Loss at Volkswagen plant upends union’s plan for U.S. South

In a stinging defeat that could accelerate the decades-long decline of the United Auto Workers, Volkswagen AG workers voted against union representation at a Chattanooga, Tennessee plant, which had been seen as organized labor’s best chance to expand in the U.S. South.

The loss, 712 to 626, capped a sprint finish to a long race and was particularly surprising for UAW supporters, because Volkswagen had allowed the union access to the factory and officially stayed neutral on the vote, while other manufacturers have been hostile to organized labor.

UAW spent more than two years organizing and then called a snap election in an agreement with VW. German union IG Metall worked with the UAW to pressure VW to open its doors to organizers, but anti-union forces dropped a bombshell after the first of three days of voting.

Republican U.S. Senator Bob Corker, the former mayor of Chattanooga who helped win the VW plant, said on Wednesday after the first day of voting that VW would expand the factory if the union was rejected.

The UAW said it would “evaluate” the conduct in the vote, where 89 percent of eligible workers cast ballots.

“We are outraged at the outside interference in this election. It’s never happened in this country before that a U.S. senator, a governor, a leader of the house, a leader of the legislature here threatened the company with those incentives, threatened workers with the loss of product,” Bob King, the UAW president who has staked his legacy on expanding into the south, said.

UAW membership has plummeted 75 percent since 1979 and now stands at just under 400,000.

More…

    
Plugin by: PHP Freelancer
This entry was posted in Editorial, Financial and tagged , , . Bookmark the permalink.