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Union okays closing Chrysler Jobs Bank

by Bill Cawthon on

The United Auto Workers union will allow Chrysler to end its Jobs Bank program on Monday. The Jobs Bank, the source of much criticism from Congress during the loan hearings, allowed some laid-off workers to remain on the payroll at 100 percent of their base pay. In return, the workers were supposed to be available for other assignments or community service work. Under the new rules, laid-off workers will be eligible only for regular state unemployment benefits and supplemental pay.

Termination of the Jobs Bank program was one of the conditions of the $4 billion loan Chrysler received from the federal government. The UAW agreed to ending the program last month.

Bill Cawthon grew up in the auto industry in the 1950s. His Dad worked for Chrysler and Bill spent a number of Saturdays down on the plant floor at Dodge Main in Hamtramck. Bill is also the U.S. market correspondent for just-auto.com, a British auto industry publication, and a member of the Texas Auto Writers Association, which has named the Jeep Grand Cherokee the “SUV of Texas” several times and named the Ram 1500 as the “Truck of Texas” two years running.

Bill has owned five Plymouths (including the only 1962 “Texan”), one Dodge and one Chrysler and is still trying to figure out how to justify a Wrangler. He also has owned at least one of every 1:87 scale model of a Chrysler product. You can reach him directly at (206) 888-7324 or by using the form.

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