Toyota confirms ending contract with NUMMI, UAW gets angry

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