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Bitter outcome of UAW contract betrayal: Chrysler to cut 12,000 more jobs
Friday, November 2, 2007 :This statement is also available in pdf format to download and distribute. Chrysler announced Thursday it will cut 12,000 jobs in the US and Canada over the next year as part of the massive restructuring plan of the company’s new owners, the private equity firm Cerberus Capital Management LP. The announcement, just five days after Chrysler workers narrowly approved a new four-year labor agreement, exposes the lies of the United Auto Workers union, which rammed through the contract by claiming it had won “unprecedented” job protections.
The layoff announcement underscores the catastrophic implications for auto workers of the betrayal carried out by the UAW. Not only does the new contract impose a 50 percent cut in wages and gut the benefits of newly hired workers, it signals the collaboration of the union leadership in Cerberus’ plans to hive off huge sections of Chrysler and sell the remnant to the highest bidder—reaping billions in profits for Cerberus’ Wall Street managers and wealthy investors by devastating tens of thousands of auto workers, their families and entire working class communities.
Thursday’s job cuts are in addition to the 11,000 the company announced last February. The combined total will slash the unionized workforce in the US over the next two years to around 35,000, a 41 percent reduction.
The company will discontinue four vehicle models and shut down shifts at five assembly plants—in Belvidere, Illinois; Toledo, Ohio; Brampton, Ontario; Windsor, Ontario; Jefferson North in Detroit and Sterling Heights in suburban Detroit—as well as the Mack Avenue V-6 engine plant in Detroit. Job losses will be felt as far as Austria, where contract workers build the now-cancelled Crossfire model.
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For more information:
http://www.wsws.org/articles/2007/nov2007/...
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