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Oct 1_Notes - Oct 1 2007 In auto industry most negotiations...

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Oct 1, 2007 In auto industry- most negotiations are at national level with major employers. But production of automobiles is increasingly decentralized. -Main auto factories are assembly plants with parts being delivered. Industry influenced tremendously by Japanese and German companies Directly influenced by: 1. imports 2. Joint production (Nummi; Diamond Star, Auto Alliance) 3. independent factories (i.e. transplants: Toyota, Honda, Nissan, Mercedes, and BMW) making cars to sell in US Indirectly by: 1. the ability of US companies to rely on global network 2. b/c of globalization, lots of pressure to be more efficient—better quality to compete with foreign companies bargaining framework restructured. But UAW has stuck with tradition; has not adapted to changes. Still using Whip Sign (playing one company against the other): get the best deal you can with whichever company you can and impose that deal on other two companies. When auto industry was strong it was an innovator in labor relations (e.g. regarding cost of living adjustments—on top of pay
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