American Axle threatens additional plant closure UAW president says union will accept massive concessions

On Saturday the United Auto Workers revealed that American Axle wants to close its Cheektowaga, New York machine shop, which employs 116 workers. The company previously announced plans to close its forge plant in Tonawanda, New Yorkwith 460 workersand its Detroit forge plant, which employs 300 workers. The shutdown of the Cheektowaga plant would mean an end to American Axle operations in the Buffalo, New York area.

The strike began February 26 over company demands for huge cuts in pay and benefits. About 3,600 American Axle workers are on strike at five facilities in Michigan and New York.

UAW President Ron Gettelfinger revealed the American Axle demand for the closure of the Cheektowaga facility in an interview with Detroits WWJ radio on Saturday. In the same interview he confirmed reports that the union had already agreed to the closure of the Tonawanda and Detroit forges.

The UAW president also acknowledged that the union had already agreed to massive concessions. We have literally made hundreds of changes in this contract and throughout these negotiations. And I mean literally hundreds of changes, all to the companys advantage.

As an example he cited the Three Rivers, Michigan facility where he said the union had agreed to a wage rate so low, that they will have to work six months just to earn what the company gave their board of directors in an increase on their retention pay, which is $10,000.

Read More