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GM's "Two-Tier" wage system

Hi everyone, I was hoping someone could enlighten me on the subject of the latest UAW-General motors contract. The thing I don't understand is the two-tier wage's. From my understanding new "non-core" hires will earn around half that of current assembly workers, around $14, and both new non-core hires along with new assembly hires will have much reduced benefits, but what do new assembly hires earn under the deal? And what determines who will be hired into non-core jobs and who into assembly jobs. I've known people hired to the assembly line with non experience, so how do they choose, especially with such a wage difference, maybe age is a factor. Also this would seem to make a heated work environment as those new hires into non-core jobs would be very bitter towards those hired into assembly.

Or I could be wrong about everything I have just said. Thanks.

Reply to
roidgerclemens
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The core more expensive workers will be given bad working conditions, no overtime and encouraged to quit.

The non core workers will have very short contracts so it will be easy to get rid of them.

This will make it possible to management to get bigger bonuses while the factories are being closed.

Reply to
Gosi

All represented workers are subject to the same union/management agreement. That contract spells out the job classifications to be paid a particular wage. Those involved in the skill categories ALWAYS have been paid better.

The way I understand it under the new agreement, those that perform un-skilled work like sweeping the floors etc., not related to building vehicles, will earn less. New employees will accumulate benefits such as pensions, at a slower or lower rate. In any event the wages and benefits will still be better than for those working in non-union plants. How will that affect the MSRP of the vehicles? I doubt much, since non union made vehicles, like most Toyota and Honda vehicles, assembled in the US and Canada, already have HIGHER MSRP figures than similar size domestics, when similarly equipped.

The core more expensive workers will be given bad working conditions, no overtime and encouraged to quit.

The non core workers will have very short contracts so it will be easy to get rid of them.

This will make it possible to management to get bigger bonuses while the factories are being closed.

Reply to
Mike hunt

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