CHATTANOOGA, TENNESSEE - MARCH 20: In this aerial view, a Volkswagen automobile assembly plant is ... [+]
The National Labor Relations Board has certified the vote by workers at the Volkswagen plant in Chattanooga, Tennessee to join the UAW. The vote, which took place April 17-19 marked the Detroit-based union’s first victory in its decades-long quest to organize non-union workers at foreign owned auto plants in the U.S.
The UAW and Volkswagen of America Inc. announced the news Tuesday in a joint statement.
“Volkswagen and union workers around the world have a long history of successfully building vehicles together, and we are jointly committed to a strong and successful future at Volkswagen Chattanooga with the UAW,” the statement said. “We share many common goals: providing a positive working environment where employees are well compensated for their hard work building quality vehicles and share in the company’s success. Both sides are now focused on collective bargaining and entering negotiations in the spirit of working together to reach a fair agreement and build world- class automobiles together and we are jointly committed to a strong and successful future at Volkswagen Chattanooga with the UAW.”
During the three days of balloting, 3,613 votes were cast representing 83.5% of employees who were eligible to vote with 2,268 voting yes and 985 no votes according to the NLRB.
The next step in the process is contract negotiations. It’s a process likely to be challenging as noted by UAW President Shawn Fain in an interview ahead of the vote.
UAW President Shawn Fain.
“That’s the hard part of this,” Fain said. “You know, people put so much focus on the election. The election is important because you have to vote to organize to get the first contract but you know, the first contract will also be a big deal.”
Just as the union enjoys its win at Volkswagen it has its eyes and efforts turned to its next quarry—a similar vote at two Mercedes-Benz plants in mid-May near Tuscaloosa, Alabama.
That vote is scheduled for May 13-17 at an SUV plant in Vance and a battery factory in Woodstock, representing over 5,000 workers.
Over the years the UAW has tried, but failed to win over workers at the so-called transplants. But that changed after the union won record raises and improved benefits during contract negotiations last fall with General Motors Co., Ford Motor Co. and Stellantis NV.
That caught the attention of workers at U.S. plants owned by foreign automakers who coveted the improved economics of their counterparts at the Detroit Three car companies.
Several foreign companies gave their workers raises in an attempt to stem any fervor for joining the UAW, but if the VW vote is any indication, that effort has fallen short. The vote at the Mercedes-Benz plants in a few weeks will indicate if the results at Volkswagen were a one-off victory for the union or the beginnings of a major shift in dynamics for auto makers who enjoyed the competitive advantage of lower labor costs in the U.S.
