job, I don't owe anybody," Pacheco said.
Jason Craig, a 33-year-old worker at a Chrysler Group parts center in Center Line, said he's skeptical of the sale talk. "The media is making more out of it than what it is," he said.
But the 13,000 job cuts provide enough uncertainty on their own and could be just the start, Craig said. Married with two young children, he would like to stay at Chrysler but he's not sure enough older workers will take the buyouts to keep his job safe.
Craig worries long-term that more work traditionally done by UAW members will be outsourced to lower-paid workers at suppliers. He's not sure what he would do if he's forced out.
Mateik, the Warren truck electrician, also said he does not know what to expect anymore. He doubts GM is in a financial position to acquire the Chrysler Group, but a foreign automaker might have the money. A Chinese company would love to get a foothold in the United States, he said.
"There's a lot of rumors going around, a lot of speculation," Mateik said. "I'm not happy about it. When I started here, it was Chrysler. I didn't want to hire in at a foreign company, but obviously, that's not the way it is now."
-- "If they pull a knife, you pull a gun. If they put one of yours in the hospital, you put one of theirs in the morgue." Sean Connery, "The Untouchables"