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Toyota: Another Circuit City?

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by James Parks, Apr 16, 2007

Photo credit: UAW photoToyota’s commercials tout how many jobs the company has created in the United States and how many factories it plans to build. Workers at one of its first plants in this country say Toyota is making big profits but fails at health and safety and relies heavily on low-paid temporary workers.

And in a move barely better than that of Circuit City, where management recently fired 3,400 employees because it wanted to hire workers to do the same jobs at lower wages, Toyota may be developing a plan to reduce workers’ wages and benefits just because it doesn’t want to pay them what they currently earn.

The workers, who appeared at a March 31 town hall forum in Lexington, Ky., just a few miles from Toyota’s plant in Georgetown, Ky., demanded that the Japanese-based company respect its workers and the community that made the plant successful.

The workers say the giant automaker has received $371 million in state and local government tax subsidies since 1986. In return, Toyota had promised to locate manufacturing jobs in Kentucky that paid decent wages.

Instead, workers say the company, which is nonunion, is firing employees who are injured at work. In addition, full-time workers are being replaced with temporary workers who are paid half what regular team members earn and have little or no health insurance, workers say.

At the town hall meeting, Tim Unger, an 18-year veteran Toyota worker, said he’s noticed that some long-time workers have “disappeared” from the plant after they were hurt on the job—victims of Toyota’s quest for improved efficiency. Says Unger:

Shoulders would wear out, wrists would require surgery and back and hands started to fail. It seemed as if the good people who contributed to the success of Toyota were being used up and disposed of like garbage.

Also, at the town hall forum, other workers such as Noel Christian Riddell, a 10-year veteran skilled-trades worker, said the company seems to be relying more and more on low-wage temporary workers and ignoring experienced workers:

We executed model-change activities faster than any other manufacturer. I truly felt my contributions played a role in the company’s success. But something happened. After only a few years, training ceased. Suddenly, I had no sick days. My raises became smaller. My benefits were cut. My group’s manpower was slashed. And the number of temporary employees steadily grew.

UAW Vice President Terry Thurman, who attended the meeting, said the union is committed to providing “all the assistance we can” to Toyota workers.

This is all about Toyota workers—their concerns, their interests and their hopes for the future. They are hard-working autoworkers, and they’ve helped make this company a tremendous success. They deserve respect and dignity on the job.

Local community and religious groups are joining with Jobs with Justice and the UAW to establish a Workers’ Rights Board in Kentucky, which will hear personal stories of Toyota workers and recommend appropriate remedies when necessary, Thurman said.

Last month, UAW President Ron Gettelfinger and Thurman said in an online chat there has been “increased activity” and more interest by Georgetown Toyota employees to join the UAW after recent media leaks about workers pay there. The leaked documents indicate Toyota is considering cutting some wages to lower overall expenses.

Cornelia James, an 18-year Georgetown employee, says the documents show it’s time for a big change at the plant. “It’s time for Toyota to sign a contract with us like everyone else they do business with,” she said.

Cylister Williams, a retired UAW member who works with Kentucky Jobs with Justice, told the crowd that it’s not enough that the workers at the Georgetown plant have jobs.

They don’t have justice. We’re going to get justice at Toyota.

You can take action to help the Toyota workers get justice by sending a message to Steve St. Angelo, head of Toyota North America.

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14 Comments

  1. Al on 16.04.2007 at 14:20 (Reply)

    Undoubtedly you are a company man. SCREW THE PEOPLE that do the work,,,,,,,,this is America at it’s worst. When YOUR job disappears for whatever reason,,,think about all of your employees that you have SCREWED. UNDOUBTEDLY YOU ARE A REPUBLICAN

  2. ellej28 on 16.04.2007 at 16:34 (Reply)

    Just another example of corporate greed. I wouldn’t purchase a Toyota if I had to walk everywhere I went. This is the way Circuit City treated their employees. I will no longer shop there because of this. I urge everyone to boycott the people who treat their workers this way. Hit them where it hurts the most. PROFITS! Take a look at the golden parachutes! It is enough to make you sick!!!

  3. FrankS on 16.04.2007 at 18:36 (Reply)

    Was there another comment here before Al commented. His posting makes no sense otherwise. The article is obviously pro-worker so who is it that he is calling company man and Republican?

    And just a thought, but maybe a feature should be added to the site so that authors/commenters are notified when additional comments are made regarding the same article.

  4. JMRivers on 16.04.2007 at 18:43 (Reply)

    These workers need to organize in the worst way. It is a shame that our President does not have a heart for working class citizens and would threaten to veto the Employees Free Choice Act when it passes the Senate, like it passed the House of Representatives. This is supposed to be a Nation of Laws “of, for and by the People” of the United States. Through their representatives in the House the people have spoken. Bush should listen. This is a democracy not a dictatorship. When any branch of government acts only in the interest of a few versus the masses the one responsible should be removed from office. If we can’t get that done then the politicsal party represented by that person should be punished.

  5. csapp59 on 16.04.2007 at 20:10 (Reply)

    I will tell everyone I can about Toyota’s greed and the way they are treating employees. I will not shop at Circuit City or would I buy a Toyota. I urge everyone to boycott these businesses. If we don’t put a stop to this, where will it end.

  6. Cynical on 16.04.2007 at 22:34 (Reply)

    As we have seen time and again, cheap labor produces cheaply made products. I will put off buying a new Toyota until I see what is going to happen. I purchased a 2006 and like it fine. At that time I heard Toyota treated their workers like family.

  7. Bob_S_1 on 17.04.2007 at 03:32 (Reply)

    Toyota is not the only corporation that has realized it’s more profitable to move from permanent, experienced workers to part time, barely above minimum wage workers.
    The increased profits are substantial enough that they are willing to put up with inexperienced workers who may only last one or two months, if that long.
    The corporation I work for has done the very same thing. Work force has been cut in half, benefits have been taken away, and experienced workers have been fired for insignificant issues that should only have resulted in a warning.
    Corporations have and always will be interested in one thing, increasing their profits. The work force that makes their profits a reality mean nothing to them.
    The sad truth is, it’s going to get much worse before it ever gets better.

  8. ChicanoWobbly on 17.04.2007 at 09:26 (Reply)

    Toyota recently built a Tundra plant here in San Antonio. I do not know anyone who works there, however I noticed in the classifieds that they are hiring assembly lineworkers from a temporary agency paying just $12 per hour!

    I would urge all Toyota workers to organize under the banner of the UAW! You have nothing to lose but the oppressive nature of your jobs!

  9. kbat on 17.04.2007 at 10:36 (Reply)

    The postion of Toyota to treat their workers as disposable is nothing new. Just check Honda’s health and safety stats. Corporations have no ethics when it comes to these decisions. Bottom line is bottom line no matter who gets hurt.
    Modern human resources managers are first taught that the operant word in HR is resourses NOT human.
    By dehumanizing workers they can rationalize the damage they do to people’s lives through their actions. Then they can attend their church of choice with a clear conscience. SHAME!

  10. dec on 17.04.2007 at 14:28 (Reply)

    Toyota’s assult on workers in the USA amounts to terrorism. What about your war on terrorism Mr. Bush?

  11. Plumber33 on 18.04.2007 at 18:42 (Reply)

    Mason City, Iowa
    Our city council will be interested in this news announcement. I have called one of the city council members and will make sure that he gets this information. Our town back in the 40’s and 5o’s had a growing population with two cement plants going, Decker meats and slaughter house, where people worked and earned good wages and retired living life in comfort. Workers with health care, pensions, and able to put their children through college if they wanted to. Most mothers stayed home able to do so because it only took one income to live comfortable. The population in those days was around 29,000 to 30,000 thousand people. Today in 2007 it is still the same. We are banked to the south by The Avenue of the Saints, a highway with 4 lanes starting in St. Louis, MO. and ending in St. Paul, MN. To the west of us only 8 miles away is Interstate 35 going north and south all are major highways. Yet this city invites all of the big box stores into our community, and wonders why our young people leave.
    What’s wrong with this picture?
    Plumber 33

  12. Kenn on 26.04.2007 at 03:20 (Reply)

    I guess after all the times the toyota workers had a chance to join the U.A.W. and didn’t it’s finally coming around and biting them in the ass !! I guess I really can’t feel sorry for stupidity. Let’s hope they smarten up and organize, then the idiots that buy a toyota because “it’s made in America” can buy it because it’s “UNION MADE in America !!!

  13. warrior on 10.06.2007 at 21:31 (Reply)

    I am an 18 year “team” member at Toyota in Georgetown. A person who does not work here really has no idea what goes on. I’ve seen a man lying on the work floor suffering a near fatal heart attack and management angry because the line had stopped so people could care for the victim. This is absolutely no exaggeration. People in the area were ordered back on line while the “team” member was down. A manager actually yelled, ” why the hell is the line not running!?”

    I’ve had many friends that have been hurt and have had surgeries only to come back on a different shift and a different area doing a job that was worse than the one they had been hurt on. Toyota will fight tooth and nail to make sure that any injury is not an OSHA recordable. For Toyota, image is everything.

    Speaking of image, when was the last time you heard that Toyota had a recall? You won’t hear of the 533,000 Tundras that have been recalled due to breaking tie rods. People driving down the road flipping over in ditches. Toyota really doesn’t care about the quality of their cars. They have great team members that do a great job in keeping that in line. They just happen to be putting on cheap tie rods that allow Toyota to acquire a larger profit margin.

    Or how about the Toyota Philippines workers that legally formed and organized a union at Toyota’s Bicutan plant? 227 of them were fired and several were beaten to the point of hospitalization by Toyota security for having a peaceful demonstration.

    Some of you may think I am coming down hard on Toyota. But, Toyota deserves it. Everything that I have written can be verified (other than what I personally observed) with just a google search. Shame? Yes. Disgrace? Absolutely! Un-American? No doubt about it!

  14. cblake on 01.08.2007 at 04:10 (Reply)

    Thank you, Warrior, for your information! Toyota’s actions within your facility mimic what is being done to the Toyota owners after major vehicle problems develop prematurely. Toyota owners are blamed and being sent away in shame! These “valued customers” are being “discarded” and left to fend for themselves without new vehicle warranties!

    Does climbing to the top under these conditions seem just? Is the title of #1 properly earned by this company?

    What inside information do the Toyota workers have about the quality of these vehicles? What do they know about Toyota engine oil sludge? What do they know about the active interference with Toyota owner information? Are Toyota employees directed to cover up information about engine problems, particularly engine oil sludge?

    The mistreated Toyota owners (see Toyota Owners Online Unite for Resolution) can relate with the mistreated Toyota employees. Maybe “story sharing” is in order?

    Contact me to share your experiences. Your stories must be told!

    Charlene Blake
    cblake@erols.com
    Toyota Owners Online Unite for Resolution

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