Cars and Drivers

Honda (HMC) Hides From The UAW

Honda (HMC) recently built a plant in Indiana. But, it is only recruited workers from certain counties. Other locations that had laid-off UAW members did not make the geographic list of where the Japanese car company would hire new workers.

Honda and other foreign auto companies also seems to like to locate plants in the South, where right-to-work laws are weak.

The little dodges are working  According to The Wall Street Journal "Of the 33 auto, engine and transmission plants in the U.S. that are wholly owned by foreign companies, none have been organized by the UAW, despite repeated attempts."

Too bad for the union. As its membership has dropped with the falling fortunes of US car companies, it has almost ceased to be a labor power in the US. Its inability to get a foot in the door at foreign car companies may be a sign of that.

Of course, Honda and other foreign car companies want to avoid the fate of firms like Ford (F) which have built up massive legacy costs from pensions and have a cost-per-car that is too high to be competitive.

There ought to be a law.

Douglas A. McIntyre

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