Tag: Healthcare (Page 2 of 2)

Fiat Chrysler Reaches Tentative Labor Deal with United Auto Workers

December 1, 2019 / WIL BALDWIN

DETROIT (Reuters) – Fiat Chrysler Automobiles NV 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.

Both automakers also agreed to signing bonuses, with $9,000 for full-time Ford workers and $11,000 for workers at GM.

(Reporting by Nick Carey; Editing by Leslie Adler)

FILE PHOTO: FCA’s Manley and Elkann speaks at the North American International Auto Show in Detroit, Michigan

Ford’s UAW Members Vote to Ratify New Four-Year Contract

November 15, 2019 / WIL BALDWIN

FILE PHOTO: Frankfurt hosts the international Motor Show (IAA)

DETROIT (Reuters) – The United Auto Workers union said on Friday that rank-and-file members at Ford Motor Co <F> have voted in favor of a new four-year labor contract with the No. 2 U.S. automaker.

The UAW will now focus on Fiat Chrysler Automobiles (FCA) <FCAU>, the sole remaining Detroit automaker without a new labor contract. Talks with FCA are expected to begin on Monday, a UAW spokesman said.

The union said 56.3% of Ford’s hourly workers voted to approve the deal, which allowed the company to avoid a strike like the one that cost its larger rival General Motors Co <GM> about $3 billion (£2.3 billion).

UAW leaders said earlier this month that Ford under the deal agreed to invest more than $6 billion in its U.S. plants, and to create or retain more than 8,500 UAW jobs.

The deal also includes pay raises and lump-sum payments over the life of the contract, a pathway to full-time employment for temporary employees and unchanged healthcare coverage.

Workers at GM approved a deal in late October that ended a contentious 40-day U.S. strike, the longest automotive labor stoppage since 1970.

Detailed terms of the Ford deal – released just a week after GM workers approved their new contract – echoed those agreed to with GM, as the union typically uses the first deal as a template for those that follow.

UAW leaders managed contract negotiations with Ford and GM, including the lengthy strike, while struggling with an ongoing federal corruption probe.

To date, 10 people have pleaded guilty in connection with the criminal investigation into illegal payoffs. Just last week former UAW vice president and former GM board member Joseph Ashton was charged with conspiracy to commit money laundering and wire fraud.

Earlier this month the UAW said that its president, Gary Jones, who had been linked to the ongoing corruption probe, was taking a leave of absence.

Rory Gamble, the union’s acting head, said last week he will examine every department of the union in response to the spreading federal corruption probe to prevent future misuse of members’ dues.

(Reporting by Nick Carey and Ben Klayman in DetroitEditing by Matthew Lewis and Cynthia Osterman)

General Motors to Restart Mexican Plants after Labor Deal Ratified

October 25, 2019 / WIL BALDWIN

MEXICO CITY, Oct 25 (Reuters) – General Motors Co will gradually restart operations at several idled plants in Mexico beginning this weekend, after unionized workers for the U.S. automaker ratified a new labor contract, the company’s Mexican unit said on Friday.

The United Auto Workers (UAW) union announced earlier on Friday that its members had formally approved a new four-year labor contract with General Motors, ending a 40-day strike with the top American automaker.

GM said that by the end of next week all of its Mexican operations should be operating normally with all employees back to work.

In a statement, GM’s Mexican unit said its Ramos Arizpe motors plant will resume operating on Saturday, while its transmissions plant and Chevrolet Blazer assembly line located at the same facility will start back up on Monday. The Ramos Arizpe facility is located in the Mexican border state of Coahuila, just south of Texas.

All of the plants located at GM’s Silao facility, in central Guanajuato state, will restart on Monday.

Thousands of Silao workers had been furloughed as anxiety grew earlier this month among residents who viewed the facility as the city’s economic anchor.

Tensions over the future of manufacturing in North America were at the heart of the striking GM workers. The debate pitted U.S. labor advocates eager to reduce Mexico’s cost advantage against Mexican trade unions fighting to protect local jobs.

The strike began in September with UAW negotiators demanding higher pay for workers, greater job security as well as a bigger share of profits and the protection of healthcare benefits.

(Reporting by Anthony Esposito; Writing by David Alire Garcia; Editing by Sandra Maler and Leslie Adler)

Labour Judge Rules That Tesla Broke Labour Law

September 28, 2019 / WIL BALDWIN

Tesla charging station is pictured during the media day for the Shanghai auto show in Shanghai

(Reuters) – Electric carmaker Tesla Inc <TSLA> interfered with legitimate union organising and must read a notice to workers explaining their rights in a meeting requiring attendance from Chief Executive Elon Musk, a U.S. labour judge ruled on Friday.

The company committed a series of violations of the National Labor Relations Act in 2017 and 2018, Amita Baman Tracy, a California administrative law judge ruled in a court filing.

Among the violations of the law cited in the filing was a tweet sent by Musk in May 2018.

“Nothing stopping Tesla team at our car plant from voting union. Could do so tmrw if they wanted. But why pay union dues & give up stock options for nothing? Our safety record is 2X better than when plant was UAW & everybody already gets healthcare”, Musk wrote in the tweet http://bit.ly/2nR14f9 from last year.

The tweet amounted to “threatening employees” with loss of stock options if they vote in favour of the union, the judge said in her ruling on Friday.

The ruling has called on the electric carmaker to hold a meeting at its California assembly plant where either Musk or his agent must inform the workers that the National Labor Relations Board has concluded that Tesla broke the law.

Tesla did not immediately respond to a Reuters request for comment on Friday’s ruling.

In the past, the company has been plagued by safety complaints brought by workers, allegations that Tesla denies. Workers have said that long hours and pressure to deliver vehicles quickly takes a toll, and some have pushed for a union.

(Reporting by Kanishka Singh in Bengaluru; Editing by Sandra Maler)

Swedish Air Ambulance Acquires Six Pilatus PC-24’s

August 23, 2019 / WIL BALDWIN

After a long period of intensive and very professionally conducted negotiations, the “Kommunalförbundet Svenskt Ambulansflyg” (KSA) has opted for six Pilatus PC-24s in a fully equipped air ambulance configuration. These PC-24s will provide aeromedical care across Sweden from 2021.

KSA is a national organisation formed, mutually owned and financed by all 21 regions in Sweden. The regions are responsible for ensuring that everyone living in Sweden has equal access to good healthcare. Time is the essence for patients in an emergency and given the vastness of Sweden, the establishment of a national air ambulance service provides all residents with access to rapid, professional aeromedical care. Combining the speed of a jet with the ability to use short runways – one of the great strengths of the PC-24 – the Super Versatile Jet from Pilatus is the ideal aircraft for KSA.

Professional selection process

Following an extremely intensive selection process, Pilatus was naturally extremely pleased with the award of the contract for delivery of six PC-24s. The aircraft are scheduled for delivery to KSA in 2021.

Oscar J. Schwenk, Chairman of Pilatus, commented as follows: “I’m delighted to see the first air ambulance organisation in Europe opt to buy the PC-24. The highly professional selection process confirmed that the PC-24 is indeed the perfect aircraft for medevac missions. I’m also particularly happy that we managed to carry the day with our Swiss aircraft in a highly competitive market segment. We see further worldwide market potential for our PC-24 in this area.”

A successful cooperation will be ensured

Annika Tännström, Chairman of KSA, commented as follows: “We are very pleased to be able to announce that we have completed our procurement of air ambulance aircraft, and to award Pilatus the contract. The fleet of PC-24 aircraft will allow us to fulfil the needs of all regions in Sweden in terms of air ambulance transports. We look forward to deliveries in 2021!”

Andreas Eriksson, CEO of KSA, added: “By signing the contract with Pilatus today, Svenskt Ambulansflyg has passed a major milestone on the way towards establishing a national air ambulance with start of operations in 2021. The performance and capacity of the PC-24 combined with the spacious and easily re-configurable emergency medical service equipped cabin will allow us to conduct the required air ambulance missions safely and efficiently. We look forward to a close and successful cooperation with Pilatus.”

About the Medevac PC-24

The outstanding flexibility of the PC-24 opens up many possibilities for deployment of this aircraft on Medevac missions. The spacious cabin can accommodate up to three patients plus medical personnel. The large cargo door also facilitates rapid loading and unloading of patients. These characteristics, plus the PC-24’s capacity to use short runways, make it the ideal aircraft for all our Medevac missions. KSA is the second public sector organisation after the Royal Flying Doctor Service of Australia to use the PC-24 as an ambulance aircraft. The Super Versatile Jets operated by KSA will fly a total of around 6,000 hours a year on rescue missions.

Ford to Upgrade Chicago Plant for SUV’s, Add 450 Workers

July 22, 2019 / WIL BALDWIN

DETROIT (Reuters) – Ford Motor Co said on Monday it would invest $50 million upgrading a Chicago facility to partially assemble hybrid electric SUVs and vehicles for police use, creating 450 jobs.

The plant currently modifies vehicles for police use. That work will be transferred to a nearby facility.

After retooling, the new production line will later this year start partially assembling hybrid versions of the Ford Explorer sport utility vehicle and the luxury Lincoln Aviator Grand Touring SUV.

It will also partially assemble the Police Interceptor SUV.

On Friday, Ford said it would lay off about 200 workers in September at a Canadian manufacturing plant in Oakville, Ontario, with more layoffs possible in January, because of slowing sales of the sedans that the plant manufactures.

Overall, U.S. new vehicle sales are expected to fall this year, although pickup trucks and SUVs remain more popular than traditional passenger cars.

Last week, Ford also kicked off talks on a new four-year contract with the United Auto Workers union, with job security, healthcare costs and the use of temporary workers expected to be major sticking points.

(Reporting by Nick Carey; Editing by Peter Cooney)

Apollo Eyeing Deal for GE’s Jet Leasing Unit

January 7, 2019 / WIL BALDWIN

(Reuters) – Private equity firm Apollo Global Management LLC is working on an offer to acquire General Electric Co’s aircraft leasing operations, which are worth as much as $40 billion, people familiar with the matter said on Friday.

Apollo’s bid comes as GE’s new chief executive officer, Larry Culp, is battling to restore profits and slash debt after the industrial conglomerate lost $22.8 billion in the third quarter, mostly from its ailing power unit.

GE is already pressing on with divesting several assets, including spinning off its healthcare unit and shedding its stake in oilfield services company Baker Hughes. Apollo’s offer could put pressure on GE to also sell the aircraft unit, known as GE Capital Aviation Services (GECAS).

Apollo is looking at financing its bid partly through debt and equity provided by Athene Holding Ltd, the annuity provider for which it provides asset management services, the sources said. Apollo’s private equity funds, co-investment from Apollo’s investors, and debt financing from banks will also help fund the deal, the sources added.

In addition, Apollo is open to exploring a transaction for GE’s long-term-care insurance business, whose liabilities have emerged as a significant burden, according to the sources.

GE has not yet agreed to a deal with Apollo, the sources said. The company could decide to explore a deal with other buyers or not sell GECAS at all, the sources added, asking not to be identified because the matter is confidential.

Apollo and GE declined to comment. Bloomberg News first reported on Apollo’s offer.

GECAS has a fleet of more than 1,900 planes, which it provides to airlines under long-term leases. Consolidation in the sector has intensified in the last few years, as Asian competitors chip away at the market shares of GECAS and its rival AerCap Holdings NV.

GECAS is a unit of GE Capital, which GE has been trimming since the 2008 financial crisis. In 2015, it clinched a deal to sell most of GE Capital’s real estate assets to Blackstone Group LP and Wells Fargo & Co for $23 billion.

Apollo has done several deals with GE. In October, Apollo agreed to buy a portfolio of $1 billion in energy investments from GE Capital. In 2015, Mubadala GE Capital, a joint venture between Abu Dhabi state fund Mubadala and GE Capital, agreed to sell a $3.6 billion portfolio of corporate and real estate loans in the United States and Europe to Apollo.

(Reporting by Greg Roumeliotis in New York; Editing by Leslie Adler)

Image from http://www.airbus.com

Aviation Segment To Fuel GE’s Growth

November 13, 2018 / WIL BALDWIN

The Aviation segment has been one of General Electric’s (GE) best-performing units in recent quarters. In the third quarter, the vertical’s revenue jumped 12% to $7.5 billion from $6.7 billion in the previous year’s quarter. However, the segment’s revenue fell slightly short of analysts’ estimate of $7.6 billion.

Aviation revenue accounted for 25% of GE’s total revenue in the third quarter compared to 24% in the previous year’s quarter. The segment’s orders in the third quarter totaled $9.1 billion, up 35% YoY.

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Aviation Segment To Fuel GE’s Growth

Image from www.ge.com

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