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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 Vision Future Luxury Concept is bold and beautiful in Beijing

BMW officially unveiled the Vision Future Luxury Concept today (or is it tomorrow?) at the 2014 Beijing Motor Show, giving the world's media an in-the-flesh look at not only a future design theme for the brand, but a rumored flagship model.
This is a looker in person, thanks to its Pininfarina Gran Lusso Coupe-inspired design, and it's not too difficult to imagine it in production car form, with smaller wheels, larger mirrors and the other minor transformations that take place from drawing board, to auto show and, finally, to assembly line. In general, it seems like there are more than a few parts of this vehicle that are ready for production.
We didn't talk about it in our initial post, but it bears mentioning that this particular concept is wearing an eDrive badge on its backside, indicating that under the Vision Future Luxury's long hood is some form of plug-in-hybrid propulsion. It's anyone's guess as to what engine, battery and motor combinations BMW is playing with, although it does seem questionable whether BMW would launch a PHEV flagship to do battle with a top-rung variant of the Mercedes-Benz S-Class (which will likely use V12 power).

BMW i3 wait list grows to six months

This could make one real expensive decision a little easier to make. The latest official word is that BMW remains undecided if or when it will expand its sub-brand of i plug-in vehicles beyond the i3 and i8, but the i3 city EV has certainly struck a chord in Europe. Citing BMW executive Ian Robertson, Automotive News Europe reports that the German automaker is running a six-month wait list for the i3, which started sales in Europe in November. Bimmer has taken about 11,000 orders globally, and about 1,200 of those are from the US, where the car will debut in May. BMW executive Harald Krueger recently said that the German automaker will hold off on making plans to broaden the i sub-brand until more sales results come in. That said, BMW has trademarked all of the single-digit "i" names from i1 through i9, so should these EVs remain popular, BMW has room to grow. We won't be surprised if we do see more vehicles, since BMW North America chief Ludwig Willisch is already on record as saying the US demand for the i3 will likely exceed supply this year. For a taste of why, check out our first drive here. Featured Gallery 2014 BMW i3 View 107 Photos News Source: Automotive News - sub. req. Green BMW Electric ev sales wait list