Mercury will move hundreds of jobs if vote fails

  • Jason Sullivan
    Chippewa Falls, WI
    Posts: 1383
    #1264072

    Quote:


    By Rick Barrett of the Journal Sentinel

    Posted: Aug. 20, 2009 3:18 p.m.

    Fond du Lac — Mercury Marine executives said Thursday afternoon that all manufacturing jobs – and probably the corporate headquarters – will leave if a union vote on concessions fails Sunday.

    There are about 850 manufacturing jobs, and about 1,100 other jobs at Fond du Lac. Anywhere between zero and 200 jobs would remain in Fond du Lac if both the manufacturing and corporate jobs were moved, said Mercury Marine president Mark Schwabero.

    Should the company decide to move, it would happen over the course of the next two or three years, he said.


    Brian Klawitter
    Keymaster
    Minnesota/Wisconsin Mississippi River
    Posts: 59992
    #799236

    It is going to be a new world.

    Jami Ritter
    Hastings, MN
    Posts: 3067
    #799310

    Where would they move to???

    gregh
    s.e. minn
    Posts: 642
    #799311

    Quote:


    Quote:


    By Rick Barrett of the Journal Sentinel

    Posted: Aug. 20, 2009 3:18 p.m.

    Fond du Lac — Mercury Marine executives said Thursday afternoon that all manufacturing jobs – and probably the corporate headquarters – will leave if a union vote on concessions fails Sunday.

    There are about 850 manufacturing jobs, and about 1,100 other jobs at Fond du Lac. Anywhere between zero and 200 jobs would remain in Fond du Lac if both the manufacturing and corporate jobs were moved, said Mercury Marine president Mark Schwabero.

    Should the company decide to move, it would happen over the course of the next two or three years, he said.



    You think the UNION is smart enough to do whats right for the folks that are gonna loose their jobs if Merc leaves??? I sure hope so.

    Randy Wieland
    Lebanon. WI
    Posts: 13478
    #799323

    I hope their Union Reps visit the manufacturing facility for JI Case/New holland in Racine prior to the voting. For those that don’t know…there is no longer a building even standing on that ground, and the land can’t even be sold or developed. Case Co. was a major provider for many families in Racine / Kenosha with good jobs and excelent benifits. In the 80’s when the farming took a major downfall, they didn’t adjust to the economic times and created their own grave. So here is an opportunity for Merc to rise above in these hard times….or add their name to list of those like Parker, Jacobson, Young Radiator, Massey, Case Co., Chrysler, ………..

    docfrigo
    Wisconsin
    Posts: 1564
    #799324

    Boy, I hope the union uses it’s head on this one, taking a cut in pay is far better than losing your job.
    But, unfortunately, we have all become very comfortable with our champagne lifestyles and over inflated wages for the jobs we do.

    Can you say 50+K for a new Ranger??????????
    lots of reality checks her folks.

    chris-tuckner
    Hastings/Isle MN
    Posts: 12318
    #799328

    Quote:


    Where would they move to???


    Here are a few options:
    Mercury Marine Group is a leading global manufacturer of marine propulsion systems. Its products include the Mercury Outboard lineup of motors, which range from 2.5 to 300 horsepower; Mercury MerCruiser gas sterndrives and inboards; high-performance Mercury Racing engines; Mercury Precision Parts and Accessories; and Mercury Propellers. In addition to its world headquarters, manufacturing, and distribution base in Fond du Lac, Wisconsin, Mercury Marine operates manufacturing sites in Stillwater, Oklahoma; Juarez, Mexico; Petit-Rechain, Belgium; and Newton Abbot, United Kingdom. Mercury Marine also has U.S. distribution centers in Cranbury, New Jersey; Dallas, Texas; Hayward, California; and Suwanee, Georgia. The company is a division of Brunswick

    steveo
    W Central Sconnie
    Posts: 4102
    #799361

    My guess would be Juarez MX but there are a lot if bad hombres in that area. That drug thing is far from cleared up.

    dougie
    Sobieski,Wi
    Posts: 458
    #799539

    They said they will move to Stillwater, Oklahoma

    Doug

    JimmyJig
    Posts: 9
    #799547

    You overlooked the brand new plant in China that makes the 40- 50 and 60 HP outboards. It wouldn’t take long to include larger motors.

    dougie
    Sobieski,Wi
    Posts: 458
    #799757

    Mercury Marine: Fond du Lac union rejects changes, so we’ll move south by 2012
    Gannett Wisconsin Media • August 23, 2009

    FOND DU LAC — Following a union vote this morning to reject contract changes that company officials say would have kept Mercury Marine in Fond du Lac, Mercury Marine issued the following statement:

    “Union workers at Mercury Marine voted this morning to reject a contract proposal that company officials said was necessary to keep Mercury in Fond du Lac.

    “Members of the International Association of Machinists and Aerospace Workers – the union that represents production workers at Mercury Marine in Fond du Lac – met at Fond du Lac High School at 9 a.m. today to cast ballots that were later tallied at the headquarters of the IAMAW Local chapter 1947.

    “The proposal, which was presented to the union Aug. 19, is valid until Aug. 29 at midnight. The union leadership chose to accelerate the vote to Aug. 23.

    “Mercury said it will continue to operate the Fond du Lac facility under the terms and conditions of the existing contract, which expires in 2012.

    “In light of economic conditions which will lead to a smaller market, Mercury has submitted a contract proposal to the union in an effort to reduce costs, improve operation efficiencies and ensure the company’s competitiveness. Following the union’s vote, the company will consolidate much of its Fond du Lac manufacturing operations with its existing operations in an expanded Stillwater, Okla., facility.

    “Mercury said it expects to finalize details of state and local support programs over the next few days. Detailed plans and programs will be announced as they become available, and the company said it expects the full consolidation to take between 24 and 36 months.

    “We appreciate the patient support of our employees and communities as we’ve gone through this process,” said Mark Schwabero, president of Mercury Marine.

    “This has been a very difficult and stressful process for all involved. We will work closely with our team in Fond du Lac to develop and communicate a transition plan for this 24-36 month process.”

    jerrj01
    Hudson, WI
    Posts: 1547
    #799771

    That is more than unfortunate.

    Thanks for the update.

    Ted Wedul
    holmen, wi
    Posts: 765
    #799804

    I just don’t get that vote??? Almost 2,000 jobs…just don’t get it?!?!

    lonewolf
    La Crosse, WI
    Posts: 292
    #799899

    Vote to end or save your job. I would think that would be a no brainer in this economy.

    chris-tuckner
    Hastings/Isle MN
    Posts: 12318
    #799902

    Although I don’t know the particulars, it sounds like cutting your nose of to spite your face.

    Especially if they were told in advance that this was critical to Merc staying in Fond du Lac?

    kooty
    Keymaster
    1 hour 15 mins to the Pond
    Posts: 18101
    #799904

    This seems a bit silly. Why would they vote themselves out of work? Did the Merc make such silly demands that either way this was happening? Is there non-union labor available in Stillwater? Seems we are missing quite a bit of the info.

    buck-slayer
    Posts: 1499
    #799905

    Didn’t read any where that the Mercury office staff was willing to take a wage cut.

    Randy Wieland
    Lebanon. WI
    Posts: 13478
    #799913

    The key points were a very modest pay reduction, 30% lower starting wage for new hires, and a pay freeze for a number of years. If not accepted, transfering the manufacturing to a Oklahoma plant that has non-union labor.

    bzzsaw
    Hudson, Wi
    Posts: 3480
    #799917

    Here is the article that was in the St Paul Paper this morning. Good luck finding 850 manufacturing jobs in Fond du Lac, Wi that will pay you 20.00 per hour. I’m not sure how they come to 5900 lost jobs including related businesses. I would like to hear from one of the union workers who rejected this deal try to understand their reasoning.

    Quote:


    The proposal also called for lower wages for new hires and workers called back from layoffs, and changes in pension benefits that workers said would have made retirement unaffordable.


    As for the changes in pensions that would have made retirement unaffordable… How many people on this site are encouraged about their prospects of having an affordable retirement?

    Entire article.

    Quote:


    Mercury Marine workers reject firm’s final offer
    Vote puts 850 jobs on chopping block
    Associated Press

    Updated: 08/23/2009 11:23:37 PM CDT

    Union workers at Mercury Marine put their jobs at risk Sunday when they rejected a package of wage and benefit concessions the boat engine maker said it needed or it would move their work to a nonunion plant in Oklahoma.

    Union leaders did not immediately release Sunday’s tally but said the vote was “overwhelming” to reject what the company called its final offer.

    The International Association of Machinists and Aerospace Workers, Local 1947, represents 850 workers at Mercury Marine, the largest employer in the eastern Wisconsin city of Fond du Lac and the world’s largest manufacturer of boat and recreational marine engines.

    Mercury Marine had asked for changes to a four-year contract it signed a year ago. The company said workers would see no pay cuts under its proposal, but the union said workers were asked give up 2 percent pay raises in each of the last two years of the contract. The average hourly wage now is about $20, the union said. The proposal also called for lower wages for new hires and workers called back from layoffs, and changes in pension benefits that workers said would have made retirement unaffordable.

    Mercury Marine issued a statement after the vote saying it will move many of its Fond du Lac manufacturing operations to its plant in Stillwater, Okla., over the next two to three years. The company said it will continue to operate the Fond du Lac facility for now under the terms and conditions of the existing contract, which expires in
    2012.
    “This has been a very difficult and stressful process for all involved,” Mark Schwabero, president of Mercury Marine, said in a statement. “We will work closely with our team in Fond du Lac to develop and communicate a transition plan for this 24- to 36-month process.”

    Mercury Marine spokesman Steve Fleming said last week that if the offer was rejected, the union and company could resume talks and hold another vote this coming Saturday, but its offer would not change.

    Local 1947 President Mark Zillges said Friday there would be no further negotiations. He did not immediately return a phone call Sunday seeking comment.

    Fond du Lac City Manager Thomas Herre called the vote “a huge disappointment.”

    “Time will tell what it means,” he said. “On the face of it, certainly nothing good is going to happen as a result of turning it down today.”

    Mercury Marine’s MerCruiser plant in Oklahoma, where Fond du Lac’s production jobs could go, employs about 380 people.

    The company, founded in 1939 as Kiekhaefer Corp., of Cedarburg, also has manufacturing operations in Tulsa, Okla., as well as South Carolina, Florida, Mexico, Japan, United Kingdom, Belgium and China.

    If Mercury Marine, a subsidiary of Lake Forest, Ill.-based Brunswick Corp., shuts down the Fond du Lac plant, it would mean an annual loss of $353 million in workers’ earnings and an additional 5,900 lost jobs due to the impact on suppliers, government and business in the area, according to the Fond du Lac County Economic Development Corp.

    There’s been a steady erosion of employment at the Fond du Lac factory due to slow boat sales and the poor economy. Two years ago, nearly half of Mercury Marine’s 6,400 workers worldwide were employed in Fond du Lac. In February, 85 jobs were cut and the plant shut down for two weeks. In 2008, hundreds of jobs were cut and production shut down for three weeks.


    crawdaddy
    St. Paul MN
    Posts: 1606
    #800024

    Typical Union decision making. They kill every company that they ever get a hold of. Unions are for weak-minded fools who can’t think for themselves.

    herb
    6ft under
    Posts: 3242
    #800130

    Joel Ballweg
    Sauk City, Wisconsin
    Posts: 3295
    #800142

    Quote:


    The proposal also called for lower wages for new hires and workers called back from layoffs, and changes in pension benefits that workers said would have made retirement unaffordable.


    How do they feel about an affordable retirement without a $20.00/hour job? How affordable is there retirement going to be with no job at all?

    I just don’t understand unions!
    Its extremely hard to be pro-union when viewing situations like this one in Fond du Lac. I have to wonder if the voting union workers gave any consideration to the 5,900 people who work in jobs related to Mercury Marine before casting there vote.

    Hot Runr Guy
    West Chicago, IL
    Posts: 1933
    #800143

    Talked to a friend of mine there yesterday, who works in customer service (non-union). What get’s him is that the 850 union workers (or however many actually voted) basically get to decide the future of the 1100 or so non-union employees. Mercury has made it pretty clear that the rest of the headquarters staff will likely be wherever manufacturing is. It will be interesting to see if the state of Wisconsin try’s to keep the HQ staff in FDL.

    HRG

    herb
    6ft under
    Posts: 3242
    #800164

    Guys, please think about this. Unless you are one of the 850 voting, we have absolutely no idea what was in this new contract offer. And the worse thing you can do is negotiate via the public media.
    Having said that, I will keep my pro-union thoughts and what I think Merc is trying to do, to myself.

    kooty
    Keymaster
    1 hour 15 mins to the Pond
    Posts: 18101
    #800167

    That was my point. I gotta believe there is missing info. Why would they vote themselves out of work?

    Unless Merc was simply strong arming the union out of business? Which is a whole nother argument that we’ve all seen go nowhere here a few times.

    Brian Klawitter
    Keymaster
    Minnesota/Wisconsin Mississippi River
    Posts: 59992
    #800172

    Quote:


    The company had said workers would see no pay cuts under its proposal, but the union said workers were asked give up 2 percent pay raises in each of the last two years of the contract. The average hourly wage now is about $20, the union said. The proposal also called for lower wages for new hires and workers called back from layoffs, and changes in work rules and pension benefits that the union considered unworkable.


    Quote:


    Fleming said Mercury Marine union workers have a history of rejecting company proposals on the first vote.

    “This was about, ‘Hey, listen. This is what we have to do to become competitive and here’s a way to get there.’ This wasn’t an us-versus-them, squeeze out as much as you can,” he said. “The contract is based on what is necessary to be competitive.”

    While townspeople may have been shocked that workers rejected the revised contract with so many jobs on the line, company executives and administrators were more disappointed than surprised, Fleming said. Trust between the union and management was not destroyed, he said.


    The whole story<<<

    b-curtis
    Farmington, MN
    Posts: 1438
    #796740

    Kooty, don’t you know that Union guys are real men that have a backbone and won’t be pushed around by the company? I would gather a guess that the union guys, who live in a vacuum, don’t understand competition and don’t understand it is hard for a company to compete when their expenses are higher than the competitor. This way they can all sit around and say how they stood up to the company and that a bunch of illegal’s and scabs in Oklahoma took their job.

    suzuki
    Woodbury, Mn
    Posts: 18625
    #800180

    Post deleted by Suzuki

    big_g
    Isle, MN
    Posts: 22456
    #800186

    Unions will cripple/kill a company, when you have a recession. Point being, a contract written over a year ago, maybe was feasible, when times were good, but when sales go down by 50%…something has to give…. but evidently, not the union… I believe a union contract, if it is going to work for everyone, should be based on profit. When times are good, there good for everyone, when times are bad, there bad for everyone…. what would a union guys opinion be on something like that ????

    big G

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