Toyota confirms ending contract with NUMMI, UAW gets angry

Posted: Aug 28, 2009
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United Auto Workers President, Ron Gettelfinger, is questioning Toyota Motor Corp’s final decision to close it New United Motor Manufacturing Inc. facility just after benefiting from the government’s cash-for-clunkers program. The plant was originally jointly operated by GM and Toyota before GM pulled out earlier this year.

“It’s unfortunate the company chose to close a U.S. facility after benefiting so greatly from the federal cash-for-clunkers program, which is funded by U.S. taxpayers,” said Gettelfinger.

NUMMI is Toyota’s only UAW-represented auto plant, with a union work force of more than 4,000 people. Toyota said that it is shutting down the factory because of high labor and logistics costs, not because the UAW represents workers there, reports Automotive News.

“The UAW presence does not have a direct impact on the decision,” Executive Vice President Atsushi Niimi said. ”California is a high-cost location.”

“Following the end of the contract, Tacoma pickups will be produced at Toyota”s manufacturing facility in San Antonio, Texas, U.S.A., which specializes in trucks,” Toyota said in a statement. “Corollas will be sourced from its Cambridge, Ontario, Canada plant, as well as Japan to meet near-term demand. This will enable an uninterrupted supply of vehicles to dealers and customers in North America.”

- By: Omar Rana


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  • zermatt

    Gettelfinger can't be serious. Laying a guilt trip on Toyota with the C4C program is laughable. A desperate move on Gettelfinger's part, but there is no reason for Toyota to stay in California. My favorites are:

    > The UAW contract has expired. If the UAW really wanted to make things happen to keep the 4,000 workers employed, they would be falling all over themselves to make the concessions that would make staying in California attractive. For the UAW it has never been about keeping the most people employed, it is always been about cutting off your nose despite your face. From the UAW perspective, it is the evil employer that fired 4,000 workers and not the UAW's insistence on all or nothing as a matter of principle that caused the job losses.

    > California is a hell hole for companies.Regulations and taxes have made moving out of California an easy decision to make.

    > The instability of the California State government is at a critical stage. It would not be surprising to see the state file for bankruptcy. Many suppliers to the government have not been paid or have been paid in “funny money” IOUs. Life in California will be getting worse before it gets better.

    > GM, Ford & Chrysler are consolidating their operations and therefore it makes sense for Toyota to do the same. Getting the most of of facilities that you already have operating makes more sense that keeping California open.

    > No more UAW BS. That is the best one.

  • stitch

    +1 for Toyoda -9999999999999999 for UAW….suckersss!

  • zermatt

    Gettelfinger can't be serious. Laying a guilt trip on Toyota with the C4C program is laughable. A desperate move on Gettelfinger's part, but there is no reason for Toyota to stay in California. My favorites are:

    > The UAW contract has expired. If the UAW really wanted to make things happen to keep the 4,000 workers employed, they would be falling all over themselves to make the concessions that would make staying in California attractive. For the UAW it has never been about keeping the most people employed, it is always been about cutting off your nose despite your face. From the UAW perspective, it is the evil employer that fired 4,000 workers and not the UAW's insistence on all or nothing as a matter of principle that caused the job losses.

    > California is a hell hole for companies.Regulations and taxes have made moving out of California an easy decision to make.

    > The instability of the California State government is at a critical stage. It would not be surprising to see the state file for bankruptcy. Many suppliers to the government have not been paid or have been paid in “funny money” IOUs. Life in California will be getting worse before it gets better.

    > GM, Ford & Chrysler are consolidating their operations and therefore it makes sense for Toyota to do the same. Getting the most of of facilities that you already have operating makes more sense that keeping California open.

    > No more UAW BS. That is the best one.

  • stitch

    +1 for Toyoda -9999999999999999 for UAW….suckersss!