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Fiat Chrysler and the UAW reach tentative labor deal

DETROIT — Fiat Chrysler Automobiles and the United Auto Workers (UAW) union on Saturday announced a tentative agreement for a four-year labor contract, a boost for the automaker as it works to merge with France's Groupe PSA. Italian-American Fiat Chrysler and PSA, the maker of Peugeot and Citroen, last month announced a planned $50 billion merger to create the world's fourth-largest automaker. The tentative agreement with Fiat Chrysler, which is subject to ratification by the union members, follows contracts that the UAW already concluded with Ford Motor Co and General Motors Co. The deal with GM followed a 40-day strike in the United States that virtually shuttered GM's North American operations and cost the automaker $3 billion. The UAW on Saturday said the contract with Fiat Chrysler included a commitment from FCA to invest $9 billion, creating 7,900 new jobs over the course of the four-year contract. Of the $9 billion, $4.5 billion was announced earlier this year, to be invested in five plants and creating 6,500 jobs. Detailed terms of the tentative agreement were not released, but they are expected to echo those under the new contracts with GM and Ford, as the UAW typically uses the first deal as a pattern for the others. "FCA has been a great American success story thanks to the hard work of our members," UAW acting President Rory Gamble said in a statement. "We have achieved substantial gains and job security provisions for the fastest growing auto company in the United States." Ratification is not a sure thing. Rank-and-file UAW members at FCA in 2015 rejected the first version of a contract. In addition, a lawsuit related to a federal corruption probe could also raise doubts among union members about the terms agreed. The federal corruption led GM to file a racketeering lawsuit against FCA, alleging that its rival bribed union officials over many years to corrupt the bargaining process and gain advantages, costing GM billions of dollars. FCA has brushed off the lawsuit as groundless. Under the UAW's deal with GM, the automaker agreed to invest $9 billion in the United States, including $7.7 billion directly in its plants, and to create or retain 9,000 UAW jobs. Ford's contract included commitments to invest more than $6 billion in its U.S. plants and to create or retain more than 8,500 UAW jobs. The deals with GM and Ford also created a pathway to full-time employment for temporary workers and left healthcare insurance coverage unchanged.

Junkyard Gem: This 1987 Dodge 600 SE Sedan is suspiciously Benz-ish

The K Platform, introduced for the 1981 model year, saved Chrysler from certain bankruptcy. By 1983, a stretched-out K chassis had been developed; the Chrysler version was the E-Class, while Dodge had the 600. These cars have become all but extinct now, so this '87 600 sedan in a Denver-area wrecking yard is a noteworthy Junkyard Gem. Ford explicitly compared the appearance of the late-1970s Granada to that of the Mercedes-Benz W123 in their advertising, and so the ground was broken for Chrysler to make the allusions to Stuttgart machinery even more obvious a few years later. The name of the Chrysler E-Class was about as subtle as a tire iron blow to the kidneys, and the badging on its Dodge 600 sibling left little to the imagination. 600s came from the factory with several variations of the Chrysler 2.2/2.5 engine, as well as the Mitsubishi "Hemi 2.6" four-cylinder. This car has the 2.5 Chrysler engine, rated at 97 horsepower. Base price was $10,553, about $23,500 in 2017 dollars (the cheapest new Mercedes-Benz E-Class cost $38,600 in 1987, so there wasn't much customer overlap between the two cars). The 600s weren't bad cars for the price, though the build quality wasn't quite up to Mercedes-Benz standards. You'll find this thumbtack treatment on most K-Car headliners that still drive today. The interior is all tan and brown, with plenty of tough industro-velour upholstery and not-so-convincing artificial wood. Aluminum-faced home audio equipment was all the rage during the 1980s, and the trend spread to automotive controls. No cassette in this car, but at least it had AM and FM radio (even plain old mono AM radios were still expensive options on many cars as late as 1987, so the standard AM/FM stereo rig in the 600 was an attractive deal). This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. You can't beat the 600!

Chrysler Recalling 700k Vehicles For Ignition Switch Woes

General Motors isn't the only automaker with ignition switch problems. Chrysler is fighting it too and is now announcing a recall of 695,957 examples worldwide of the Chrysler Town & Country and Dodge Grand Caravan minivans from the 2008-2010 model years, plus the 2009-2010 Dodge Journey. According to a statement from Chrysler, the models have a bad wireless ignition node detent ring in the ignition switch, making it possible for drivers to appear to have the key in the "Run" position but for the spring not to fully engage. It can then slip back to the "Accessory" position and shut the car off. If this happens, the vehicle loses power steering, brake boost and the airbags. There is some disparity about the number of vehicles affected under this recall. In its statement, Chrysler claims that it covers 525,206 vehicles in the US, 102,892 in Canada, 25,591 in Mexico and 42,268 elsewhere. However, the recall announcement posted by The National Highway Traffic Safety Administration lists an estimated 438,109 vehicles in the US. Chrysler spokesperson Nick Cappa told Autoblog via email that the reasoning for the different figures "will become clear at a later date." To fix the problem, Chrysler will install a new detent ring in the vehicles. It will begin contacting owners soon, and obviously the repair will be free of charge. This isn't the first time this problem has cropped up in these models. Chrysler issued a recall for 248,437 vehicles in 2011 for certain 2010 model year examples. A few weeks ago, NHTSA also began investigating the 2008-2010 model years of the affected models for ignition switch problems. At this time, it's not clear whether that evaluation and this campaign are linked. Chrysler told Autoblog that it has no reports of injuries related to the problem. Scroll down to read the company's statement and the NHTSA recall report. Statement: Expansion of Wireless Ignition Node (WIN) safety recall July 1, 2014 , Auburn Hills, Mich. - Out of an abundance of caution, Chrysler Group is expanding a previous safety recall to install a more robust WIN module detent ring. A previous recall in 2010 included 196,000 Chrysler Town & Country, Dodge Grand Caravan and Dodge Journey vehicles built August 2, 2009 through June 17, 2010. The expansion includes an additional 695,957 vehicles manufactured January 29, 2007 through August 1, 2009.