General Motors is back at the bargaining table just two years after reaching a national contract agreement with the UAW amid a 40-day national strike.
This time, GM is trying to hammer out a local contract with workers at its Bowling Green Assembly plant in Kentucky where it builds its popular Corvette sportscar.
The 1,300 hourly workers at the plant, located about an hour north of Nashville, have been without a local union contract for two years.
But they recently rejected the plant management's latest offer because of outstanding demands that local union leaders say management won't settle and the union won't withdraw.
"The arrogance really is frustrating because the demands that we haven't satisfactorily settled are not egregious in nature, especially during economic good times," said Jason Watson, shop chairman of UAW Local 2164, which represents the Bowling Green Assembly hourly workforce. "We're not in a recession."
The local contract at a plant typically addresses working conditions, whereas the national contract outlines pay, benefits and other financials across the company.
The Demands
The plant's workforce sent management a clear message they will hold strong for their demands.
On Jan. 10, 98% of the plant's production workers and 97% of its skilled trades workers voted to reject an offer from plant management, said Brian Ferrett, president of UAW Local 2164.
Two days after the vote, Watson said, he requested a strike notice with UAW Region 8 offices, which will take it to the UAW International for approval. The Bowling Green Assembly workforce voted to authorize a strike in April, Ferrett said. The possibility of workers walking off the job if they can't get an acceptable tentative contract is "real," he said.
There are four outstanding issues the union wants from GM:
—To commit to using UAW members for contracted jobs such as 3-D printing, maintenance work and striping of cars, all currently done by outside companies.
—To commit to build future Corvettes, including a possible electric version, at Bowling Green.
—To commit to using Local 2164 skilled trade workers in the Performance Build Center, the department in the plant where GM makes performance motors for the Corvette Z06, the Cadillac Blackwing series for the CT4 and CT5 sports sedans, and performance Camaro muscle cars.
—To commit to a higher pay rate for certain job classifications in the plant that require additional knowledge and skill to perform.
"When you fit the quarter panels, roof, the doors on ... it's a Corvette and it definitely has to meet certain standards so that we keep our customers happy," Watson said. "Ensuring we're making a quality product is absolutely high on our priority list. But to get that all right, takes special skill."
At the bargaining table
The two sides were back at the bargaining table Thursday and the plant continues to run on its regular two shifts.
The plant produces about 186 Corvettes each day, some priced as high as $100,000, Ferrett said.
Watson said there is "internal dialogue going on" regarding his request for a strike notice, but there's been no decision on it yet.
"In the meantime, plant management and the company have asked us to go back to bargaining," Watson said.
GM spokesman David Barnas declined to comment on any details around the talks other than to say, "We will continue to negotiate with the local UAW in good faith and will run regular production while talks continue."
The UAW also declined to comment in detail, noting, "This is a local contract matter that is currently in pending local negotiations," said spokesman Brian Rothenberg.
"We absolutely do not want a strike," Watson said. "However, when management continues to very reluctantly or satisfactorily settle these issues, then they're going to remain on the bargaining table."
COVID to Tornadoes
Ferrett agreed a strike would be a last resort considering everything the plant workforce has been through in recent years.
"The orders are tremendous," for Corvettes, Ferrett said. "Every time we get rolling there's a disruption. It started with the 40-day national strike, then we get rolling again and it's COVID."
There were also several weeks of temporary layoffs due to various parts shortages over the past 18 months, Watson said.
Then, last month, a tornado swept through Kentucky, damaging the plant when it caused a fire on the roof and tore at the exterior of the building, including damaging an employee entrance.
About 20 to 30 people were inside at the time and took shelter in the basement when emergency alarms sounded. No one was injured. But GM laid off all 1,200 of those on the assembly line for the entire week as it idled the plant to assess damage and make repairs.
If GM and the local do get a tentative contract for members to vote on and it passes, it would be short-lived, expiring in September 2023, Watson said. Still, he and Ferrett hope to find a compromise agreement both sides can accept.
"We want to see success for the company we work for," Watson said. "But, for our workforce, we want to have continued success and jobs at the plant and job security too."
