• Stumble Upon
  • Reddit
  • Digg
 

Idled Auto Workers Tap the Jobs Bank

UAW Local 652's Bob Copeland works as a handyman at a public school in Lansing, Mich.,
Frank Langfitt, NPR

UAW Local 652's Bob Copeland works as a handyman at a public school in Lansing, Mich., where he fixes musical instruments.

More on the Jobs Bank

Dan Simon poses by a railing he crafted at a center for abused children.
Frank Langfitt, NPR

Dan Simon stands next to a railing he built at a center for abused children. An autoworker in name only, he earns about $30 an hour doing construction on community service projects around Lansing.

text sizeAAA
February 2, 2006

Working "bankers' hours" has another meaning in Lansing, Mich., where idled auto workers are being paid more than $20 an hour for their time. Most of the jobs these "bankers" do are far from the production lines of the companies that pay them.

The Jobs Bank was set up by mutual agreement between U.S. automakers and the United Auto Workers union to protect workers from layoffs. Begun in the mid-1980s, the program is being tapped by thousands of workers. Many of those receiving checks do community service work or take courses. Others sit around, watching movies or doing crossword puzzles -- all while making $26 an hour or more.

The Big Three automakers agreed to the system to protect union workers from outsourcing and technology. But with Ford and General Motors losing money in North America -- and contract negotiations due in 2007 -- the future of the unique program is uncertain.

In an interview with The Detroit News, General Motors CEO Rick Wagoner says his company can't sustain the price of the program, which he says runs to $400 million annually.

Union officials say the companies should simply put those drawing checks from the Jobs Bank to work. But with carmakers looking to lay off thousands of workers, executives at Ford and G.M. say that's not likely to happen.

 
  • Stumble Upon
  • Reddit
  • Digg
 

Podcast and RSS Feeds

PodcastRSS

  • Business
     
  • All Things Considered
     
 
 

Comments

Discussions for this story are now closed. Please see the Community FAQ for more information.

 

From The Opinion Pages

A panel of experts takes on the question in the latest <em>Intelligence Squared U.S.</em> debate.

Are Obama's Economic Policies Working Effectively?

A panel of experts takes on the question in the latest Intelligence Squared U.S. debate.

Commentator Andrew Wallenstein says the rocker's marketing deal shows the old rules no longer hold.

Bon Jovi Doesn't Need A Prayer To Make It On NBC

Commentator Andrew Wallenstein says the rocker's marketing deal shows the old rules no longer hold.

If Wall Street wants to win back public respect, it needs to act in the public's interests.

The Nation: Charitable Capitalism

If Wall Street wants to win back public respect, it needs to act in the public's interests.

podcast

Planet Money Podcast

Planet Money Podcast

Meet high rollers, brainy economists and regular folks -- all trying to make sense of our rapidly changing global economy.

Subscribe

podcast

NPR Business Story of the Day Podcast

NPR Business Story of the Day Podcast

The top business story of the day from Morning Edition, All Things Considered and other award-winning NPR programs.

Subscribe