With a 70 percent “yes” vote, members of newly-affiliated UE Local 735 employed at Autoline in Butler, Indiana on July 10 ratified a three-year agreement that was the result of hard-fought negotiations. Autoline workers voted in April to affiliate their independent union with UE, as they faced attacks by the employer on conditions in the shop and harsh concessionary demands at the bargaining table.
Autoline USA is a subsidiary of an Indian auto parts manufacturer that entered the U.S. market when it purchased the Butler plant in December 2008. When negotiations began last winter, the leaders of the independent union contacted UE and asked for assistance. They realized that they needed help in mobilizing their membership for the tough fight ahead, and they needed a strong national union with resources, experience, and a demonstrated commitment to help workers fight for their rights. They knew about UE because of two nearby UE locals: Local 770, representing workers at Hendrickson Truck Suspension Systems in nearby Kendallville, IN and in Butler; and Local 715 at Diversified Machine Inc. – another auto parts company – in Edon, OH.
The company’s contract demands constituted a wide-ranging attack on workers and their union. It proposed eliminating the union shop, unlimited use of temporary employees, preferential seniority for group leaders only, and significant wage cuts for all employees, with the most skilled workers losing up to 40 percent. The company also wanted to take away two weeks of vacation from most employees, and sought the unrestricted right to use non-union “maintenance technicians” to perform any kind of bargaining unit work. It wanted laid-off workers’ recall rights to expire after just six months, and it wanted the unlimited ability to temporarily transfer workers. In addition, the company sought a doubling of workers’ premium contribution for the major medical plan.
FIRST PICKET LINE
Immediately following the affiliation vote, the union started fighting back. In May, the company sent out letters to laid off workers that looked like recall notices, but the letter was instead a notice telling workers to get in touch with the company – a procedure not included anywhere in the contract. Since the letter was not a recall notice, 14 workers failed to respond, and the company immediately fired them. For the first time ever, the union conducted lunch time picketing, with the demand that the fired workers be reinstated. When the boss saw that 90 percent of the workers participated in this action, he quietly backed off and rescinded the firings.
The fight to resolve the contract included more mass picketing; stickers, petitions, and buttons in the shop; and a visit to the mayor’s office. Joining Autoline workers on their picket line were members of UE Local 715. The union told Autoline at the bargaining table, that as long as there was “no justice, there would be no peace!”
The week before the July 13 contract expiration, the local carried out shop mobilization classes that were attended by over 60 percent of the membership. Members learned tactics which they immediately applied on the shop floor, and workers conducted in-plant meetings all week at the lunch tables.
International solidarity also played a role in this struggle. UE informed our labor allies in India about this fight with an Indian company. Ashim Roy, general secretary of the New Trade Union Initiative, a large progressive Indian labor federation, sent a letter to the CEO of Autoline Industries Ltd., describing the situation at the Butler plant and expressing concern that the company “appears intent on imposing drastic cuts in wages, insurance, pension and vacation” on the UE Local 735 members. “We stand in solidarity with Autoline workers in their fight for dignity, justice, democracy and defence of labour rights,” he concluded.
While the company’s worst concessionary proposals were defeated, the members did take some hits. These include temporary concessions on vacations and holidays, a freeze on 401(k) contributions for the term of the contract, increases in major medical contributions, and the continuation of two-tier wages. There were no wage cuts for 80 percent of the workforce, and small reductions of less than 5 percent in the rates of some skilled workers. On the plus side, weekly sickness and accident pay increased from $200 to $250, and the new contract adds reasonable limits on the company’s use of “maintenance technicians.”
Local 735 members are proud of the battle they fought. Everyone knew they deserved much more, but with 65 members working while 40 are on layoff, and with an official unemployment rate of nearly 15 percent in the area, workers decided that the best course was to settle now on the best terms available, allow the company to bring in new production lines over the next two years, and prepare to fight for more substantial gains in the next round of bargaining.
The UE Local 735 bargaining committee included Local President Teresa Willibey, Vice President Gary Petre, Chief Steward Bernice Delong, Secretary-Treasurer Mike Leffel, and Recording Secretary Gloria Cannady. They were assisted by UE International Representative Tim Curtin and UE Western Region President Carl Rosen.