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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

2015 Fit Kit is the perfect DIY car from Honda

Ah... let the April Fools' Day automotive jokes begin. Honda is kicking things off, following up on last year's Honda Hair joke with a prank video featuring the 2015 Honda Fit.
It's called the Fit Kit, and as you might guess, it's a way to build your own version of the redesigned hatchback. There are 180,000 mechanical parts in the kit - some delivered by drone - but that doesn't seem at all daunting to the pair of obnoxious, self-described tinkerers that star in the Fit Kit ad.
Honestly, the video is pretty entertaining, with some biting satire of the DIY movement and its attendant cadre of mustachioed hipsters. Scroll down and have a look at both the video and the Fit Kit press release from Honda.

Honda to dub Fit-based as HR-V for North America

You may remember it as the Urban SUV (pictured above) from when it debuted in concept form at the Detroit Auto Show last year, or know it as the Vezel as the production version was unveiled for the Japanese Domestic Market at the 2014 Tokyo Motor Show. But when Honda starts exporting its new Fit-based crossover - or better yet, building it in Mexico for North American consumption - it will be called the HR-V.
This news comes courtesy of Honda enthusiast forum Temple of VTEC. When contacted by Autoblog, Honda spokesmen declined to comment on the veracity of the report, saying only that it would "announce the name in the near future," but the handle fits with what we know about Honda's history with compact crossovers. The previous HR-V (which was not available in the States) was a high-riding, squared-off crossover built between 1999 and 2006 and based on the Fit's predecessor, the Honda Logo.
While the HR-V moniker might not have name recognition in North America, it would in Europe where Honda also hopes its new crossover will find eager customers. It will also fit in nicely below the CR-V that will continue on as the HR-V's larger stablemate.