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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

2017 Kia Model Year Preview and Updates

Kia continues its growing market momentum on the strength of three all-new intros and/or updates, along with its selection as a top pick by Consumer Reports. Kia's Niro - pictured above - is an all-new hybrid, combining a fairly conventional crossover profile with front-wheel drive and up to 50 miles-per-gallon. Also of note: Later in the '17 calendar year most dealers will receive the all-new STINGER GT, first introduced at the '17 Detroit Auto Show. KIA CADENZA: Kia's upsized, upscale Cadenza presents a near-luxury ownership experience without the penalty of a near-luxury price point. Its new platform is stronger, lighter and more rigid, while the interior is dramatically upscale. Finally, the Cadenza boasts Kia's first application of an eight-speed automatic in a front-wheel drive powertrain. FORTE: Kia's sedan and hatchback enjoy freshened styling and a new, 2.0-liter base powertrain. There is also the optional availability of a whole suite of advanced driver assistance systems, including autonomous emergency braking, rear cross traffic alert, forward collision warning and Dynamic Bending Light, which allows your lights to follow the direction of your steering wheel. K900: Kia's large, rear-wheel-drive sedan is unchanged for 2017. NIRO: Kia's all-new hybrid crossover is an outlier in the hybrid segment, with the high hip point and generous greenhouse of a crossover and a projected EPA estimate of 50 miles per gallon (combined) efficiency. It is powered by a normally-aspirated 1.6-liter four and electric motor, delivering a total system horsepower of 139, and 195 pound-feet of torque. OPTIMA: Following a redesign in 2016, Kia's midsize entry enjoys package refinements, standard 18-inch wheels on SX trim, a new value package on the 1.6T and new colors. More significant is the addition of both an Optima Hybrid and Plug-in Hybrid. The Hybrid promises to be 10-percent more efficient, while the plug-in will offer an estimated electric-only range of 27 miles. RIO: New colors and a discontinued four door SX highlight the changes. SOUL: Kia's two-box box adds new alloy wheel designs, Blind Spot Detection and Rear Cross Traffic Alert on Plus and Excalibur trims. And news of two new colors pales when compared to the Soul Exclaim's new turbo powerplant, connected to a seven-speed DCT transmission. SOUL EV: UVO eco is now on EV and EV+, while all trims receive an upgraded fast charge and a second-generation Pedestrian Warning System.

Next-generation Kia Sorento snapped undergoing testing

Kia has been busy - a refreshed Sorento just arrived in showrooms for the 2014 model year and the Korean manufacturer is already out undergoing advanced testing in the next-generation model. How, pray tell, do we know how far along testing is? Notice any cladding, or coverings, aside from the regular vinyl camo? Right.
Our predictive talents aside, there are still a lot of questions about the next Sorento. We don't have much to go on with the technical specs, although we'll be thunderstruck if there isn't some form of the Hyundai/Kia 2.0-liter turbo under hood. Our spies report that this new model is somewhat larger than the current Sorento, hinting that it might be riding atop the same platform as the long-wheelbase Hyundai Santa Fe. That could indicate an available V6 model, as well. Judging by the profile views, we'd bet our bottom dollar this is a three-row model.
The conflicting nature of a refreshed Sorento hitting dealers and an advanced prototype out testing in Europe makes it difficult to pin down a date for the third-generation CUV's debut. We doubt we'll be seeing the new Sorento before the end of the year - a 2014 debut with a 2015 on-sale date just seems more likely in light of the newness of the refreshed model.