Labor Storm Brews at Saturn Corp. as Union Members Challenge Company's Commitment to Workers

A growing labor storm is unfolding at Saturn Corp.'s Spring Hill, Tennessee facility, where hundreds of United Auto Workers (UAW) members are questioning the company's commitment to its workers. Frustrated over the company's unique compensation agreement, which links bonus payments to performance, workers are seeking a more stable compensation package. Mike Bennett, manufacturing advisor for UAW Local 1853, stated that the dispute over compensation is just one of the problems, as union members are also concerned about the gradual takeover of decision-making by General Motors Corp., Saturn's parent company.

Key Takeaways:

  • The UAW members will vote today on whether to maintain the current contract terms with Saturn or switch to the UAW national agreement, which would provide more wage stability.
  • The dispute over compensation is a significant issue, as workers received meager bonuses of around $2,000 each last year, resulting in total compensation below the industry average.
  • Union members are concerned about the gradual takeover of decision-making by General Motors Corp., which may lead to the loss of control for the UAW.
  • This is the largest movement among Saturn's rank-and-file workers to scrap the current contract and return to the UAW national agreement.
  • Mike Bennett believes that workers will likely vote to keep the current agreement, but if General Motors continues to exert control over the company, the UAW will likely switch to the standard contract.

Statistics:

  • Hundreds of UAW members are involved in the dispute over compensation.
  • Last year, workers received meager bonuses of around $2,000 each.
  • The industry average total compensation is higher than what Saturn's workers received last year.
  • 128,000 employees work for AT&T Corp.

Sources:

  • The Wall Street Journal
  • Tim Burn (202/636-3130) at The Washington Post