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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

Toyota R&D shows off free piston engine linear generator for future EVs

We often hear how an electric vehicle powertrain architecture allows vehicle designers much more freedom than a traditional ICE powertrain does. With differently shaped battery modules and small electric motors, there are lots of way to put the pieces together. With today's plug-in hybrid technology, engineers still need to put a decent-sized ICE somewhere, but new technology from Toyota could free up the gas-electric vehicle designers of the future. Presented at the recent SAE World Congress in Detroit, the idea from Toyota Central R&D Labs Inc. and involves what is called a Free Piston Engine Linear Generator (FPEG). Think of it as a sort of one-cylinder, two-stroke mini-engine that can work either as a generator (thank to magnets and a linear coil) or to directly drive a vehicle. The current prototype is a 10-kW unit that Toyota say would provide enough power to get a B- or C-segment electric vehicle up to highway speeds (75 miles per hour) when paired up to offer 20 kW. Pairing the FPEGs is also important to minimize vibrations. One system tested by Toyota had a 42 percent thermal efficiency, but the engineers are working to improve the overall efficiency even further. You can watch an animated video of the piston in action here (click on "Outline") and see the SAE papers here and here. More technical details are available at Green Car Congress. News Source: Toyota Labs via Green Car CongressTip: Thanks, Joe V. Green Misc. Auto Shows Toyota Technology Emerging Technologies Electric generator

Toyota unintended acceleration lawsuit settled for $16M

Slowly, the many loose threads still dangling after the unintended acceleration issue Toyota faced a few years ago are being resolved. The Orange County District Attorney's office was believed to be the first DA's office to take Toyota to court, its suit alleging that Toyota knew its cars had defects and continued to sell them. The suit sought to "permanently enjoin Toyota from continued unlawful, unfair, deceptive, and fraudulent business practices as it pertains to both consumers and competitors" and asked for $2,500 "for every violation of the Unfair Business Practices Act," plus costs.
That suit has now been settled, Toyota - without admitting fault or wrongdoing - agreeing to pay $16 million to the county. Half of the money will go to the Orange County Gang Reduction Intervention Partnership, another four million dollars to the OC DA's office to investigate economic crime, the remaining four million being used to pay for the case.