Kokomo Chrysler workers say no to contract

Kokomo union members overwhelmingly rejected a tentative contract with Chrysler.

United Auto Workers Local 685 shot down Chrysler LLC's proposal with a 2,269-881 vote. At Local 1166, the no vote was 586-165.

A large percentage of Kokomo's 6,000 Chrysler workers turned out for the vote.

"I think it sends a strong message to International to go back to the bargaining table and reach a better agreement," said Local 685 Union Official Chris Steward.

Chrysler and the International UAW reached the tentative agreement after a six-hour strike Oct. 10.

Primary reasons for the rejection center around Chrysler's proposed two-tier wage, lack of job security and ambiguous language surrounding core and non-core jobs.

The fate of the contract is uncertain as rejections have come in from Kokomo, as well as Fenton, Mo., Twinsburg, Ohio, and Newark, Del.

Seven local unions representing more than 16,000 workers have now turned down the landmark pact, while five locals representing about 8,200 workers have approved it. It's nearly impossible to keep a running total because most local union officials give out only percentages and not the number of people who voted.

Yet with a large chunk of the 45,000 workers covered by the contract still voting, UAW leaders in Detroit have started a heavy lobbying campaign for passage. Four more large locals in suburban Detroit are scheduled to vote today.

If the contract doesn't pass, Steward anticipates international will return to the bargaining table.

Steward listed a number of possibilities, including suspension of voting and a recount; put bargaining with Chrysler on hold and focus their effort on the upcoming Ford discussions; or return to the picket line.

Kokomo skilled-trades committeeman Shawn Fain, at Local 1166, said he's fairly certain the unions casting ballots today in Michigan will also vote it down.

"I'm definitely glad to see the results," Fain said, after telling UAW leadership in a letter that in approving the deal "you might as well get a gun and shoot yourself in the head."

"All the people here want is hope, something to build on," Steward said.

Chrysler was bought out by a private equity firm, Cerberus Capital Management LP, earlier this year. Under the new leadership, Chrysler management has decided to cut production of larger vehicles in favor of more fuel-efficient hybrids.

However, the company offered no guarantee to UAW members, Steward said.

"The UAW should have the first opportunity for any future products," he said.

The contract also makes a vague difference between core and non-core workers. A core worker is anyone who helps create the vehicle itself. Other workers, such as janitors, would be considered non-core workers and their wages would be reduced.

Under the contract, new hires for non-production jobs will start at $14, half of what workers currently make.

"Delphi set the precedent," said Brian Hite, a Local 685 production worker for Indiana Transmission Plant 1.

"If we lower our standards, what's to stop the rest of the businesses in town from lowering standards for their employees?" he asked.

Local 685 member Teresa Williams disagreed with many of her colleagues.

"It's a good contract. It does not take anything away from those of us already employed."

While she understood why members wanted parts of the contract clarified, she disagreed with their reasoning.

"They are vague so modifications can be made later down the road for both sides," she said.

As for job security, Williams said there is never a guarantee.

"Who can say they can go to any other plant in Indiana and the doors may or may not be locked?"

She's also concerned with the repercussions if the contract is not passed. If no agreement is reached, a long strike may be ahead for Chrysler workers.

Most workers are willing to take the risk.

"It's better to take our chances that way than accept this and not have any promises later on," said local 685 member Alice Hawkins.