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Purveyor

(29,876 posts)
Sun May 15, 2016, 06:14 PM May 2016

I’m An Auto Worker — And I Only Get By Thanks To Welfare

May 15, 2016
Philadonna Wade

Presidential candidates from both parties swept through my state last month, stumping about the need to bring more factory jobs to Ohio and across the country.

They forgot to mention one thing: Many of the new factory jobs that politicians celebrate at ribbon cuttings across the country pay barely more than what you find at McDonald’s or Wal-Mart today.

Take it from me. As a production worker at an auto parts plant in northeast Ohio, I’m paid just $9.50 an hour. By looking at my paycheck, you would never guess that I build cars for a living.

And I’m not alone. A study released this week finds that more than one-third of manufacturing workers in America are paid so little that they rely on public assistance. That fact rings true for me and for many of the people I know working in the manufacturing industry today.

I work 40 hours a week, but I’m able to provide dinner for myself and my children each night only because of the $480 I receive in food stamps each month. My family relies on government-subsidized housing in order to keep a roof over our heads. Visits to the doctor are an option only because of Medicaid. If we’re cold in the winter, we can turn on the heat only because I qualify for energy assistance.

more...

http://www.rawstory.com/2016/05/im-an-auto-worker-and-i-only-get-by-thanks-to-welfare/

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JonathanRackham

(1,604 posts)
1. Aren't these UAW negotiated jobs?
Sun May 15, 2016, 06:46 PM
May 2016

Are there non union auto manufacturing jobs?

Edit. My bad, these are not union jobs. Read further down the article.

I always thought auto manufacturing jobs were all unionized.

LiberalFighter

(50,504 posts)
12. Sadly, no they are not all union.
Sun May 15, 2016, 08:17 PM
May 2016

In the past, many of those jobs were part of the Big 3 manufacturing system.

bvar22

(39,909 posts)
2. President Obama is lauded with praise for "Saving the Auto Industry".
Sun May 15, 2016, 06:47 PM
May 2016

What always goes overlooked is the concessions that were demanded from Auto Unions and workers.
One of the many concessions was that "New Hires" receive a significant lower pay for the same jobs that used to be protected by Unions,
and that new plants need not be Union Shops at all.
Yes. The Auto Industry was "saved".....on the backs of the Workers,
unlike the Wall Street Banks which got their Bailout No Strings Attached.

"

As background, unions made significant concessions in the years prior to and during the bailout to restore the auto manufacturers to profitability. Eye care coverage and dental coverage were lost and significant wage reductions were conceded as well, “including lower wages for new hires who now make about half the $29 that longtime union workers make.” (As of last year, the wages of new hires were increased to $17 an hour.)

Instead of guaranteed annual raises, the unions now get profit sharing, which means they get nothing in unprofitable and lean years. An infamously unproductive job bank was eliminated, where laid off workers sat getting paid for doing nothing often for months at a time until work picked up again. Cost of living adjustments were suspended and overtime no longer paid until workers worked over 40 hours. Pensions were eliminated and replaced by 401(k)’s for new hires. Strikes were banned at GM and Chrysler under the terms of the government bailout.

How much were these concessions worth to the companies? “Chrysler reportedly won health care concessions granted to Ford and GM in 2005 that were valued at $340 million annually for the automaker.“ Factory wages and benefits now cost the Big Three automakers around $20 less an hour per worker than they did four years ago, “bringing labor costs and benefits in line with non-union auto manufacturers like competitors Honda and Toyota.” Specifically, Chrysler has managed to reduce its hourly labor costs in the past four years from $76 per hour to $49 per hour through buyouts of union workers who have been on the job for many years. As a result of this restructuring, GM will lower its ‘break even’ point to 10 million annual car sales from in excess of 16 million before the restructuring. While concessions in salary and benefits were significant, it is important to remember that labor costs make up only ten percent of producing a new vehicle.

http://www.huffingtonpost.com/marvin-meadors/did-president-obama-hand-_b_1317910.html

(The above is just the Tip of the Iceberg of concessions demanded from Auto Workers)

Double Standard between the Wall Street Bailout and the Auto Industry Bailout?
You bet.

appalachiablue

(41,053 posts)
9. Almost posted on the drastic pay cuts that I learned about two years after the bailout.
Sun May 15, 2016, 07:59 PM
May 2016

Thanks for the longer post on the full scope of the 'auto rescue.' How many people don't realize any or all of this I wonder.

passiveporcupine

(8,175 posts)
4. This is the truth
Sun May 15, 2016, 07:17 PM
May 2016
more than one-third of manufacturing workers in America are paid so little that they rely on public assistance.


And this is why we are fighting for Bernie. He won't stand for this. Hillary will.

What always goes overlooked is the concessions that were demanded from Auto Unions and workers.
One of the many concessions was that "New Hires" receive a significant lower pay for the same jobs that used to be protected by Unions,
and that new plants need not be Union Shops at all.
Yes. The Auto Industry was "saved".....on the backs of the Workers,
unlike the Wall Street Banks which got their Bailout No Strings Attached.


Yes. and this is not talked about, even here.
 

Jitter65

(3,089 posts)
6. And Bernie is not going to change that with free college tuition and single payer and people
Sun May 15, 2016, 07:37 PM
May 2016

know this.

Response to Jitter65 (Reply #6)

Baobab

(4,667 posts)
14. "Race to the bottom"
Sun May 15, 2016, 08:25 PM
May 2016

Its impossible for people to compete with machines.

We're headed towards a world where machines will do most of the building of other machines, and likely do a very good job of it.

doc03

(35,148 posts)
5. I hope the UAW makes life better for you. In my opinion it is not so much
Sun May 15, 2016, 07:25 PM
May 2016

the loss of manufacturing jobs but more the loss of jobs represented by unions that have killed the middle class.
I worked just short of 40 years in a steel company represented by the USWA. It was a struggle from the day
Ronald Reagan took office. Before Reagan pension plans were carried as a liability but under Reagan
pensions were changed to an asset. That is when the corporate raiders started taking over companies and
raiding pension funds. In 1985 the company filed bankruptcy and offered us about 1/3 of our pay to keep
working. We went on strike for 100 days and managed to save most of our wages but lost our pension.
In 1995 after we came out of bankruptcy the company had accumulated over $600 million in cash reserves
so we asked for a new defined benefit (DB) plan. The (DB) plan was estimated to cost about $130 million
but no they wouldn't agree. So in 1995 we went on strike again for 10 1/2 months and won a new (DB) plan. Then
all went well until 2003 when they go bankrupt again and the bankruptcy court allowed them to freeze our plan and the
company was sold. But the union was able to accept us into a multi-employer plan for the next 6 years until they liquidated
because of the Bush Depression in early 2009. So thanks to the union I get the first 1985 (DB) pension from the PGBC. The former owner of the company still pays our 1995 (DB) pension and I get another from the USWA for the last 6 years. So because of a union I have been able to retire with dignity and have a good Medicare supplement that the Union was able to negotiate for us retirees.
But yet here on DU supposedly a Democratic site I see people that are opposed to unions.

appalachiablue

(41,053 posts)
15. Glad you made it through all these trials, brought by Reagan & Co. Corps., banks
Sun May 15, 2016, 08:29 PM
May 2016

and businesses knew it was gold when he was elected and went straight to work. ~ There are people around who aren't supportive of unions which is most disappointing and more.

Person 2713

(3,263 posts)
10. People think they want manufacturing jobs back but it's really Union shop manufacturing jobs
Sun May 15, 2016, 07:59 PM
May 2016

that are missed . Jobs without benefits , good pay and pensions are not the same as what was here before
Oh yes horrors they had to pay dues

Baobab

(4,667 posts)
16. what if jobs are just going away?
Sun May 15, 2016, 08:34 PM
May 2016

Not all jobs, just most of them?

For good. Due to various kinds of automation.

Thats what's happening. very rapidly. Much faster than people realize.

 

The Jungle 1

(4,552 posts)
11. Full circle. Read the book: The Jungle by Upton Sinclar
Sun May 15, 2016, 08:06 PM
May 2016

This will not work. All the money at the top has never worked.
Republicans are destroying America.

Dustlawyer

(10,493 posts)
17. You know you need to raise the minimum wage when businesses pay so low a wage
Sun May 15, 2016, 08:45 PM
May 2016

that they qualify for food stamps and other government (taxpayer paid for) benefits. The middle class is paying for all of this because corporations and the very wealthy are not paying their fair share and getting us to subsidies their employees! How is that for mooching?

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