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UAW’s King Joins Opel Supervisory Board

An ulterior motive?

by on Mar.30, 2012

UAW President Bob King.

Bob King, the President of the United Auto Workers Union, is taking on a new role as member of the supervisory board of Adam Opel AG, General Motors’ principal European subsidiary.

King was appointed Wednesday by IG Metall, the German’s metalworkers union, to serve as a representative on Opel AG’s Supervisory Board as a labor representiative – unions typical hold such seats in Germany but bringing onboard an American labor labor is a unique move. King’s appointment is effective June 1, UAW spokeswoman Michele Martin confirmed.

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King’s appointment to the supervisory board, which under German law has the authority to hire and fire Opel’s management and challenge its strategy, thrusts him into the middle of complicated negotiations between GM and Opel on one wide and IG Metall on the other.

After losing over $700 million last year, compounding a decade of losses, Opel is readying a turnaround plan expected to call for the closing of one, and possibly two of its assembly plants.  One is, in turn, likely to be in Germany.


Hopes Fading for Quick Settlement in Auto Talks

Two-tier wages could be sticking point.

by on Aug.30, 2011

UAW President King insists the U.S. is not broke.

Chances for a quick and amiable settlement in contract talks between the United Auto Workers Union and Ford Motor Co, General Motors and Chrysler Group appear to be fading as labor and management head towards their Sept. 14th deadline.

Both sides continue to put a positive spin on the pace of talks – at least for public consumption – but sticking points are starting to develop.  The union, for one, is taking an increasing tough tone on the two-tier wage system the Big Three insist they need to stay competitive.  And, the manufacturers warn, that without a sense they can remain on a cost par with their foreign competitors they will need to consider exporting more jobs.

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On the other hand, the makers are also dangling a carrot, suggesting that labor peace could lead to significant job creation in a domestic industry that has seen its job base shrivel over the last several decades.

The two-tier wage debate has spurred angry talk – and some local demonstrations – in recent weeks, though UAW president Bob King continues to insist he is “upbeat” about the prospects for reaching a peaceful resolution.