Local unionized General Motors Corp. workers gave mixed reviews Wednesday to a last-minute, cost-cutting tentative agreement between their union and the Detroit carmaker.
UAW Local 602 President Brian Fredline said late Wednesday that the measure passed by an "overwhelming margin.'' He withheld specific numbers, pending member notification.
The workers, members of Local 602, and members of Local 1753, gathered at the Lansing Center for briefings on the agreements. They also came to vote - something their co-workers represented by UAW Local 652 will do between 7 a.m. and 7 p.m. today at the union hall on Clare Street.
Local 652, which represents workers at the Lansing Grand River assembly plant and Lansing Regional Stamping facility, has scheduled its own briefings at 11 a.m. and 4 p.m. at the Lansing Center.
The agreement contains several cuts, such as the elimination of tuition assistance and cost of living adjustments. It also would reduce health benefits for retirees, including dropping vision and dental programs.
However, wages and health care benefits for current workers would remain largely untouched.
Ernest Perreault, a 32-year GM employee from Lansing, said the cuts to retiree health care will prevent him from taking the retirement incentive. "I'll hold onto my job,'' he said.
Seeks protection
The voting at Local 602, which represents workers at the Lansing Delta Township assembly plant, started hours after GM announced its bondholders had rejected a stock-for-debt plan, all but ensuring the automaker would file for bankruptcy in the coming days. It was unclear to many union members how, or whether, the tentative agreement might protect them in the event of a Chapter 11 filing.
"This doesn't give me any protection," said Kay McMillan, a GM worker and Eaton Rapids resident who has been laid off for about two months.
Plant to stay open
McMillan declined to say how she voted on the agreement, but said she doubted a bankruptcy judge would leave the contract untouched.
However, the contract does contain language that indicates GM plans to keep the Lansing Delta Township plant operating.
(2 of 2)
GM agreed in one section to give the Delta plant and three other domestic facilities preference over foreign factories.
Other domestic factories that will receive preference in work placement include facilities in Flint, Lordstown, Ohio, and Fort Wayne, Ind.
Fredline said the language reflects the union's effort to protect as many domestic jobs as possible.
"The UAW has been opposed to taking taxpayer money and investing it overseas," said Fredline, referring to the billions of dollars in federal loans keeping GM afloat. "We want that money invested in American jobs."
Sondra Simmons, a Local 602 member laid off since May 8, said she voted for the new contract even though she was disappointed workers would lose tuition assistance in the new deal.
"We really didn't have much of a choice," said Simmons, who has worked for GM for 14 years.
Nonetheless, Simmons said she believes workers will have more protection by voting for the pact than if they hadn't.
'Unfortunate'
Jeff Kosloski, who was idled in January, also did not want to see the tuition provision eliminated. He voted against the deal.
"Any time they take away benefits, I vote against it," said Kosloski, who has worked for GM for two years. "Not even passing the contract will keep GM out of bankruptcy."
Fran Roth of Holt said:
"We're caught between a rock and hard place. We hope a (bankruptcy) judge would look at this agreement and say these two parties are working together.''
Roth, a 14-year GM employee who voted for the agreement, called it, "unfortunate, but necessary.''
http://www.lansingstatejournal.com/article/20090528/NEWS03/905280351
