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Skilled Trades Rationalization 2011 Contract Provisions March 27, 2012.

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Presentation on theme: "Skilled Trades Rationalization 2011 Contract Provisions March 27, 2012."— Presentation transcript:

1 Skilled Trades Rationalization 2011 Contract Provisions March 27, 2012

2 2 Welcome & Opening Comments

3 3 James Hardy Troy Davis Ted Street Paul Caucci Fred Castelvetere Myrlene Gelibert-Bush Ron Wander Tania Pratnicki Young Roger Clawson Skilled Trades Rationalization - Steering Committee

4 4 1. Roll Out the Skilled Trades Rationalization Letter 2. Explain the provisions and intent of the National parties with respect to Skilled Trades Rationalization 3. Describe the processes and tools to facilitate the Skilled Trades Rationalization by Sept. 14, Respond to Questions (FAQ) 5. Communicate your Business Plan for implementation 6. Communication of additional Skilled Trades Topics Today’s Objectives

5 5 In 2009 the Company and the Union recognized that a consolidated skilled trades structure with two (2) skilled classifications was essential to meet the terms of the Federal Loan and Security (LSA). Implementation of this understanding resulted in the development of a joint Skilled Trades Rationalization strategy that included but was not limited to the following actions: The Consolidation of base pay rates to the highest existing rate in the new classification. The joint development and implementation of a skill assessment process to determine the base knowledge of skilled trades employees and identify individual training requirements. The joint development of both on-line and classroom training to facilitate skilled trades development in a manner consistent with World Class Manufacturing (WCM) methodology. Skilled Trades Rationalization Letter

6 6 The parties recognize the need to jointly support and set the direction for a cultural transformation from the traditional scope of work practices to one that will be considered World Class. To assist in this change the parties agree and are committed to training, benchmarking, establishing skilled trades work teams and other actions as the parties deem appropriate in order to accelerate this cultural transformation. During 2011 Negotiations, the parties discussed the merits of additional classifications to more effectively align the skill sets of our workforce. As a result of these discussions, the parties agree that effective with the 2011 Agreement, skilled employees will be assigned to one (1) of three (3) Work Groups and into one (1) of five (5) classifications. No lines of demarcation will exist within the respective Work Groups. Skilled employees will only be assigned to job assignments that they can safely perform. 6 Skilled Trades Rationalization Letter

7 7 The Tool & Die Technician Work Group will consist of the Tool & Die Maker classification for the following rationalized trades – Die Maker, Die Maker – Die Cast, Tool Maker and Tool Maker – Jig & Fixture Builder. The Electrical Technician Work Group will consist of the Electrical classification for the following rationalized trades – Electrician and Repairer – Welder Equipment. Skilled Trades Rationalization Letter

8 8 The Mechanical Technician Work Group will consist of the Machine Repair, Millwright and Pipefitter classifications for the following rationalized trades – Millwright, Millwright / Welder, Sheet Metal Worker, Welder Maintenance, Pipefitter, Pipefitter – Plumber, Pipefitter / Spray Gun Repairer and Machine Repair. The Mechanical Technician Work Group will be structured into the following three (3) classifications: Machine Repair Millwright – to include Millwright/Welder, Sheet Metal Worker & Welder Maintenance Pipefitter – to include Pipefitter and Pipefitter/Spray Gun Repairer For Overtime opportunities within the Mechanical Technician Work Group where the overtime list for one classification is exhausted, and additional employees are required, employees from the other two classifications who have demonstrated proficiency to perform the available work as identified on their radar charts will be offered the overtime work in line of low hours. Skilled Trades Rationalization Letter

9 9 The Mechanical Technician Work Group (Continued) Employees in the rationalized classifications identified in each work group above will remain on their current seniority list for layoff, recall and seniority purposes until they obtain three (3) years related experience in accordance with Section S-3(C) of the Supplemental Agreement. The parties recognize that the related training began on January 1, 2011 with the skill assessments, on-line and TTC courses and this training will be completed as expeditiously as possible based on individual training plans as outlined below, but no later than September 14, Skilled Trades Rationalization Letter

10 10 The five (5) classifications will assume responsibilities of both the rationalized and eliminated classifications and the training will be developed and implemented accordingly. The assumption of responsibilities within the five (5) classification structure along with the elimination of all other classifications is consistent with the cost reductions also identified in the LSA submission. Skilled trades employees in the Rationalization Program will receive a multi- dimensional scope of training to include on- line training, technical training and on-the- job (OJT) to develop their skill sets and capabilities to perform work in a safe manner. Training will be held at various in-state and out-of-state locations including the Technical Training Center. Skilled Trades Rationalization Letter

11 11 The work processes for on-the-job training have been agreed upon between the International UAW, Skilled Trades Department and Corporate Union Relations. OJT will be provided by employees working together and actively assisting each other comparable to the Apprentice Program concept. Each employee will be responsible for recording their training plan with the assistance of their Supervisor and the Skilled LTTC Representative. Training will be prioritized based upon employee requirements and operational needs consistent with WCM. Training plans will be filtered to address employee training needs as identified by their radar charts to eliminate their skill gaps and to align with current plant work assignment. Employees upon initiation of their training plan, can simultaneously begin their OJT training and can cross functionally apply their learning's. Skilled Trades Rationalization Letter

12 12 Any concerns raised locally will be addressed between the Union and Company representatives. Further, during periods of overtime periods it is agreed and understood that employees will perform any work within their Work Groups that they can safely perform. With this expansion of job duties, Management will ensure that the tools required to complete the work assignment(s) will be available to the employee. Skilled Trades Rationalization Letter

13 13 The following classifications are not impacted by this Agreement and remain separate and distinct. #5703 Boiler Repair, #5706 Repair – Compressor, #5905 Boiler Operator, #5920 Compressor Operator, #5927 Engineer – Steam, #5929 Energy Center Operator, #5942 Sewage Disposal Plant Operator, #5654 Mechanic-Refrigeration & Air Conditioning (employees not associated with the Energy Center will be classified into “other mechanical” classification grouping), #5693 Powerhouse & Maintenance, #5714 Mechanic- Gas & Electric Jitney, #5717 Mechanic-Gas & Electric Jitney, # 5718 Mechanic-Gas & Electric Jitney, #5719 Mechanic-Gas & Electric Jitney, #5721 Mechanic-Gas & Electric Jitney, #5728 Mechanic-Gas & Electric Jitney, #5759 Mechanic Truck – Tractor, #5762 Mechanic - Diesel Skilled Trades Rationalization Letter

14 14 In addition, all other skilled trade classifications have been eliminated. New entrants to the Electrical, Mechanical or Tool & Die Work Groups must have eight (8) years of experience in a recognized trade or have graduated from a bona fide apprentice program. Employees from the eliminated classifications who meet these qualifications will be reclassification as a Journey or J-1 related trade in accordance with Section S-3(C). All other ancillary skilled trades functions are beyond the new scope of work (i.e. construction, high voltage projects) will be sourced to a third party and all provisions or past practices regarding contractor matching are eliminated in these cases. As part of the existing contractor review process, similarly skilled work that is contracted out will not exceed the one for one match. Skilled Trades Rationalization Letter

15 15 Aligning all manufacturing resources to properly implement the provisions of this letter is paramount to a successful transition. Accordingly, within sixty (60) days of ratification of the 2011 Agreement, a meeting will be held by representatives of the International, UAW and Corporate Union Relations to communicate the commitments of the letter. In attendance for the Company: Plant Manager, Human Resources Manager, the manufacturing Engineering Manager and the Maintenance Area Manager; for the Union: Local President, Plant Shop Chairperson, Skilled Trades Committeeperson and the Skilled LTTC Trainer. Skilled Trades Rationalization Letter

16 16 Layout Metal & Wood Tool Maker - Tool & Gauge Inspection Grinder - Tool Room Machine Operator - Tool, Die & Maint. Layout Inspector Inspector Layout & Sample Check Saw-Do-All Tool Room Only Brickmason & Cement Finisher Crane Operator - Locomotive Repairer - Portable Pneumatic Tools Recording Instrument Maint. & Repair Pattern Maker - Wood Pattern Repairer - Foundry Patterns Carpenter / Painter Carpenter Painter & Glazier Maintenance Inspector Form Cutters Inspector Gauge Surveillance Tool / Fixture / Machine Repair Tech Grinder - Cutter Cutter Grinder Tool & Cutter Grinder Keller Machine Operator CNC Machining Technician Welder - Tool & Die Repairer Furnace Mechanic - Trailer Repair Eliminated Classifications

17 17 Electrical Technician Classification Mechanical Technician ClassificationTool & Die Technician Classification Stand Alone Classifications Eliminated Classifications * MillwrightPipefitter Machine Repair ElectricianMillwrightPipefitter Machine Repair Tool MakerBoiler Repair Layout Metal & Wood Carpenter / Painter Repairer Welder Equipment Millwright / Welder Pipefitter - Plumber Tool Maker - Jig & Fixture Builder Repair - Compressor Tool Maker - Tool & Gauge Inspection Carpenter Sheet Metal Worker Pipefitter / Spray Gun Repair Die MakerBoiler Operator Grinder - Tool Room Painter & Glazier Maintenance Welder Maintenance Die Maker - Die Cast Compressor Operator Machine Operator - Tool, Die & Maint. Inspector Form Cutters Engineer - SteamLayout Inspector Inspector Gauge Surveillance Energy Center Operator Inspector Layout & Sample Check Tool / Fixture / Machine Repair Tech Sewage Disposal Plant Operator Saw-Do-All Tool Room Only Grinder - Cutter Mechanic - Refrigeration & A/C (CTC Only) Brickmason & Cement Finisher Cutter Grinder Powerhouse & Maintenance Crane Operator - Locomotive Tool & Cutter Grinder Mechanic - Gas & Electric Jitney Repairer - Portable Pneumatic Tools Keller Machine Operator Mechanic - Truck - Tractor Recording Instrument Maint. & Repair CNC Machining Technician Mechanic - Diesel Pattern Maker - Wood Welder - Tool & Die Pattern Repairer - Foundry Patterns Repairer Furnace Mechanic - Trailer Repair * Skilled Trades employees in Eliminated Classifications may elect to: 1.Return to a rationalized classification where they retain Journeyman Status 2.J-1 Status in a rationalized classification in accordance with Section - S3(C) of the Supplemental Agreement - Special Provisions Pertaining to Skilled Trades Employees. 3.Apply for the Apprentice Program in one of the rationalized classifications in accordance with Letter 57 - Apprentice Development of the National Agreement. 4.May remain in their existing classification until they attrit out. Skilled Trades Rationalization - Classification Status

18 18 Electrical Technician Classification Mechanical Technician Classification Tool & Die Technician Classification MillwrightPipefitterMachine Repair ElectricianMillwrightPipefitterMachine RepairTool Maker Repairer Welder Equipment Millwright / WelderPipefitter – Plumber Tool Maker - Jig & Fixture Builder Sheet Metal Worker Pipefitter / Spray Gun Repair Die Maker Welder Maintenance Die Maker - Die Cast Eliminated / Protected Classification Alignment With Distinct and Stand Alone Classification Recording Instrument Maint. & Repair Carpenter / Painter Repairer - Portable Pneumatic Tools Tool / Fixture / Machine Repair Tech Layout Metal & Wood Carpenter Grinder - Cutter Tool Maker - Tool & Gauge Inspection Painter & Glazier Maintenance Cutter GrinderGrinder - Tool Room Repairer Furnace Tool & Cutter Grinder Machine Operator - Tool, Die & Maint. Mechanic - Trailer Repair Keller Machine Operator Layout Inspector Brickmason & Cement Finisher CNC Machining Technician Inspector Layout & Sample Check Crane Operator - Locomotive Pattern Maker - Wood Saw-Do-All Tool Room Only Pattern Repairer - Foundry Patterns Inspector Form Cutters Welder - Tool & Die Inspector Gauge Surveillance Skilled Trades Rationalization - Classification Status Base Trades Alignment of Eliminated Classifications Note: The alignment of the eliminated classification with the distinct and stand alone trade may very based upon plant operations

19 19 Employee Options – Return to rationalized class if Journeyperson in 1 of the 5 classifications – Return to rationalized class as J-1 status – Apply for Apprenticeship Program – Remain in class until attrition – retire, transfer out, etc. o Timing – Election will be in 2 nd Qtr Remain on separate seniority & overtime list – Overtime first offered – Core Work Group can supplement operational needs and overtime Rationalization training not required Eliminated Classifications

20 20 Submission Date moved to April 6, 2012 Skilled Trades Rationalization Letter to: Or FAX to:

21 21 On The Job Training (OJT)

22 22 On The Job Training (OJT)

23 23 Credit past experience Partnering up Employees tracks their own OJT World Class Manufacturing (WCM) focus on Training OJT opportunities – Project work – New equipment training – Work Teams – Cross functional assignments On The Job Training (OJT)

24 24 Electrician Technician OJT

25 25 Mechanical Technician OJT

26 26 Tool & Die Technician OJT

27 27 WCM Principles provide the engine to implement the Skilled Trades Rationalization initiatives Utilize PD methodologies for radar chart planning & detail Each individual will be assessed using the following radar chart scale, following WCM teachings: Level 1  General awareness, minimal or no knowledge Level 2  Has had training, has not fully demonstrated application competency Level 3  Able to apply, may need help Level 4  Able to apply well and assist others Level 5  Able to apply well and can teach others WCM Connection

28 28 System will create initial radar charts and populate a Level 1 in each competency category To reach Level 2, must have knowledge, all on line and TTC courses and performed some OJT Only the facility, based on demonstrated competencies and/ or training completion levels may increase an employee to a level 3 or beyond WCM Connection (cont’d)

29 29 – Identifies Initial Knowledge Level – Focus on Employee Training Needs – Identifies when the Employee is trained / Rationalized – Identifies when Employee becomes Eligible for additional Overtime Training Requirements – Radar Charts SAMPLE John Smith Supervisor: Sally Fields

30 30 Sample Radar Chart RequiredCurrentOriginal Metrology

31 METD identified as Role Model / Best Practices Plant – Opportunities to bring work back into this facility have been identified STR “Though The Door” STR Concept at Entrance OJT and Machine-Based Training Traditional Trade Classifications All Become One Tech Group at Beginning – Training Follows TIMELINE

32 32 In 2011 jointly recognition - Chrysler specific solution UAW and Chrysler recognizes that working more efficiently could result in insourcing maintenance / project work Goal is to maximize capability / flexibility of the skilled workforce 100% Skilled Trades Assessments completed Employees completing ToolingU and TTC classes: OJT Finalized and become spokes on the Radar Charts Progress Summary On Line ToolingUTTC Classes Assessments Completed 12/31/11 Assembly1557 (9.5%)98 (1.3%)100 % Powertrain2800 (15.3%)228 (2.7%)100 % Stamping2332 (29.6%)127 (2.6%)100 %

33 33 Completed ToolingU Classes Completed TTC Classes Completed On the Job Training (OJT) Employees “Through the Door” 2012 Manufacturing Skilled Trades Rationalization Goals

34

35 35 Agreed to review apprentice and testing requirements Apprenticeship limited to the following Classifications: – Rationalized Classifications Electrical Technician Mechanical Technician - Pipefitter Mechanical Technician - Millwright Mechanical Technician - Machine Repair Tool & Die Technician – Stand Alone Classifications Jitney Repair Truck Mechanic (CTI) Apprentice Program

36 36 Future selection of apprentice candidates will be as follows: – Applicants from eliminated classifications – Skilled Trades working non skilled – 37 Trenton South Skilled Trades employees who do not have Journeymen Credentials – New Apprentice candidates both internal and external candidates – Local apprentice matters will be handled by the Skilled Trades LTTC member Apprenticeship Program

37 Tooling U Update

38 38 Most Common Requests –Adding / removing employees from the system –Help with pulling reports –Specific Process questions Best Practices

39 39 Data categories required –TID –CID –First Name –Last Name –“New Job Title” (Electrical, Mechanical, or Tool & Die Technician) –“Prior Job Title” –Location Best Practices: Adding Students very important now for filtering

40 40

41 41 Always go to NOT the “regular” Tooling U site Best Practices: Pulling Reports

42 42 Support Contacts Dave Lawless (anything related to STR at TU) Katie Strand (secondary on LTTC requests) Best Practices: Processes

43 43 Turnaround Times Things ToolingU can help with: –Questions on TU classes and reporting Website Where to go for Policies, Procedures of STR or TTC courses: –UAW International Rep, Ted Street –Chrysler Rep, Ron Wander –Your TTC contact Best Practices: Processes

44 44 “My student achieved the minimum required score of 80% on a final exam but it still doesn’t show that he has completed the course. Why not?” “Can employees print documents of the class lessons and keep them for use on the job?” “When I go to and click “Admin Log-in” it won’t let me in – why not?”www.toolingu.com Best Practices: FAQs

45 45 Revamped Reporting Site –New features and tools to help Chrysler / UAW National Parties, the TTC, and LTTC’s to manage STR towards the objectives outlined today –Included: filtered training plans, OJT tools, and additional charts and data –Separate session roll-out for LTTC’s and other admin users Best Practices: Phase II Of

46 46

47 47 Emotional Topic – too many surprises of contractors at the door without advance notification (Examples) Regular Meetings - Survey revealed plants meeting regularly – weekly / bi-weekly Meeting Minutes - need to be kept and distributed, a copy sent to Corporate and the International Union Utilize Letter 50 – Survey by Outside Contracting Review Team revealed that only about 50% of plants use the template Don’t confuse “notification” with “agreement” Outside Contracting Notification

48 48 Outside Contracting Notification

49 49 Outside Contracting Notification

50 50 Outside Contracting Notification

51 51 Assembly Auditorium Jim Dyckman / Mark Taylor – Belvidere, Jefferson, Sterling Heights, Toledo & Warren Truck Stamping M116 Dee Klimek / Paul Caucci – Sterling Stamping, Warren Stamping, METD, CTC Facilities & Pilot / Conner Ave. Powertrain Trans 2 nd Floor Conference Room Kris Phillips / Troy Davis – ITP I, ITP II, & Kokomo Transmission Powertrain Engine M119 Glenn Russette / Pat Cooper – Mack I, Mack II, Toledo Machining & Kokomo Casting Mopar M118 Jeff Lofay/ Dave Stalnaker – Marysville, Milwaukee & Centerline Instructions 1) 1 Hour Breakout – Use your time wisely 2) Review your Plant Implementation Plans with your Group – Based upon this mornings Presentation, modify your Plan if necessary 3) Joint Presentation – Identify UAW / Mgmt Presenters – Enablers – Best Practices – What Help do your need to Implement Breakout Workshops

52 52 Breakout Workshops 50% 25% 60% 30%

53 53 State of Michigan Electrical Licensing

54 54 Public Act 217 requires that all individuals performing work defined in this Act be licensed in the State of Michigan as either an Apprentice, Journeyman or Master Electrician. On August 1 st 2010, the State sent out a licensing rule change that now requires all individuals who are licensed as Apprentices to certify that they either are currently enrolled in a United States Department of Labor (USDOL) approved training program, or have completed one. In 2004 Chrysler started to license our Electricians according to State law. Recent Analysis of State and local licenses indicates that over 315 out of ~600 individuals currently on roll working as Electricians are licensed. State of Michigan Electrical Licensing

55 55 Current Electrical Apprentices who do not meet the new requirement will either have to enroll in 144 class hours of training per year to renew, or their licenses will be suspended. Chryslers Technical Training Center (TTC) is a USDOL approved training center. The TTC has also developed a USDOL approved training program for an entire apprenticeship program that has six classes being taught at the TTC and eleven classes taught outside the facility. The direct impact of this trade reclassification in Michigan is that in four plant locations, i.e., SSP, WSP, WTAP and Pilot, the Weld Equipment Repairmen (WER) will be merged with Electricians and be renamed Electrical Technicians. Skilled Trades Rationalization Letter

56 56 Each affected employee will have to register with the State as an Electrical Apprentice for four years. – After four years, as long as they have completed their training program and hours, they will be able to sit for the State Journeyman exam. – Since this is firmly mandated by the State, the company will be obligated to pay for license renewal and testing fees. – This fee is currently $15 per employee per year, and a $200 charge to take the test and issue the State license. Each WER must complete 144 class hours of training per year according to our approved program submitted with the USDOL. Skilled Trades Rationalization Letter

57 57 Compliance - Although we have at least 55% of our current Electricians on role licensed with the State(or City of Detroit), we are still not in full compliance. With us sending our WERs and transferred Electricians through licensing programs, now is the ideal time to capture the remaining unlicensed employees. Those who went through a USDOL Electrical apprenticeship will not be required to take four years of classes and will be able to register immediately and take their test in four years. Those who did not complete a USDOL Electrical Apprenticeship will be required to take classes and register for four years with the State before they can take the test. Skilled Trades Rationalization Letter

58 58 We Can Do This! We’ll be the 1 st to Finish Together Together We We Can Can JobSecurity World Class WorkforceThis Is Is What What We Do We Do UAW # 1 Our Future

59 59


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