Sept. 18 is new date for court hearings

The UAW is due in court Sept. 18 to begin presenting witnesses in its case against Delphi Corp.’s request to reject its labor agreements and change retiree benefits with the UAW and five other unions.

Delphi wants to throw out the contracts even though large numbers of workers have agreed to buyout options since the auto supplier filed for bankruptcy protection.

Timeline

2005

Oct. 8 Delphi files for bankruptcy protection.

2006

Feb. 10 Judge rules in favor of Delphi executive bonus plan.

March 22 UAW reaches attrition agreement with GM and Delphi.

March 31 Delphi files motions seeking court approval to reject all union contracts and modify retiree benefits.

April 7 Judge approves attrition plan.

May 9 Section 1113-1114 hearings begin.

June 9 Supplement to Delphi SAP agreed to.

June 23 Deadline for eligible Delphi workers to accept SAP options.

July 19 U.S. Bankruptcy Court rules that Delphi can continue to pay millions in executive bonuses.

What’s next

Sept. 15 Deadline for supplement to Delphi SAP attrition plan.

Sept. 18 The UAW is expected to be the first union to present testimony against the Delphi motion.

In the September proceedings, the UAW, followed by Delphi’s other unions, is to begin presenting witnesses on why the court should not approve Delphi’s motion to cancel labor agreements, especially in light of the number of workers who have agreed to sever ties with the company.

Although talks between the UAW and General Motors have continued, UAW President Ron Gettelfinger said they have remained disappointing, especially as the auto supplier has pushed to discard its agreement with its labor unions while continuing to pay millions in incentives to its 460 top executives.

In March the UAW, GM and Delphi announced an agreement on a Special Attrition Program (SAP) that offered retirement incentives and a pre-retirement program that would allow workers to grow to a 30-year retirement.

Workers had until June 23 to decide if they would take the option. Almost 85 percent of eligible UAW members agreed to the buyouts. A supplement to the SAP was negotiated June 9.

Under the supplement terms, buyout payments of $140,000 were available to employees with 10 or more years of seniority or credited service. Traditional employees with less than 10 years of seniority were eligible for $70,000. Employees hired under the Supplemental New Hire Agreement before March 22 were eligible for a buyout payment amount prorated to $40,000.

Workers with 26 years of credited service were eligible for the pre-retirement program.

Workers have until Sept. 15 to decide if they will take an option from the supplement.

Even with those measures, Delphi has not changed the basic proposal offered last November with regard to any long-term commitment to jobs in this country, Gettelfinger said.

While the UAW and GM have made significant efforts to resolve the issues, Delphi has continued to insist that workers and communities must suffer while their executives reap bonuses and GM pays the bills, he said.

Sandra Davis