Auto Work Force Gets Dividend From Industry’s Rebound

[Jack Bone]

Auto Work Force Gets Dividend From Industry’s Rebound
By BILL VLASIC and NICK BUNKLEY
Published: January 12, 2011

http://www.nytimes.com/2011/01/13/business/13auto.html?pagewanted=1&tntemail0=y&_r=1&emc=tnt

DETROIT — The sweeping overhaul and surprising recovery of the American auto industry is about to pay off handsomely for the blue-collar workers at Ford and General Motors.

The two big Detroit carmakers will announce profit-sharing checks this month for their hourly workers, perhaps the largest in a decade, company officials and industry analysts say.

While the payouts — expected to top $5,000 at Ford — underscore the turnaround being celebrated at the Detroit auto show this week, they also foreshadow the enormous challenge awaiting the rebounding companies: how to maintain and build on their financial health while keeping their historically restive work force in line.

All three Detroit car companies are preparing to negotiate new contracts with the United Automobile Workers union this summer. Hovering over the talks will be both the dark days leading up to the federal bailouts of G.M. and Chrysler in 2009, and the renewed sense of optimism permeating the domestic industry. <snip>