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Statement by UAW Vice President Richard Shoemaker on GM's Plans To Seek Buyers for Delphi Plants

19 September 1997

Statement by UAW Vice President Richard Shoemaker on GM's Plans To Seek Buyers for Delphi Plants

    DETROIT, Sept. 19 -- UAW Vice President Richard Shoemaker
strongly criticized GM's announcement on Thursday that they planned
to sell a number of UAW-represented Delphi plants.  Shoemaker directs the UAW
General Motors Department.  Following is Shoemaker's statement:

    "We find it deeply troubling that despite achieving $3.8 billion in
profits in the first six months of 1997, General Motors is loudly proclaiming
their intention to sell a number of UAW-represented Delphi facilities.  GM is
hardly pressed for cash, having made $19.2 billion in after-tax profits from
1993-1996, the highest ever in GM performance for a four year period.
    "A reasonable profit is one thing.  But when the corporation is awash in
money, handing out ever higher returns to its top executives, to threaten the
job security of the workers to add a few more dollars to the pile is
unconscionable.  What the corporation should be doing is using more of these
record profits to make the capital investments in their U.S. facilities that
are long overdue.
    "This announcement serves only to undermine the relationship between the
UAW and the company in a period when that relationship has already been deeply
strained.  Morale among UAW-represented GM workers is already low, given the
corporation's confrontational insistence on cutting jobs far beyond the levels
needed to assure quality production in safe working conditions.  This
announcement will do nothing to improve the relationship between union and
management.
    "We do not believe that selling these facilities will enhance the
corporation's long term profitability.  The best way to achieve that goal is
for the corporation to stop treating workers as disposable, but rather to
reward their diligent and successful efforts to increase productivity and
quality with more job security, not less.
    "We will be discussing this matter in detail with the company.  Should any
of these facilities ultimately be sold, our membership will continue to have
the protection of the UAW contract since any prospective buyer will be
obligated to assume the terms and conditions of the UAW-GM National
Agreement."

SOURCE  United Auto Workers