Bad Optics: At the UAW’s convention earlier this month, amid the union’s biggest scandal in its history, UAW delegates authorized 31% salary increases for the union’s top leadership.
With government prosecutors labeling the United Auto Workers as “co-conspirators” with Fiat-Chrysler in “a widening corruption scandal,” the UAW may be facing the possibility of the federal government coming in to oversee the union’s finances.
“Now, the UAW faces possible criminal fines and potential federal government oversight of its finances,” writes Allen Kinzer, a labor attorney with Vorys Sater Seymour and Pease LLP.
Yet, with all of the turmoil currently surrounding the UAW, at its Detroit convention earlier this month, delegates approved one of the largest salary increases for its leadership in its history.
via Automotive News:
Another notable shift to emerge from the union convention was delegates’ approval of 31 percent pay increases for the union’s leadership. The salaries of the president, secretary-treasurer, vice presidents and members of the international executive board will now be calculated based on pay for international representatives — which was increased 6 percent to $111,476.15.
The increases for UAW executives may be a hard pill to swallow for the 1500 UAW members at General Motors’ Lordstown facility who are losing their jobs.