Posted by Buzzman72 on December 13, 2008 at 09:10:20 from (74.129.220.44):
In Reply to: Re: Auto -help posted by I need a handle on December 13, 2008 at 08:02:35:
According to today's newspaper, at today's rate of pay, the UAW worker makes $29 an hour...compared to $26 an hour for the "transplants" [foreign companies with US plants].
Holiday pay, vacation, and overtime costs the US companies $14 an hour, vs. $9 an hour for the transplants. Healthcare and payroll taxes is about a wash, with US companies paying $12 an hour vs. $11 an hour for the transplant companies.
The biggest difference in hourly cost to the US companies is retiree pensions and healthcare. For the US companies, it's $16 an hour,vs. $3 an hour for the transplants.
So take away the retiree costs, and it's $55 an hour in employee costs for the US manufacturers, vs. $46 an hour for the transplants...a MUCH more level playing field, don't you think?
And according to the information in the paper, in 2011 when the UAW is to inherit the employee pension funds--and expenses--the TOTAL hourly employee costs will drop to $53 an hour for the US auto companies...vs. $49 an hour for the transplants.
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