The Michigan Daily - Monday, October 10, 2005 - 3A
r Lecturer to speak
on Detroit housing
Rob Dewaelsche will be giving a
lecture on the challenges faced by
those trying to develop housing in
Detroit at 7:30 p.m. in the Kuenzel
Room of the Michigan Union.
Dewaelsche is the executive
director of Habitat Detroit and has
led the organization in redeveloping
a 16-block neighborhood.
He holds an MBA from the University.
program to hold
The World Service Team offers
students the chance to travel abroad
for 3 to 4 weeks with other students
to live and work in a new commu-
nity. They will be having a mass
meeting at 10:30 p.m. in the Parker
room of the Union.
Free HIV testing
Monday in Union
A counselor from the HIV/AIDS
Resource Center will be at the Office of
LGBT Affairs in the Michigan Union
from 6 to 7 p.m. to offer HIV testing.
The testing is free and anonymous and
will be offered every Monday at the
same time and place.
near Law School
Two students resisted arrest after
Department of Public Safety officers
found them urinating by the Law
School and suspected them of smok-
ing pot on Saturday night. Both fled
when the DPS,.officer approached
them. They were eventually caught,
interviewed, processed and released
pending a warrant. They could be
receive urinating in public and
minor in possession charges.
Golf cart stolen
from Big House
A golf cart that was parked in
the Big House was stolen yester-
day morning. There are no suspects
at this time,,according to DPS. The
golf cart is worth about $2,000.
'U' vehicle on joy
ride to Detroit
Detroit police reported seeing a sub-
ject exiting a University vehicle and
leaving it unattended and running with
the keys inside. The driver left with a
group of people.
The vehicle was left about a block
and a half from the Fox Theater with
no damage. The vehicle was listed as a
Transportation Services Pool Vehicle.
* THIS DAY
In Daily History
Sorority sues city
to allow expansion
of its house
Oct. 10, 1991 - A lawyer for the
Sigma Kappa sorority has filed suit
with the city, claiming that the way
the Greek system is required to apply
for special exceptions to expand their
houses is unfair.
Monika Saks, who is representing
the sorority, said no other student
group that uses housing is required to
obtain the exception.
"The city treats Greeks quite dif-
ferently from other uses," she said.
"You could plop a homeless shelter
down in the area without getting
Delphi bankruptcy could mean a new
era for auto industry, local unions
ANN ARBOR (AP) - Delphi Corp.'s bankruptcy could
change the face of the U.S. auto industry, ratcheting up the
pressure to produce cheaper auto parts overseas and forcing
unprecedented cuts in union wages and benefits, industry
analysts and autoworkers said Sunday.
Delphi, the largest U.S. auto supplier, filed for bankruptcy
Saturday and is expected to slash jobs and wages and close
many of its 31 U.S. plants as part of its reorganization. Gener-
al Motors Corp., Delphi's largest customer and former parent,
said it might have to assume up to $11 billion in retirement
benefits for Delphi's union-represented employees.
But the ripple effects won't end there. Delphi has 500 sup-
pliers of its own who are waiting to see what kind of labor
agreement Delphi negotiates with the United Auto Workers.
Once a leaner Delphi emerges from bankruptcy, expected
in 2007, its suppliers could face added pressure to lower their
own costs through wage cuts or increased use of overseas
"There's a great deal of concern among auto suppliers about
whether they can remain profitable or survive with union con-
tracts," said Jim Gillette, a supplier analyst with CSM World-
wide. "If Delphi's willing to force renegotiation through
a bankruptcy filing, I suspect other suppliers would do the
Delphi's bankruptcy, which is expected to result in plant
closures and layoffs, is one of the largest in U.S. history. The
Troy-based company has 50,000 U.S. employees.
Union members also are watching closely. Tonyia Young, a
UAW member from Anderson, Ind., has worked for auto sup-
plier Guide Corp. since 2002 and worries that Guide will match
changes in Delphi's contracts because Delphi has a plant nearby.
Guide, like Delphi, already has a two-tier wage agreement that
allows it to pay newer hires like Young around $15 per hour, $8
less than its older hires.
In a letter sent to UAW members last week, local union lead-
ers in Indiana said Delphi wants to cut hourly wages from $27 to
$10-$12, slash vacation time and make workers contribute more
for their own health care. The letter warned that cuts under a
bankruptcy judge could be even worse.
Young said concessions at supplier plants are part of a grow-
ing pattern that UAW members need to confront during Delphi's
"I think Delphi workers probably have no choice but to
strike," she said. "The corporation has filed bankruptcy and
they've kind of drawn the line in the sand about what they're
willing to do. It seems to me that any negotiation between our
leadership and Delphi will not be very productive."
But David Cole, chairman of the Center for Automotive
Research, said the UAW will have to move from a confronta-
tional mode to one of collaboration if it's going to survive. With
Delphi's bankruptcy, wages will be set by the market, not by
"The Delphi bankruptcy is a real watershed point for the
UAW," Cole said. "The UAW is virtually powerless now."
James McTevia, a restructuring expert who is representing
Delphi suppliers in the bankruptcy proceedings, said Delphi
could set a new model for the entire industry by scaling back
its hourly work force and.its U.S. manufacturing capacity and
giving lower wages and benefits to the workers that remain.
Such a change is sorely needed, McTevia said. Autos and
auto parts will always be made in the United States for U.S.
customers, he said, but the country needs less capacity than it
currently has, and companies need to increase their presence
in emerging markets such as Asia.
"North America, Michigan and Detroit are no longer going
to be the auto capitals of the world. The auto capital of the
world is going global," McTevia said.
Despite Delphi's troubles, Gillette said there's still a future
for auto suppliers in the U.S. market. Japanese, German and
Korean automakers are moving parts operations here so they
can supply their U.S. plants, he said, and while they may not
be unionized they often match union wages.
Suppliers who produce parts that require a high level of skill
and training, such as precision pieces for fuel injectors, also
face less competitive pressure from overseas, he said.
Continued from page 1A
spokeswoman Julie Peterson said.
Peterson said that the plan is to
incorporate more permanent faculty
and strengthen the school.
Some lecturers from the art school
have complained to LEO about
harassment. The lecturers have said
they feel discriminated against and
belittled by Rogers when he com-
mends himself for decreasing the
number of lecturers in the depart-
ment at faculty meetings where lec-
turers are present.
Other complaints include a lec-
turer whose personal works were
lost by the school when the lec-
turer submitted them for a perfor-
mance evaluation. Another instance
involves a lecturer who reported that
her belongings were removed from
her office and left on the ground
immediately after being told of her
Last fall, LEO filed a number
of grievances with the University
regarding layoffs that occurred
across different academic units.
LEO's contract states that lectur-
ers who have been laid off are to
be placed on a call-back list for two
years and offered an open position
that they are qualified-for when it
A number of the grievances
were filed in the School of Art and
Design. Two lecturers whom LEO
claims are qualified have yet to be
called back to positions, even though
"In this department
devaluing of the
- Bonnie Halloran
Rogers said they would be rehired
at a public grievance hearing where
members of the administration were
present, including Assistant Provost
Due to the statement by Rogers,
both lecturers did not pursue further
arbitration of their cases. Neither of
the lecturers have been rehired yet,
and they only have a semester left
on the call-back list.
"It was looking for job security,
and also just looking for respect. In
this department there's a devaluing
of the contributions that lecturers
make," Halloran said.
Halloran said LEO would pursue
further action to pressure the Uni-
versity and the School of Art and
Design to make good on its prom-
She said LEO may begin sending
letters to major donors of the School
of Art and Design informing them
of mistreatment of lecturers.
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UNIVERSITY OF MICHIGAN
- --- W