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Here's what the UAW will be angling for in next year's contract negotiations

The United Auto Workers union is about to enter a new round of negotiations with the Detroit Three automakers, and this time, the focus is on the end of the two-tier wage system. Introduced in 2007, the two-tier wage system was enacted to allow General Motors, Ford and Chrysler to categorize its hourly employees under two categories: Tier 1 for veteran employees with full rights and benefits, and Tier 2 for short-term or entry-level employees compensated under a different schedule. The idea was that the system would permit the automakers to invest more in their plants and hire new employees as part of their respective recovery plans without being saddled with all the costs associated with hiring full-time employees. Now that the automakers are (more or less) back on their proverbial feet, however, the UAW wants to see an end to the two-tier system, and will likely make that a center-point of its negotiations next year to replace the current arrangement that is scheduled to end in September 2015. Not all members of the UAW will necessarily be interested in ending the two-tier system, however. According to The Detroit News, some Tier 1 workers may be more interested in negotiating a raise in their hourly rate – something which they haven't received in almost a decade. Tier 2 workers, meanwhile, may be more motivated to keep the tiered system in place, as their arrangement includes provisions for profit-sharing payments that have seen the automakers pay out billions to so-called short-term employees in lump-sum payments. Reconciling the two competing demands from two categories of union members and presenting a united front in negotiations may prove the biggest challenge for the UAW's new president, Dennis Williams. And with the right to strike – something which was suspended during the last round of negotiations in 2011 – the union has a bigger bargaining chip in its pocket.

Uber hopes facilities in Detroit will help shape its autonomous future

Hot off the heels of unleashing its fleet of self-driving vehicles in Pittsburgh, PA, Uber announced plans to open a new facility in the Detroit, MI area, reports Automotive News. The new facility was announced at an event hosted by Society of Automotive Engineers in Detroit, MI. Uber's vice president of global vehicle programs Sherif Marakby revealed the news, reports Automotive News. The facility is meant to help the ride-sharing company collaborate with suppliers and automakers in the area. There's no word on where Uber will build the new facility or how big it will be, as those factors have yet to be determined. Just like Pittsburgh, PA, Detroit, MI could become another testing ground for the ride-sharing company. The latest move to open a facility in the Detroit area comes after Uber offered users in Pittsburgh the chance to ride in one of its autonomous vehicle as it looks to gain vital real-world testing. Uber is utilizing a fleet of modified Ford Fusions. Earlier this year in April, the automaker announced a partnership with Google, Lyft, Uber, and Volvo to develop autonomous cars. A new facility in Detroit would strengthen the partnership and help Uber, as well as Ford put autonomous vehicles on the road faster. Related Video: News Source: Automotive News - sub. req.Image Credit: AOL Green Ford Volvo Transportation Alternatives Technology Emerging Technologies Autonomous Vehicles Detroit Uber taxi Lyft ridesharing facility

Ford nets $5.7B in 2012, $1.6B in fourth quarter

Ford brought in $5.7 billion in net income during 2012, which is around $307 million less than one year prior. Even so, the automaker closed out 2012 with the highest pre-tax profit for a single quarter in nearly 10 years, earning $1.7 billion in the fourth quarter thanks largely to a higher-than-average truck mix in the US. That's a jump of $577 million over 2011. Likewise, that translated into fourth quarter income of $1.6 billion. All told, Ford set a full-year pre-tax profit record in 2012. But that doesn't necessarily mean everything is rosy in the land of the Blue Oval.
Like every other manufacturer, 2012 saw Ford get hammered in the European Union, where a deep economic recession continues to drive down consumer confidence. The automaker lost more than $700 million in Europe, and saw full revenue of $26.6 billion in 2012. That's a decline of $7.2 billion compared to last yea. Ford says the market for new vehicles in Europe has contracted to 13.5 million units, the lowest number in 17 years. You can read the full press release below for more information.