Ford Unequal Pay Dispute Overshadows Talks With the UAW

Ford will begin its arbitration hearing one day after the national contract with the UAW expires. Thus, as procedure requires an independent arbitrator will be managing the dispute. David Grissom, an attorney from Detroit was selected to arbitrate the event, which will hold a September 15th hearing on the matter, according to Detroit Free Press.

"It is an interesting date. The real issue is that 35,000 of nearly 41,000 UAW members signed that grievance petition and they will want to see some results from this process.," Kristin Dziczek, Director of the Labor and Industry Group at the Center for Automotive Research, was quoted as saying by the aforementioned source.

The UAW claims that the manufacturer should reward hourly workers similar as the current labor contract requires equal sacrifices and gains for all Ford workers. According to the agreement, Ford would have to pay an average $5,000 to each UAW worker in profit-sharing. Though the actual contract forced the company to pay an average of $3,000. The worker’s action was backed up by Alan Mulally’s 2010 compensation package of $26.5 million as evidence of unequal treatment between hourly and salaried employees.

"I don't think they can be resolved separately. I think both sides would rather control the outcome rather than send it to an arbitrator," Kristin Dziczek, the source cites. During this round of contract the UAW can only strike Ford as it previously agreed not strike on GM or Chrysler. Furthermore UAW’s president Bob King told union leader that he believes a deal can be reached with Ford.