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Automakers from Japan, Germany and South Korea employ about 80,000 factory workers in the United States, mainly in
Southern states away from the UAW's stronghold in the Great Lakes region. King said the union's recent contracts with the Detroit Three automakers should show foreign companies and their workers that the UAW is a good business partner. Earlier this year the UAW agreed to new four-year deals that have no pay raises for most workers but mandate profit-sharing. The deals also bring thousands of additional jobs to UAW-represented factories. King has made organizing workers at "transnational" auto companies a priority. Earlier this year, he said it was critical for the union's future. "If we don't organize these transnationals, I don't think there's a long-term future for the UAW, I really don't," King said in a speech at the union's legislative conference in January. At the time, he expected to pick a target within three months. The UAW's membership has fallen to just over 376,000 members, about one quarter of what it was at the peak in 1979. Membership rose 6 percent last year, the first increase since 2004. UAW southern region director Gary Casteel said the union is talking to three companies in particular, but he would not identify them. "We want to keep talking to workers," he said. Even with the new contracts, labor costs at UAW-represented factories remain higher than the transnationals' costs, according to the Center for Automotive Research in Ann Arbor, Mich.
Ford Motor Co.'s total wage and benefit cost is $58 per hour, while General Motors Co. is at $56. Toyota ranks third at $55 per hour and Chrysler is at $52. Nissan's costs are lower at $47 per hour. Volkswagen has the lowest costs at $38 per hour at its recently opened plant in Chattanooga, Tenn. Nissan has about 7,500 workers in the U.S. at auto assembly plants in Smyrna, Tenn., near Nashville and in Canton, Miss., and at an engine and transmission factory in Decherd, Tenn.
[Associated
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