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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

Recharge Wrap-up: Toyota FCV ready for production, Nissan tests Leaf-to-Home energy management

Toyota will begin selling its hydrogen fuel cell vehicle (FCV) in Japan in December. The US and Europe can expect to see the car become available next summer. The FCV, which will likely be called "Mirai" (meaning "future") in Japan, is ready for production ahead of its initial deadline at the end of the fiscal year in March. Toyota planned for annual production of 700 units, but might increase output to meet higher-than-expected demand, which is currently nearing 1,000 units. The cars will mostly be sold in the four cities where a hydrogen fueling infrastructure is already being put in place: Tokyo, Nagoya, Osaka and Fukuoka. Read more at Nikkei Asian Review. Nissan is testing the Leaf EV as part of an energy management system including "Leaf to Home" technology. The system allows the Leaf to help support the power grid during peak energy usage, or provide backup power to a home or building during outages, particularly in emergencies like natural disasters. Using the Leaf's battery to provide electricity during peak hours would lessen the demand on the grid and make the system work more efficiently. Furthermore, if consumers are compensated for the energy saved by using the Leaf for power during periods of high demand, it could encourage more people to adopt the EV. Learn more in the press release below. CDP has given Honda a perfect climate disclosure score in its Global 500 Climate Change Report for 2014. CDP keeps track of how much companies are disclosing about their impact on global climate change. "The need for data on corporate climate change impacts and strategies to reduce them has never been greater," says CDP CEO Paul Simpson. "For this reason we congratulate those businesses that have achieved a position on CDP's Climate Disclosure Leadership Index." Other perfect scores were earned by Nissan, BMW, Daimler and General Motors. Read more in the press release from Honda below. Scientists at Stanford University have developed a lithium ion battery that can warn users before it overheats. A thin layer of copper between the anode and the layer separating the anode from the cathode acts as a sensor. When it detects lithium buildups from overcharging are approaching the separator, it sends an early alert long before it gets to a point where it would cause a short (which could lead to a fire). The new safety measure could be used in all sorts of battery applications, and not be limited to EVs. Learn more at Phys.org.

Toyota increasing Yaris Hybrid production to 222,000 this year in France

More fuel economy means more factory workers and more production for Toyota's most popular model in Europe. That simple equation explains why the Japanese automaker is boosting annual production of its gas- and hybrid-powered Yaris compact vehicles at its French factory. The new number will be about 222,000, a 15 percent increase. To do that, Toyota will need to add about 500 workers to bring its total there to more than 4,000, UK's The Green Car Website says. Vive le Toyota! Toyota updated the European Yaris in the middle of 2011 and added a hybrid version later that year, the model has many fans across the pond. It helps that they hybrid is rated (using the friendlier European standards) at a whopping 81 miles per gallon, a tremendous number for a car that costs approximately $26,000. Toyota could soon have a bit more room in the small hybrid segment, since it was reported recently that Honda would discontinue European sales of its Insight and CR-Z hybrids soon. That decision was made easier because of increasing competition from Toyota, which boosted hybrid sales in Europe last year by 43 percent. In contrast, both the CR-Z and Insight experienced more than a 60-percent plunge in European sales in 2013.