Harley CEO says costs grew out of control
Portrayals of Harley-Davidson Inc. management as "greedy, mean business people trying to take advantage of the middle class in America" are unfair and untrue, CEO Keith Wandell said Thursday in a spirited defense of contract concessions recently approved by union workers.
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Source: Harley CEO says costs grew out of control
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| "Something is definitely wrong when the CEO of a troubled company makes more than $6 million a year and then whines about how out of control workers' wages have become," said Frank Larkin, spokesman for the International Association of Machinists and Aerospace Workers, which represents some Harley workers in Milwaukee. The timing of Wandell's remarks was poor, coming so soon after the workers accepted concessions, said Michael Bolton, United Steelworkers of America District 2 director, which represents most of the Harley plant workers. "Once again the workers have stepped up and taken cuts in wages, benefits and working conditions in order to save this company," Bolton said. "It's not our fault that managers can't manage. The (remarks) are a slap in the face." Wandell drew comparisons to the auto industry, and in particular to General Motors, which was unable to remain profitable under the burden of its payroll, pension and benefit costs. He said part of the blame there rests on management for failing to innovate and produce attractive products. At Harley-Davidson, he said, management would make its offer to the unions and they would vote no. The company would then offer more, the unions would vote no again, and the company would offer more until the unions agreed to a contract. The new labor contracts, effective in April 2012, include the loss of about 200 union employees in the Milwaukee area and 75 in Tomahawk. They also call for the use of seasonal, or "casual," employees who would not be entitled to medical or retirement benefits and would receive less pay for the same work done by regular employees. |
Source: Harley CEO says costs grew out of control
