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European car sales up 8% in February

Three weeks ago an analyst increased projections for European car sales this year, expecting them to climb three percent compared to last year instead of 2.7 percent. That number is a postive sign after years of hard times but it turns out February was especially good, overall European sales climbing eight percent on a wave of southern European recovery and discounts - and this comes after five months of gains including January's 7.2-percent jump over the year before.
The only country of Europe's five largest markets to post a decline was France, just as it did in January, Germany, the UK and Italy posting solid double-digit numbers, Spain rocking the charts with an 18-percent increase because of a government program to encourage trade-ins.
The only brand to miss the wave was Volkswagen, dropping 0.8 percent as it watched the double-digit growth at sister brands Audi, Seat and Skoda lift the Volkswagen Group sales up by seven-percent. Peugeot overcame flat sales at Citroën to improve the group by 3.5 percent, BMW and the Mercedes-Benz/Smart combo rose by four percent, the Fiat group jumped 5.8 percent, Ford was up 11 percent, the Renault Group 11.5 percent, General Motors 12 percent and the Toyota clan by 14 percent.

Anti-UAW VW workers move to form own union

The struggle over unionization at the Volkswagen factory in Chattanooga, TN, continues to get more complicated. There's now a second union fighting to organize at the plant; although this one is staunchly against the actions of the United Auto Workers. At the same time, the UAW is still signing up voluntary members to its recently created Local 42 at the facility and is reportedly near having a majority of the hourly employees on its side.
The new, anti-UAW union campaign is being spearheaded by employee Mike Burton, according to Reuters, and he calls his group the American Council of Employees. He claims to already have 108 signatures in support of his organization. Burton believes that the UAW is harmful to businesses, and his goal is to force another vote to determine a preferred union among workers.
The UAW was initially defeated (712 to 626) when it attempted a union vote at the Tennessee plant in February. However, UAW secretary-treasurer Gary Casteel told Reuters that Local 42 has already signed up over 700 members. If it can reach a majority of the roughly 1,500 employees, the group hopes VW might consider recognizing it as the factory's union.

VW announces recall of 26,000 2014 models with 1.8T engines

Volkswagen has followed up on a stop-sale order from earlier this month, announcing a voluntarily recall of 26,400 vehicles that are powered by the brand's 1.8-liter, turbocharged four-cylinder engine. The new mill replaced the despised 2.5-liter five-cylinder in the Jetta, Passat, Beetle and Beetle Convertible last year. Weirdly, though, of the 26,452 units covered in the recall, only 1,655 are customer vehicles.
According to VW, the affected models were built between February 1 and April 6 of this year, and feature bad O-ring seals in the transmission oil cooler. Apparently, the faulty O-rings could cause a fluid leak, as they won't seal between the oil cooler and transmission. VW is blaming a material change from a supplier for the problem.
There have been no fires, injuries, accidents or fatalities relating to this issue, which VW will be fixing free of charge. Customers will need to report to dealers to have the O-rings replaced.