Teamsters demonstrate to protest Chrysler transport changes

Members of the International Brotherhood of Teamsters staged demonstrations at seventy Chrysler dealerships across the United States yesterday. Distributing leaflets reading “Chrysler Greed Destroys Michigan Families,” the union members were protesting Chrysler’s decision to give some of its new vehicle transportation business to non-union companies, a change that could cost an estimated 1,700 Teamsters their jobs.

The demonstrations were part of a six-week campaign that will hit more American Chrysler dealerships. The union represents about 5,000 union haulers and fears up to a third of those jobs could go to non-union truckers.

Chrysler’s existing contracts with Allied Systems Holdings and Cassens Transport Company, worth about $111 million annually, expired at the end of last month. The automaker solicited competitive bids and awarded about a quarter of the business to other companies. The change eliminated the jobs of about 45 percent of the Teamsters working for Allied and Cassens in Michigan.

Chrysler maintains the changes were needed to save money and cut cash burn. A company official said the savings could be as much as $31 million over three years.

The union is concerned that General Motors may follow suit when its contracts expire.