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- THE WEEK, Page 18BUSINESSBulldozing the U.A.W.
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- Caterpillar hands its unionized workers a crushing defeat
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- Caterpillar's 12,600 striking workers in peoria, Ill., must
- have felt last week as if one of the company's mammoth
- earthmovers had just rolled over them. Despite the United Auto
- Workers' $800 million war chest (which could have provided up to
- $60,000 in benefits for every family on the picket line), the
- five-month-long siege suddenly collapsed. The union leadership
- failed to gain a single demand on wage and medical-care issues.
- The employees had to wait to be summoned back to work, while the
- company considered eliminating more than a thousand jobs. Many
- U.A.W. members seemed as bitter over the terms of their
- surrender as they were over the company's hard-line tactics.
- Said a frustrated 25-year mechanic: "We're not locked out, we're
- not on strike, we're in limbo. How can they agree for the
- workers to return to work and not let us go back?"
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- Caterpillar's main strikebreaking tactic had been to
- advertise for permanent replacements; unemployed workers
- throughout the region were lining up to fill the $35,000
- vacancies. Some U.A.W. leaders feared that Caterpillar's success
- may have provided a tactical lesson to auto-industry executives
- who will enter their own labor negotiations next year. But
- Caterpillar's real trump card may have been the recession
- itself. U.A.W. president Owen Bieber bravely vowed that "the
- fight isn't over." If and when it resumes, Caterpillar workers
- would be better advised to find a stronger moment in a sounder
- economy.
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