AFSCME 3357-HOF'S BLOG

UAW Tries to Get traction in effort to Unionize
Toyota's Georgetown KY plant


UAW softens tactics in union-wary South - 02/23/05

I think the UAW ought to hire an expert in "game theory". What Toyota and the other captives have done is either match or come close to matching UAW wages, but with a lower total labor cost due to work rule differences, and probably more importantly, lower healthcare and absenteeism due to a younger workforce. In addition, the captives do not have the legacy costs of many retirees. (My fellow UAW-LSP attorneys know all about utilization of our benefit by retirees.) The captives can even pay less and render a higher net wage if the employees are not paying the UAW dues.

Yes, of course, this doesn't address the Union's argument that the non-union workers are "free riders" on the backs of the unionization efforts of the unionized employees. Free rider problems are common in the field of economics.

Unless the UAW can come out with a Unionization strategy that works from an economic or game theory point of view, the chances of successful unionization of the captive plants is going to be so tough that it is questionable whether the resources should even be expended.