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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

BMW's DTM champ swaps rides with Mini's Dakar winner

BMW may not race in F1 any longer, and it doesn't compete with Audi and Porsche in the LMP1 class at Le Mans. It even shut down Mini's short-lived effort on the World Rally Championship. But that doesn't mean it doesn't race at all. In fact it's the current reigning champion both in DTM and at Dakar. So to highlight its varied motorsport programs, the German automaker had two of its top drivers swap rides. German driver Martin Tomczyk, who won the DTM title in 2011 and now drives for BMW, took to Nasser Al-Attiyah's Mini All4Racing Countryman on the sand dunes of Dubai. Meanwhile the Qatari driver, who has won the Dakar Rally two times now, took to the wheel of Tomczyk's BMW M4 DTM around Oschersleben in Germany. They even repeated the game of musical chairs at Hockenheim over the weekend. If anything, the promo clip shot by Red Bull just goes to show how different the varied racing machinery can be, and the challenges posed to racing drivers switching between disciplines. But lessons aside, it's a cool clip, so check it out above. Two champions swap cockpits: Martin Tomczyk drives the MINI ALL4 Racing, Nasser Al-Attiyah the BMW M4 DTM. Munich (DE), 1st May 2015. From asphalt to sand and back again: BMW DTM driver Martin Tomczyk (DE) and MINI ALL4 Racing ace Nasser Al-Attiyah (QA) both entered unfamiliar territory and took each other's cars for a test drive. As part of a video shoot for BMW Motorsport Premium Partner Red Bull in Dubai (AE), Tomczyk, a proven master of his trade on asphalt as the 2011 DTM Champion, took the wheel of the MINI ALL4 Racing, with which X-raid has won the famous Rally Dakar the last four years. During DTM testing in Oschersleben (DE), Al-Attiyah was given the opportunity to drive Tomczyk's BMW M Performance Parts M4 DTM. Two wins at the Rally Dakar are just some of the successes the rally driver from Qatar has had to date. He followed up his first victory in 2011 by winning in the MINI ALL4 Racing in January 2015. "Driving the MINI ALL4 Racing through the sand and over the dunes in Dubai was a fascinating experience and was so much fun," said Tomczyk. "The car has an incredible amount of torwue – and the test in the dunes was an amazing adrenalin rush even for an experienced race driver such as myself. It's totally different to driving on a circuit.

European new car sales drop nearly 8% in first half of 2019

PARIS — European car sales dropped 7.9% in June, led by bigger declines for Nissan, Volvo and Fiat Chrysler (FCA), according to industry data published on Wednesday. Registrations fell to 1.49 million cars last month from 1.62 million a year earlier across the European Union and EFTA countries, the Brussels-based Association of European Carmakers said in a statement. Calendar effects resulted in two fewer sales days in most markets, accentuating the decline. Registrations for the first half closed 3.1% lower, ACEA said. For European carmakers, weakening demand at home compounds the pressure from a sharper contraction in China and emerging markets that may yet bring more profit warnings. NissanÂ’s aging model lineup contributed to a 26.6% June sales slump while Volvo Cars, owned by ChinaÂ’s Geely, saw deliveries tumble 21.7%. Registrations also fell 13.5% last month at FCA, 10.1% at BMW, 9.6% at Volkswagen Group and 8.2% for both Mercedes parent Daimler and FranceÂ’s PSA Group. The Peugeot makerÂ’s domestic rival Renault suffered less, posting a 3.9% decline. By the Numbers BMW Chrysler Fiat Nissan Volkswagen Volvo Peugeot Renault