GM, Chrysler endangering carhaul drivers’ jobs (guarantees with the promise to preserve U.S. jobs?)

[Omaha Steve]

http://www.workdayminnesota.org/index.php?news_6_4274

9 December 2009

DETROIT - General Motors and Chrysler, which took billions of dollars in federal loan guarantees with the promise to preserve U.S. jobs, are instead threatening thousands of union jobs – those of drivers who haul new vehicles on their huge trucks from factory to dealerships – the Teamsters say.
In a telephone press conference, union Auto Transport Division Director Fred Zuckerman explained the two formerly bankrupt car companies are cutting costs by outsourcing the carhauling to non-union, unqualified and ill-equipped private operators. Up to 9,000 union workers could lose their jobs; At least 400 already have.

The union has taken its case to Congress, with a report on the issue, Damage When Delivered. Two lawmakers – Reps. Lacy Clay, D-Mo., and Joe Baca, D-Calif. – promised to raise a fuss. But Clay admitted there was nothing they could do legislatively to reverse the automakers’ actions.

“All you can do is bring this deal to the attention of the Obama administration and the Treasury Department,” which administers the loans to GM and Chrysler, now Fiat-Chrysler, said Clay. “We’ll let them know we’re shining a light on this. It is outrageous that after taking billions of dollars from U.S. taxpayers, GM and Fiat-Chrysler would try to destroy good-paying American jobs that offer a living wage with decent benefits.”

The carhaul drivers, covered by contracts between the Teamsters and Detroit’s not-so-big-anymore three automakers, haul new cars from factories around the country to dealerships. With a typical car costing more than $20,000 – and with a car carrier costing between $180,000 and $250,000 – a lot of money is riding with those drivers.

FULL story at link.