Toyota success may be at the expense of workers

Workers at one of its first U.S. plants 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 said.

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.

"Shoulders would wear out, wrists would require surgery and back and hands started to fail," Unger said. "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," he said. "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."

United Auto Workers Vice President Terry Thurman, who attended the meeting, said the union is committed to providing "all the assistance we can" to Toyota workers.

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.

Reprinted from the AFL-CIO blog, http://blog.aflcio.org

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