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Lear Vote on Sunday Could End Two-Tier Wages
Workers at Lear Corp.'s seating plant in Hammond, Ind., are expected to ratify a pact on Sunday that would phase out the facility's two-tier wage structure.
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Workers at Lear Corp.'s seating plant in Hammond, Ind., are expected to ratify a pact on Sunday that would phase out the facility's two-tier wage structure.
Roughly 700 United Auto Workers union members at the factory staged a one-day walkout last Saturday in support of the measure.
The UAW reluctantly agreed to two-tier wages in 2007 to help revive the American auto industry. The scheme allows employers to hire new workers at lower rates than it pays its more seasoned employees sometimes for the same job. The union has rankled at the inequity, especially now that the industry is solidly profitable again.
The UAW says the tentative pact with Lear would set a maximum hourly wage of $21.58 for all workers. Currently, new hires there can earn a maximum $16 per hour, according to reports.
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