6/14/2008 1:15:00 AM
Kongsberg lock-out described as frustrating
| |
|
 |
| Van Wert County Economic Development Director Nancy Bowen talks with Norwegian reporter Lars Overli about the lockout at Kongsberg Automotive. |
|
BY ED GEBERT
Times Bulletin News Writer
egebert@timesbulletin.com
Frustrating. That's the word that keeps coming up whenever discussion turns to the lockout at Kongsberg Automotive.
The situation which has left 327 union workers without employment for over 10 weeks has left workers, union leaders, politicians and city officials scratching their heads in search of a solution.
"The public perception out there, unfortunately, is that nothing has been done, and that nothing is being done. Nothing could be further from the truth," stated Nancy Bowen, Van Wert County economic development director. "It's been a matter of us asking, 'what's the story' or saying 'let's negotiate, let's talk about it,' and there's been a standstill on that. There's no communication coming from [Kongsberg] on that."
Van Wert Mayor Louie Ehmer added, "All we can do is to call our legislators and let them know there is a problem and that the disparity is great, and keep them advised of what is going on."
According to most, the problem lies in the information coming from Kongsberg, or more accurately, the lack of information. The company is very tight-lipped about the future of the Van Wert facility aside from the occasional pledge to keep the plant open - for now.
The company's offer to members of United Steelworkers Local 1-524 called for workers to take what amounted to a 40 percent pay cut, from $14-15 per hour to $9 per hour. The union rank and file overwhelmingly rejected the offer 303-9 on April 2. Almost immediately afterward, the lockout began.
The company line all along has been that it needs to cut labor costs to insure the plant's future. When Peter Spencer, group executive and president of Kongsberg Driveline Systems, visited Van Wert on April 17 he said, "As of today, we've got a very large opportunity on the table from a global customer, $30 million as it happens, but I need to quote them and the bottom line is the customer has told me very simply that if you quote this at fifteen bucks an hour, you haven't got it. If you quote this at nine dollars an hour, you've got a good chance."
The company has already announced their intention to move 200 of the 320 to Nuevo Laredo, Mexico. The status of the remaining jobs is still up in the air.
Bowen is convinced that the Kongsberg's intention from the start has been to move the plant to Mexico. She shared, "I think their strategy back from about late 2005, when they built that plant in China, when they built that plant in Brazil, they announced at those events that they were planning a major expansion at both those plants. Well the way that they are expanding is by contracting in other areas."
That would certainly fit what the company is telling their stockholders. In the annual report written in December, 2007, just a month before Kongsberg took over operations from Teleflex, the strategy was laid out. Translated, the report reads, "Kongsberg Automotive has earlier transferred production from high-cost countries such as Norway, Sweeden and Germany, to low-cost countries in eastern Europe, South America and Asia. The acquisition of GMS [Teleflex] fits into this strategy."
With the writing apparently on the wall, city and state officials would like to talk the company into staying in Van Wert, but nobody seems willing to listen. Bowen stated that since Kongsberg Automotive took over in January, she has been unable to meet with company officials to develop any kind of relationship between business and city. That was not a problem when the plant belonged to Teleflex.
Since trying to deal with Kongsberg has been so frustrating, Bowen said that much of the city's efforts have focused on the 327 locked-out workers. "We can help the workers, and at this stage that's the direction we're taking," she explained. "We can help them with training assistance, getting back in the workplace. That's the direction we're taking. Can we force this company to stay in Van Wert? No."
Last Tuesday, the workers were invited to sessions to learn about dealing with unemployment claims, and other state assistance programs. Today, the United Steelworkers are holding a rally for the locked-out workers at noon at Fountain Park. The purpose of the rally is to give support to the workers.
Next Saturday, the workers are being supported by what the organizers at Do-Right Motorcycle Club have called the Blue Collar Benefit at the Van Wert American Legion. That event will raise money for the workers with a motorcycle run, karaoke contest and concert.
|
Article Comment Submission Form
|
|
