Volkswagen Case Study

  

Respond to the questions below in a 3–4 page paper. Be sure to include enough detail to provide context for your ideas and to demonstrate your understanding of these concepts. Also, be sure to include all necessary APA citations and a references page. Please submit your responses in a Microsoft Word document.QuestionsUsing the Internet, find current information related to this case. Provide a summary of the current situation (or resolution, if there is one) about this case. Be sure to incorporate current information about this case with your responses to the next two questions.What business objectives were Volkswagen managers trying to meet by allowing the UAW to organize its workforce in Chattanooga?Assuming that Local 42 succeeds in signing up workers, do you expect that Volkswagen’s management will need to prepare for problems in collective bargaining with the union? Why or why not?RequirementsWritten communication: It should be free of errors, so that the overall message is clear.APA formatting: Resources and citations are formatted according to APA style.Number of resources: Minimum of two current credible business or professional resources, no older than five years. Distinguished submissions will likely exceed that minimum.Parts of paper:Title page.Body of paper.References page.Font and font size: Times New Roman, 12-point.
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Volkswagen wants the United Auto Workers
The United Auto Workers’ failure in organizing the workers of Volkswagen Chattanooga, Tennessee,
Plant was surprising because the election campaign had been so unusual. It is typical for management to
discourage a union, but Volkswagen seemed to welcome the UAW to the plant, where 2400 workers
assembled PASSAT Sedans. The union had partnered with IG METALL Union in Germany, where VW is
headquartered and where union membership is an accepted part of business. There, VW and IG METALL
had cooperative relationship in which the workers serve on the works council, a formal committee that
negotiates with management about how to handle production issues, VW has similar arrangements in
its other international facilities and hope to set up a works council in Chattanooga. Management believe
this will require that workers first belong to a union. In an unusual move, the company allowed UAW
organizers to campaign inside the factory. In spite of this favorable context, the workers voted 712 to
626 against the union in February 2014. While some workers were attracted to the idea of works council,
others worry that the UAW presences will create conflict and divisions. Some said they dislikes the union
supports for political candidates whose views they disagree with. The UAW initial response was to
appeal the vote to the national labor relations board, citing interference from outsiders. The governor
had said he doubted the state will go ahead will plans to offer VW incentives for locating in Chattanooga
if the plant became union-ized. Senator Bob Corker had said he had information that VW will not build a
second production line in Chattanooga if the union invite passed. Conservative political groups posted
anti-union billboards around Chattanooga. Believing these actions made the vote unfair, the union ask
the NLRB to order a new election. But in another surprise, the UAW dropped the appeal two months
later. The union’s president at that time, Bob King, said he feared the appeals process” could drag on for
months or even years”. Ordering a new election could take two years, where as accepting the election
results would allow the union to campaign in another year. More surprises follow in July. The UAW
announced that it had reached a consensus with VW. The company invited UAW Local 42 to sign up
workers voluntarily, and the union would partner with management to set up a works council. Now
Local 42 would prioritize insuring the companies growth and developing a training program for
employees. The same month, VW announced that it would expand Chattanooga plant to build mid-sized
SUVs, adding about 2000 new jobs.

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