Tuesday, September 7, 2010

Harley contract would create two-tiered labor force





Union employees at Harley-Davidson are getting their first look at the Milwaukee company’s new labor contract proposal, which includes the creation of a two-tiered workforce, severance payments and the hiring of “casual” employees who will receive no benefits.
The company has said it needs to cut its Wisconsin labor costs or it may move production to Kansas City, Mo.
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The local ABC affiliate is reporting that the company will hire seasonal employees for $16.80 per hour, compared to full-time employees who make $30.50 per hour.
The agreement also calls for no raises over the first four years of the deal and would allow current full-time employees to get a one-time $12,000 severance payment.
Union members will vote on the agreement on Monday.