The UAW Monopoly at Work

And why politicians find it impossible to say an honest word about fuel economy

By Holman W. Jenkins, Jr. Excerpts:

"Nor, under the National Labor Relations Act of 1935, is negotiating truly voluntary on management’s side. You and the kid who mows your lawn at least are free to agree or walk away, resulting in deals that leave both sides better off."

"The union has always used its monopoly clout, even when not advertising it, to force similar terms on Ford,

GM

and Chrysler (now owned by Stellantis). The union works for its members."

"Ford’s labor cost, to give one example, will rise to an estimated $88 per hour, compared with $55 or less for nonunion car makers. This would have no competitive effect if UAW workers were 60% more productive, but they aren’t.

"It also would be nobody’s business but the UAW’s and Ford’s except the American people are constantly pulled in to fatten the pot, most notably with the 25% pickup truck tariff, in place since 1964, which inflates the price of America’s favorite vehicles. Since Barack Obama, regulators have effectively redeployed a chunk of these excess pickup profits to subsidize electric vehicles for the gentry. During a particularly bad recent stretch, Ford was losing $60,000 on every EV sold, which even five-figure markups on its F-150 couldn’t disguise."

"An exemplary 2012 House investigation showed how the Obama 54.5-mile-per-gallon mandate was little more than a public-relations “headline number,” how a Toyota executive called the fine print a “second bailout for Detroit.”"

"the deal is all but explicitly designed to shift Michigan jobs to other parts of the country and world to avoid UAW wages."