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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

2015 Mercedes-Benz Sprinter 4x4 First Drive [w/videos]

On the flight out to Kelowna, British Columbia, Canada, I thought I had a pretty good idea of what to expect on the Mercedes-Benz Sprinter 4x4 launch. I figured I'd drive down gravel and dirt roads, and then I'd take a Sprinter on a brief, pre-planned, crawling off-road course with Mercedes guides helping me along, Perrier water and fresh pastries at every third checkpoint. I've done off-road drives before, and while they do a perfectly nice job of showing the capability of a vehicle and its four-wheel-drive system, they're usually somewhat predictable and, I guess, safe. I also knew I'd be going to the middle of nowhere, but I assumed that'd just be a small town nestled in the Canadian Rocky Mountains. You know, a city anchored by its ski resort, but with all the amenities of a fully functional community. Something like Revelstoke, BC, where I spent my first night on the trip – kind of out in the wilderness, but a place where my iPhone could still pick up a solid 4G signal. But 24 hours later I found myself in a truly remote, off-the-grid part of the world, faced with a route that was anything but pre-arranged. And I wasn't in a G-Wagen, or some other off-roader – I was going to do all of this in a Sprinter van. Of course, this wouldn't be the first time Autoblog has taken a Sprinter far, far off the beaten path, and isn't the first time we've driven this generation of Mercedes' van. Home base was the CMH Monashee Lodge in Mica Creek, BC – a location so out-there that, according to Wikipedia, it "is no longer incorporated as a village." I had lost cell signal some 50 miles back, and the lodge was the only thing around, with its small staff, my fellow journalists and the Mercedes handlers the only human beings inhabiting the area. (Wait, haven't I heard this one before?) The drive from Revelstoke to Mica Creek was easy – 56 miles, all on Canada Highway 23 that runs alongside the Columbia River. It was breathtaking, with mountain forests still covered in snow from the winter, and the (mostly) thawed river flowing peacefully to my left as I drove north. There were no telephone poles, no stoplights and no traffic save the occasional logging truck. The road signs didn't point to exits toward other towns, but instead warned of possible run-ins with moose or bears, and let me know not to stop on specific parts of the highway unless I wanted to experience an avalanche up close.

Mercedes sues Ferrari-bound F1 engineer for stealing secrets

Mercedes is suing one of its Formula One engineers, one Benjamin Hoyle, claiming he was planning to take sensitive data to a competitor. An experienced powertrain engineer, Hoyle came to Mercedes AMG High Performance Powertrains in 2012 with previous experience at Prodrive and Cosworth. One of four team leaders at the company, Hoyle headed up the performance application department until he notified his employers of his intention not to seek renewal of his contract that expires at the end of this year. Once they found out that Hoyle was switching to Ferrari, the higher-ups at Mercedes reassigned him to other, less sensitive duties, however Hoyle was reportedly discovered accessing race reports and other sensitive data relating to the performance of the team's engines. In response, Mercedes has filed suit against Hoyle, claiming that he "and potentially Ferrari have gained an unlawful advantage." The German automaker is seeking the return of all documents and the payment of its legal fees. It also seeks to prevent Hoyle from working for another F1 team throughout next season. Mercedes AMG High Performance Powertrains is the Daimler's F1 engine division. Based in Brixworth, UK, it was founded back in 1983 together with Ilmor before Mercedes bought it outright. Aside from the company's own works team, the outfit this year powered Williams, Lotus, and Force India, and previously worked with McLaren as well as Sauber. This is not the first time that a case of industrial espionage has emerged in F1. A similar controversy erupted in 2007 surrounding engineers Nigel Stepney and Mike Coughlan. The highly publicized incident became known as "Spygate" or "Stepneygate" and involved the illegal sharing of secrets between Ferrari, McLaren, and Renault. News Source: BloombergImage Credit: Martin Meissner/AP Government/Legal Hirings/Firings/Layoffs Motorsports Ferrari Mercedes-Benz F1 industrial espionage