GM and IUE Negotiate to Avoid Strike

04/05/96

United Press International reports that both GM and the International Union of Electrical Workers (IUE) Local 755 are optimistic that they can work out a dispute before the strike deadline set by the union rolls around. 2,700 members of the IUE at two Delphi Chassis plants in Kettering, Ohio have said they will strike at midnight next Wednesday (April 11) if an agreement is not reached.

The workers make suspension systems, struts, shocks and energy absorbers for bumpers installed in GM cars and trucks, and about 85 percent of the parts they make go directly to other GM assembly plants. The union's dispute with the company revolves around "outsourcing"--shifting work normally done by union workers in company plants to non-union subcontractors. Outsourcing sparked last month's UAW strike which crippled GM. The issue is especially important to unions, as it concerns the loss of union jobs.

The IUE's optimism about resolving the dispute before workers are forced to strike was reflected in a letter that the local's leadership sent out to rank and file members: "This location has a long history of working out the issues with GM. It has been approximately 40 years since this location had a work stoppage due to a strike."

For GM's part Delphi spokesman Jim Hagedon said "The fact we're talking is a sign we're working things out."

Last month's UAW strike ended with both sides claiming victory after worker's ratified a contract that allowed GM to buy brake parts for specific models from German manufacturer Robert Bosch GmbH in exchange for adding at least 275 jobs at the plants that went out on strike.

Paul Dever -- The Auto Channel