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Published on : Aug 27, 2014

Employees at the Chattanooga plant of Volkswagen AG are trying to form a union of company’s salaried and hourly workers, as a means to counter the United Auto Workers Local 42 union that was established last month. 

The new union is expected to force Volkswagen in rethinking and holding another vote to determine which union is favored by hourly employees. UAV had earlier tried to include VW Chattanooga hourly workers in it, but the anti-UAW workers declined the proposal. 

If the proposed union is formed, it will represent the first installment of formation of American Council of Employees. This union will operate separately from UAW, which reportedly upsets the competitiveness of unionized automakers in the US. 

It is being said that since UAW lost by 712-626 votes in February this year, Volkswagen has drawn nearer to the union, which is the chief factor behind the formation of this alternative union. 

However, the secretary-treasurer of UAW, Gary Casteel says that he does not find reasons why this newly proposed union has any chances of finding firm grounds and surviving; Volkswagen and UAW has a consensus that the company will recognize UAW. 

Still, it is up to the company whether it will recognize the new union that could include 1500 hourly workers at the Chattanooga plant. 

The local 42 has more than 700 members, and so Casteel feels that not many workers are left for the anti-union to gain momentum. 

Companies generally present solid opposition to UAV when it tries to organize workers, but VW has not opposed it in it Chattanooga plant. UAW wishes to exploit this unusual situation and organize workers from ionized auto plants in the US and gain a good hold of workers from foreign-owned plants in the southern regions of the country.