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The UAW's 'record contract' hinges on pensions, battery plants

DETROIT - After nearly four weeks of disruptive strikes and hard bargaining, the United Auto Workers and the Detroit Three automakers have edged closer to a deal that could offer record-setting wage gains for nearly 150,000 U.S. workers. General Motors, Ford Motor and Chrysler parent Stellantis have all agreed to raise base wages by between 20% and 23% over a four-year deal, according to union and company statements. Ford and Stellantis have agreed to reinstate cost-of-living adjustments, or COLA. The companies have offered to boost pay for temporary workers and give them a faster path to full-time, full-wage status. All three have proposed slashing the time it takes a new hire to get to the top UAW pay rate. The progress in contract talks follows the first-ever simultaneous strike by the UAW against Detroit's Big Three automakers. The union began the strike on Sept. 15 in hopes of forcing a better deal from each major automaker. But coming close to a deal is not the same thing as reaching a deal. Big obstacles remain on at least two major UAW demands: restoring the retirement security provided by pre-2007 defined benefit pension plans, and covering present and future joint- venture electric vehicle battery plants under the union's master contracts with the automakers. On retirement, none of the automakers has agreed to restore pre-2007 defined-benefit pension plans for workers hired after 2007. Doing so could force the automakers to again burden their balance sheets with multibillion-dollar liabilities. GM and the former Chrysler unloaded most of those liabilities in their 2009 bankruptcies. The union and automakers have explored an approach to providing more income security by offering annuities as an investment option in their company-sponsored 401(k) savings plans, people familiar with the discussions said. Stellantis referred to an annuity option as part of a more generous 401(k) proposal on Sept. 22. Annuities or similar instruments could give UAW retirees assurance of fixed, predictable payouts less dependent on stock market ups and downs, experts said. Recent changes in federal law have removed obstacles to including annuities as a feature of corporate 401(k) plans, said Olivia Mitchell, a professor at the University of Pennsylvania Wharton School and an expert on pensions and retirement. "Retirees want a way to be assured they won't run out of money," Mitchell said.

A hybrid Jeep Wrangler could be in the cards for new generation

Jeep could make a hybrid version of its iconic off-roader, the Wrangler, the head of the Jeep brand suggested in an interview with Autoblog. Speaking this week on the floor of the Detroit Auto Show, Jeep's global chief Mike Manley said "the hybridization could actually help Wrangler," noting it could improve torque distribution, a critical element for four-wheel drive vehicles. Manley added, "Electrification, absolutely. I could see Wrangler being a form of electric." The Jeep boss didn't offer further details, though a hybrid Wrangler has been rumored for years. The next-generation off-roader is due for the 2018 model year, which means a reveal is imminent. Hybrid technology would likely be used to assist the Wrangler's performance and efficiency, rather than as a total fuel-economy play. The next-gen Wrangler is expected to have LED lights, updated and more aerodynamic design, and greater use of aluminum. A turbo four-cylinder gasoline engine, a diesel engine, and an eight-speed automatic transmission are also among the powertrain rumors, though the diesel may be in jeopardy after the EPA accused FCA US of installing emission-control software on its EcoDiesels. Despite the changes, this new Jeep will be instantly recognizable as a Wrangler, Manley told us. "It's the icon of our brand." View 30 Photos Also heartening for enthusiasts, the Wrangler is getting a pickup variant built alongside the utility vehicle in Toledo, OH. Manley wouldn't speculate on a name, though it has a long list of historic choices. Jeep used "Comanche" on a Cherokee-based pickup from 1986-92 and had the Gladiator/J-Series for a larger truck from 1963-87. "Of course we could go back to one of the record books [for a name]," Manley said. Meanwhile, Jeep also confirmed that the Wagoneer and Grand Wagoneer models will return to its lineup in 2020, slotting above the Grand Cherokee and giving Jeep an entry in the upper luxury SUV segment. Manley said the Wagoneers will compete in the $60,000-to-$100,000 price range. They will be based on a body-on-frame platform sourced from the Ram and built in Warren, MI. "Ever since I've been associated with Jeep, in my mind, they needed to come back to the portfolio," Manley said. Jeep's other spotlight vehicle, the Grand Cherokee, will get a new generation launching in 2019, Manley said. Though the current line has been on sale since 2010, Jeep has added interior updates and special variants to keep it fresh.

2015 Ford F-150 named Truck of Texas, Lincoln and Jeep also awarded at Truck Rodeo

The Ford Motor Company has a lot of reasons to celebrate after winning eight categories in this year's Texas Auto Writers Association's annual Truck Rodeo. Most important among them, the Blue Oval's latest 2015 Ford F-150 earned the prestigious Truck of Texas award, ending the Ram 1500's two-year winning streak. The 2015 Lincoln MKC also grabbed the honor as the CUV of Texas, and Ford was named Truck Line of Texas.
FoMoCo even took trophies for best technology with its extensive use of aluminum on its latest F-Series and best commercial vehicle for the new Transit 250. It wasn't a total sweep, though, because the Jeep Grand Cherokee grabbed the title of the SUV of Texas for the fifth straight time.
This year's event put 60 auto writers in 75 pickups, SUVs and crossovers and challenged them to find the best in a plethora of categories. All of the winners are listed below, and scroll down to read the full announcements from the Texas Auto Writers Association and Ford.