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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

First retail 2015 Ford Mustang headed to Barrett-Jackson

Want to be the very first person to own a 2015 Ford Mustang GT? Here's what you'll need to do: be in Scottsdale, AZ on January 18 for the Barrett-Jackson auction and bring a very big checkbook. Having a passion for charity isn't a bad idea either.
Yes, the first 2015 Mustang to be sold to the public will be crossing the block at Barrett-Jackson in Scottsdale, with proceeds from the auction going to JDRF, the charity formerly known as the Juvenile Diabetes Research Foundation.
"Ford Mustangs have always been among the most popular collector cars at Barrett-Jackson Collector Car events," said the president of Barrett-Jackson, Steve Davis. "While every collector wishes they had snapped up the first Mustang sold in 1964, this is an opportunity to realize that dream in a different way."

Next SVT Mustang may axe Shelby name, go naturally aspirated

Following our first glimpse at the 2015 Ford Mustang out on the road, the fine folks at Road and Track have divulged some details on what the Blue Oval's next pony might have in store. We've already seen that the car will get some very sleek, Evos-inspired design cues, and an independent rear suspension is indeed in store. These new details, however, concern the muscle car's beating heart.
For starters, the base Ford coupe is expected to carry on with V6 power, likely from the same 3.7-liter unit found in today's car. From there, R&T says the next step up will be a four-cylinder EcoBoost engine, likely displacing 2.3 liters, putting out as much as 350 horsepower. Of course, a Mustang wouldn't be a Mustang without V8 thrust, and R&T states that the 5.0-liter Coyote V8 will continue on into the 2015 car, making something like 450 horsepower.
But it's at the high end of the Mustang range where things will, reportedly, get very, very interesting. Road & Track claims that the top-shelf 'Stang will likely lose the supercharger from its engine, producing a metric crap-ton of naturally aspirated grunt instead. Additionally, the SVT-fettled Mustang will likely be dropping its Shelby moniker, in favor of "a name you're familiar with," according to the magazine (you know, like, Cobra).