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Pals, the weekend is lastly right here. It’s September 1, 2023, and that is The Morning Shift — your day by day roundup of the highest automotive headlines from world wide, multi function handy place. Listed here are all of the necessary tales it’s good to know as we speak.
1st Gear: United Auto Staff File Unfair Labor Observe Prices In opposition to GM And Stellantis
Union negotiations are robust. I get it. However the UAW’s ongoing contract negotiations with Detroit’s Massive Three appear to be harder than most, as the employees ask for the identical pay will increase their bosses have seen in recent times. Now, the union is claiming that GM and Stellantis aren’t even bothering to cut price — and so they’re claiming it in court docket. From Automotive Information:
Individually, [UAW President Shawn] Fain mentioned the UAW has filed unfair labor practices expenses in opposition to Normal Motors and Stellantis, a tactic that hardly ever has been used throughout bargaining with the Detroit 3.Fain mentioned the UAW had submitted complaints to the Nationwide Labor Relations Board saying the 2 automakers haven’t adequately responded to the union’s contract calls for. The UAW’s contracts with the Detroit 3 expire Sept. 14.“GM and Stellantis’s willful refusal to cut price in good religion just isn’t solely insulting and counterproductive, it’s additionally unlawful,” Fain mentioned.The complaints, that are an identical and supply little element, allege that “throughout the previous six months, the employer has violated the [Labor Relations] Act by refusing to cut price in good religion over necessary topics of bargaining together with however not restricted to wages and advantages.”
The eagle-eyed amongst you’ll discover that Ford didn’t get a ULP cost. That’s as a result of the Blue Oval apparently is bargaining actively with the UAW — simply not providing a lot. Nonetheless from Automotive Information:
Ford’s proposed wage enhance is beneath what the UAW is asking for, Fain mentioned. Ford has provided to cut back the size of time it takes a brand new rent to obtain high wages from eight years to 6, whereas the UAW desires to get rid of the grow-in interval solely.
Moreover, Fain mentioned Ford desires limitless use of non permanent staff, has refused to reinstitute cost-of-living wage changes, won’t enhance retiree pay and won’t comply with the UAW’s demand for a program that that will give staff their regular pay throughout a layoff.
He mentioned Ford desires to vary the present profit-sharing system, which pays staff $1 for each $1 million in pretax North America earnings.
Beneath Ford’s proposed system, Fain mentioned, staff would have earned 21 p.c lower than they did prior to now two years.
Don’t count on these negotiations to finish any time quickly. With the WGA, SAG-AFTRA, Starbucks, Teamsters, and extra making up Sizzling Labor Summer time, it’s not inconceivable that the UAW may head to the picket strains for an equally scorching labor fall.
2nd Gear: The U.S. Authorities Is Pouring $12 Billion Into EV Manufacturing
Seems, retooling all of your factories from constructing ICE autos to constructing EVs is pricey. Setting up solely new services to construct batteries prices much more. There’s an issue right here — automakers don’t like spending cash, and can keep away from it with all their would possibly, but when somebody doesn’t shell out for the EV transition then we’re all going to die. Fortunately, another person is stepping in to shoulder the prices: You. From the Wall Avenue Journal:
The Vitality Division mentioned it’s planning to offer as much as $12 billion in funding for automakers to retrofit present manufacturing services within the U.S. for the manufacturing of electrical and hybrid autos.
A lot of the funding, some $10 billion, will probably be allotted from an advanced-vehicle manufacturing program overseen by the division’s Mortgage Applications Workplace, Vitality Secretary Jennifer Granholm mentioned. The opposite $2 billion will come from funds allotted by final yr’s Inflation Discount Act.
The funds will assist present jobs in longstanding automaking communities because the auto trade transitions to electrical autos, Granholm mentioned. The Vitality Division mentioned it will favor initiatives which might be prone to retain collective bargaining agreements and have excessive wages.
The division additionally plans to make $3.5 billion obtainable for home battery manufacturing. Corporations and the U.S. authorities have been shelling out billions of {dollars} to determine a North American provide chain for rechargeable battery supplies because it races to meet up with China, which dominates the battery provide chain.
Thanks, reader! All these automakers determined that the destiny of the world appears to be like unhealthy on their steadiness sheets, so we’re glad you stepped in together with your tax {dollars} to repair the whole lot as an alternative. Phew.
third Gear: Hyundai And LG Are Placing An Further $2 Billion Into Georgia Battery Plant
After all, the most important automakers aren’t spending nothing on the EV transition. Loads of them are spending a minimum of a couple of of their very own {dollars} on modernizing their manufacturing services to higher deal with the twenty first century. Take Hyundai, which — in partnership with LG — is reinvesting in U.S.-based battery manufacturing. From the Detroit Information:
Hyundai Motor Group and LG Vitality Answer mentioned Thursday they may spend an extra $2 billion and rent an additional 400 staff to make batteries on the automaker’s sprawling U.S. electrical car plant that’s beneath building in Georgia.
The announcement by the South Korea-based corporations — one a serious automaker, the opposite a number one producer of lithium-ion batteries used to energy electrical autos — expands on a partnership they launched three months in the past to supply batteries on the similar website west of Savannah, the place Hyundai plans to begin EV manufacturing in 2025.
The information Thursday brings the businesses’ whole funding within the Georgia plant to greater than $7.5 billion and the positioning’s general deliberate workforce to eight,500.
Hyundai hasn’t mentioned what the extra funding will go in the direction of — greater output from the manufacturing unit, quicker scaling, or simply actually good decorations within the breakroom when it’s somebody’s birthday on employees. In all probability not the final one, however I’m not ruling it out solely.
4th Gear: Korean Automaker Gross sales Hold Climbing
Hyundai is getting ready itself for the long run, however the firm — alongside its siblings, Kia and Genesis — is already doing properly. The three Korean automakers all noticed gross sales rise within the U.S. for the month of August, although not all boats had been lifted equally. From Automotive Information:
U.S. light-vehicle gross sales rose once more in August at Hyundai and Kia, helped by the very best trade stock ranges in two years and rising incentives that helped offset greater rates of interest for customers.
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Hyundai Motor America mentioned U.S. gross sales throughout the month improved 1.1 p.c to 65,046 autos whereas Kia America reported a achieve of 9.2 p.c to 72,147 autos.
Hyundai’s luxurious model Genesis mentioned gross sales throughout August surged 27 p.c to six,453 autos.
The Hyundai Kona subcompact crossover led the way in which with a 71 p.c achieve to five,777 deliveries. Santa Fe and Tucson each recorded double-digit hikes. Amongst decliners, the Elantra fell 21 p.c and the Palisade slipped 26 p.c.
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Kia’s outcomes had been paced by surging gross sales of the Niro compact crossover with 3,896 deliveries and the Carnival minivan with 5,428. Kia Soul gross sales slipped 23 p.c to 4,911 models.
Poor, poor Kia Soul. Have we, as a nation, misplaced our love for bizarre little boxy crossovers? Or are we merely mourning the lack of these hamsters from the early advert campaigns?
Reverse: And Then We Left It There, Undisturbed, And No One Ever Obtained Crunched Into A Paste In A Submarine About It
On The Radio: Speedy Ortiz – ‘Ghostwriter’
It’s the primary of the month! Did you say your rabbits this morning? If not, Speedy Ortiz has you lined — their newest album, Rabbit Rabbit, dropped as we speak. They’ve been killing it for a full decade now, and it doesn’t sound like they’ll be slowing down any time quickly.
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