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J.D. Power study sees new car dependability problems increase for first time since 1998

For the first time since 1998, J.D. Power and Associates says its data shows that the average number of problems per 100 cars has increased. The finding is the result of the firm's much-touted annual Vehicle Dependability Study, which charts incidents of problems in new vehicle purchases over three years from 41,000 respondents.
Looking at first-owner cars from the 2011 model year, the study found an average of 133 problems per 100 cars (PP100, for short), up 6 percent from 126 PP100 in last year's study, which covered 2010 model-year vehicles. Disturbingly, the bulk of the increase is being attributed to engine and transmission problems, with a 6 PP100 boost.
Interestingly, JDP notes that "the decline in quality is particularly acute for vehicles with four-cylinder engines, where problem levels increase by nearly 10 PP100." Its findings also noticed that large diesel engines also tended to be more problematic than most five- and six-cylinder engines.

2015 Honda Civic Type R to sire next-gen CR-Z?

Salt shakers at the ready, boys and girls. There's a rumor out of Australia claiming the next Honda CR-Z will be based on the forthcoming 276-horsepower, turbocharged Civic Type R. Apparently Honda's research and development bigwigs have been unnerved by the reception of the Scion FR-S/Subaru BRZ twins and are eager to return fire.
Now, don't get too excited - Honda isn't following the Volkswagen model of offering virtually unchanged mechanicals in a different bodyshell (Beetle Turbo and GTI, for example). Instead, the report says the future CR-Z will retain its hybrid powertrain, albeit with a serious kick in the pants. A prototype is said to already be zipping around Japan with a turbocharged, direct-injected, 1.5-liter, four-cylinder engine and the current CR-Z's electric motor and battery pack. With a reported 221 horsepower mated up to a seven-speed, dual-clutch transmission (say buh-bye to the CVT and six-speed manual) and the next-gen Civic platform underneath, the rumored CR-Z has all the makings of a hot hatch riot.
Of course, this all sounds wonderful. This is also the point where you should be enjoying that salt. We really like the idea of a properly hot CR-Z that can compete with John Cooper Works Mini models and the new Ford Fiesta ST, but the three-door hybrid has been such a slow seller for Honda in the US that it might not field a second generation here, no matter how improved it might be. Let us know what you think of an amped-up CR-Z in the comments. Is it a good idea, or is this one Honda model that's just too far gone?

Foreign automakers pay from $38 to $65 per hour to non-union workers

As leaders for the United Auto Workers gather in Detroit for their Special Convention on Collective Bargaining to work out the negotiating stance for this year's new labor agreements with the Detroit 3 automakers, what they most want to do is figure out how to eliminate the two-tier wage scale. However, the lower Tier 2 wage has allowed the domestic automakers to reduce their labor costs, hire more workers, and compete better with their import competition. As it stands, per-hour labor rates including benefits are $58 at General Motors, $57 at Ford, and $48 at Fiat-Chrysler – a reflection of FCA's much greater number of Tier 2 workers. The Center for Automotive Research released a study of labor rates (including benefits) that put numbers to what the imports pay: Mercedes-Benz pays the most, at an average of $65 per hour, Volkswagen pays the least, at $38 per hour, and BMW is just a hair above that at $39 per hour. Among the Detroit competitors, Honda workers earn an average of $49 per hour, at Toyota it's $48 per hour, Nissan is $42 per hour, and Hyundai-Kia pays $41 per hour. The lower import wages are aided by their greater use of temporary workers compared to the domestics. Automotive News says the ten-dollar gap between those foreign camakers and the domestics turns out to about an extra $250 per car in labor, which adds up quickly when you're pumping out many millions of cars. That $250-per-car number is one that, come negotiating time, the Detroit 3 will want to reduce, as the UAW is trying to raise both Tier 1 and Tier 2 wages. Another wrinkle is that the domestic carmakers are considering the wide adoption of a third wage level lower than Tier 2. Some workers who do minor tasks like assembling parts trays kits and battery packs already make less than Tier 2, but the UAW will be quite wary about cementing yet another wage scale at the bottom of the system while it's trying to fight a bigger battle at the top. News Source: Automotive News - sub. req., BloombergImage Credit: AP Photo/Erik Schelzig Earnings/Financials UAW/Unions BMW Chevrolet Fiat Ford GM Honda Hyundai Kia Mercedes-Benz Nissan Toyota Volkswagen labor wages collective bargaining labor costs