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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

Spitballs flying between Nissan and Fiat

At the 2012 LA Auto Show, Fiat brand chief and recently crowned marketing genius, Olivier François, attempted to distance the Fiat 500e from other electric vehicles, asking rhetorically, "Isn't ugliness the worst kind of pollution?" Nissan has apparently taken issue with these comments, feeling slighted for what it considers digs at the Leaf's styling. In a recent interview with Automotive News, Nissan's marketing chief Simon Sproule shot back, "Let's face it, Fiat has not shied away from controversial styling themselves," he continued, "many would describe many of their products as visual pollution." Ouch.
Sproule says that while the 500e is a "me-too" product, made only to appease US emissions regulations, the Leaf is a serious effort at producing an EV. The Nissan marketing boss points out that the Japanese automaker has invested billions in EV development and production facilities, while Fiat will lose $10,000 on every 500e sold.
However sales of the Leaf in the US are down five percent. Nissan sold just 8,330 Leaf's so far this year, but Sproule contends that it has less to do with styling, and more with the charging infrastructure. Sproule also thinks that Nissan hit a balance between styling and practicality with the Leaf: "It's still very recognizable as a five-seat hatchback, fully functioning, absolutely competitive with the packaging of the Golf of any other mainstream vehicle." For a segment where efficiency is king, isn't that what matters most?

2014 Nissan Rogue gives us our best look yet

Nissan is reportedly fast-tracking the development of its next-generation Rogue crossover, and judging by this latest set of spy shots, the new small CUV is coming along quite nicely.
To no one's surprise, the new Rogue takes the vast majority of its design cues from the Hi-Cross concept that debuted at the 2012 Geneva Motor Show, and specific elements like the pronounced wheel arches, angular nose, flat roofline and more stylized taillmaps should make for a Rogue that's far more style conscious than the model it replaces. This stronger design language should help the new Rogue to better stand out in the sea of Honda CR-V and Toyota RAV4 rivals.
There's far more to the new Rogue than just some swoopier sheetmetal, though. This crossover is expected to be the first vehicle to ride on the Renault-Nissan CMF (Common Module Family) platform, an architecture flexible enough to eventually support a host of new products. As we reported earlier, the next Rogue will be built in the US, in Tennessee.