http://www.businessweek.com/news/2010-03-17/toyota-venture-plant-s-union-chief-criticizes-severance-terms.htmlMarch 17, 2010, 4:49 PM EDT
(Adds UAW official’s comment in sixth paragraph.)
By Alan Ohnsman
March 17 (Bloomberg) -- Toyota Motor Corp., the world’s largest carmaker, added a “gag order” to severance terms for workers at a California plant slated to close to keep employees from discussing the deal’s details, a union official said.
New United Motor Manufacturing Inc., or Nummi, in Fremont, California, a former joint-venture factory equally owned by Toyota and the former General Motors Corp., is to halt auto- assembly operations on April 1. United Auto Workers employees at the plant vote on the severance package today.
“The offer mandates a gag order that I believe violates our First Amendment rights under the U.S. Constitution,” Sergio Santos, president of the plant’s UAW Local 2244, said in a statement today. “Under conditions set by Toyota, after the agreement is ratified, I will no longer be able to comment on the plant closing or its impact on our members.”
Toyota said March 3 that it would pay $250 million to Nummi’s 4,700 workers who will lose their jobs when the plant closes. Motors Liquidation Co., which took over assets shed by the former GM, and the new General Motors Co., which exited bankruptcy in July, aren’t providing financial aid to Nummi workers.
Toyota boosted its total severance payment to $278 million, Santos said today in a telephone interview. Results of the UAW local’s ratification vote may be available tomorrow, he said.
Motors Liquidation’s lack of assistance is a “copout,” Santos said. “But Toyota has the ability to pay and the ability to keep the plant open,” he said.
FULL story at link.