Solidarity with Strikers at American Axle and Manufacturing AAM
PART 17 - This powerful AAM striker's rally was a high-energy success that had one small victory that satisfied one of the workers objectives.
Mainstream media was all over this rally outside the AAM HQ.
First, Karl Hense was on the picket lines and was featured in among the many scenes of the three videos presented by ABC 12 WJRT.
Second, inside the AAM stockholder meeting, shareholders rejected the proposed renewal of the long-term executive incentive plan, which would have divied up millions of AAM shares to enrich about 500 executives.
The next AAM striker's rally, planned for the near future will draw an even greater crowd and will use the momentum of this event to drive the fightback movement forward.
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Local Tempers flare during American Axle protest
Thursday, April 24, 2008 | 7:50 PM
Annual shareholders meeting met with pickets
By Gabe Gutierrez
DETROIT (WJRT) -- (04/24/08)--
Tempers flared as thousands of striking workers sounded off against American Axle Thursday.
The auto parts supplier was holding its annual shareholders meeting Thursday afternoon amid the largest organized protest so far.
It's been almost two months since more than 3,600 United Auto Workers walked off the job.
There is still no agreement in Detroit between American axle and the United Auto Workers. It is the longest automotive strike in nearly a decade.
Many of the striking workers directed their anger at American Axle CEO Richard Dauch.
Some of the pickets are urging shareholders to vote down a proposal that would increase long-term compensation for corporate executives.
American Axle says the UAW has rejected wage-and-benefit offers that are better than those paid by competitors.
Company officials say they may be forced to close down more plants if the strike continues much longer. So far, hundreds of union workers are calling their bluff.
The strike effects are rippling throughout the state. A General Motors Corp. executive says the strike may have cost the automaker sales of 7,000 to 10,000 vehicles in the first quarter.
(Copyright ©2008 WJRT-TV/DT. All Rights Reserved.)
Local Tempers flare during American Axle protest
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Axle seeks different terms for specific plants, UAW says
Long-term executive incentive plan rejected by shareholders
By David Barkholz
CRAIN NEWS SERVICE
POSTED: 12:51 p.m., Apr. 24, 2008
LAST MODIFIED: 4:17 p.m., Apr. 24, 2008
The president of a key American Axle & Manufacturing Holdings Inc. union local said today that the company is trying to get different wage and benefit packages for five U.S. plants being struck by the United Auto Workers.
That is a critical reason why the union hasn't settled with the company, said Adrian King, UAW Local 235 president in Detroit. King spoke with Automotive News just prior to the company's annual shareholders meeting Thursday.
Separately, American Axle shareholders Thursday voted down a controversial executive incentive plan.
Interviewed at a rally in front of American Axle's headquarters, King said the union is doing its best to prevent UAW workers at different plants from working under different contracts. " That's why we're here -- solidarity," King said.
Some of the American Axle plants on strike make parts for axles, and others make full axle systems. The company is trying to get the parts plants to agree to lower wage and benefit packages.
A rally before the shareholders meeting Thursday afternoon drew union members from across Michigan and the United States. Automotive News estimated attendance at the rally at about 500 people.
A picket line was in front of the main gate where shareholders were to arrive to attend the 3 p.m. meeting.
Large crowd expected
Security around American Axle's headquarters was beefed up for what has tended to be a sleepy event in the past.
Company spokeswoman Renee Rogers said executives never considered moving the meeting in light of a strike at American Axle's manufacturing complex next to its headquarters.
During a question-and-answer session with shareholders, CEO Richard E. Dauch told shareholders the company has lost hundreds of millions of dollars at its U.S. plants in recent years. Those plants must become more competitive and flexible, he said.
He also cited troubles with absenteeism -- 20 percent on average -- at plants in Detroit and Three Rivers, Mich.
Dauch said if the cost structure of the U.S. plants can become more competitive, American Axle already has the business portfolio and global footprint to compete with any of its rivals. He said American Axle's all-wheel-drive vehicle products already carry a $1.3 billion business backlog on the company's books.
Long-term executive incentives
The only controversial proposal of three on the shareholder ballot was for the new long-term executive incentive plan, which has been criticized by the UAW.
Shareholders rejected the plan, but vote results were not immediately available.
Institutional Shareholder Services, an influential shareholder advisory company based in Rockville, Md., recommended that shareholders reject the plan because it didn't meet the firm's guidelines for potential dilution of a company's shares.
Like the plan before it approved in 1999, American Axle's proposal would have allowed for as many as 5 million company shares to be meted out to executives to attract and reward talent. As many as 500 executives would have been eligible for awards, with no more than 1.5 million shares awarded to any individual in any calendar year.
The other proposals are to elect a slate of nine directors and to hire Deloitte & Touche LLP as auditors.
American Axle is weathering a 2-month-old UAW strike by 3,650 workers at five U.S. plants, including its Detroit complex. Parts shortages from the strike have shut or hampered production at 30 General Motors Corp. plants. American Axle provides axles and other parts to 80 percent of the light trucks that GM builds in North America.
UAW President Ron Gettelfinger said last week that the sides remain far apart. American Axle counters that it has made several offers to try to bring wages and benefits more in line with those of its competitors, such as Dana Holding Corp. Workers at Dana earn an average of about $14 an hour compared with $28 an hour for the strikers.
American Axle posted 2007 net earnings of $37 million on sales of $3.25 billion.
Axle seeks different terms for specific plants, UAW says
© 2007 Crain Communications Inc.
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Thank you,
John Martyn
