Chicago-area mechanics continue strike

A strike by more than 1,700 mechanics at 130 dealerships across the Chicago area entered its third day Thursday with little sign of movement from either side.

The walkout has stalled major auto repairs at affected dealerships but most still remain open, said David Sloan, president of the Chicago Automobile Trade Association, a dealers group that also runs the Chicago auto show.

"Dealerships are trying their best to keep things going," Sloan said. "They're rescheduling some bigger jobs but trying to keep smaller jobs continued. They're making the best of a bad situation."

Active picketing is widespread across most of the 130 unionized dealerships, part of 420 new-car dealerships in the Chicago metro area, but there have been reports that some mechanics have opted out of picketing due to a "respect" for the owner, Sloan said.

Sloan said the dealerships have made no negotiation moves, and neither side has any clear idea as to when the strike could end.

Mechanics represented by IAMAW Automobile Mechanics Local 701 have been negotiating since June with the New Car Dealer Committee, which bargains on behalf of the dealerships.

At the top of union's list of sticking points are work schedules, uncompensated time and lack of a clear path toward a career in the profession. Management's last-minute proposal didn't sit well with some union members, as well.

The union is mainly pushing for a guaranteed 40-hour work week, a change Sloan said could eliminate the current system, which rewards a dealership's most productive technicians with more hours.

Dealerships have "draconian pay structures prohibiting our ability to attract young, aspiring mechanics to enter the auto repair profession," according to a statement released by the union.

Unattractive pay rates coupled with the inability to progress or achieve a long-term profession in the field are drivers of mechanic frustration, said Sam Cicinelli, Local 701 directing business representative, in the statement.

"Who will fix the cars and trucks in our future?" Cicinelli asked.

The repair work performed by dealership mechanics is mostly incentive based, Sloan said, and productivity premiums are paid to those who do the best work.

In efforts to preserve that system, the dealers offered a 5 percent annual pay increase over the next three years with further incentive premiums -- an offer the workers rejected "overwhelmingly" on Sunday, Sloan said.

A mechanic posted on the union's Facebook page that the contract, which he is not permitted to publish, "works out to 1.25 percent increase in pay and the rest is only incentive based."

Most mechanics work more than 40 hours a week while a small number of mechanics work less than that, but not below 34 hours, which is the weekly minimum currently guaranteed by the unionized dealerships.

"It's in the best interest of the dealers to reward their most productive technicians," Sloan said. "They have to keep their most productive technicians busy and keep their service department running efficiently."

Strikers are largely disappointed with the dealers' dodge of their core concerns and a last-minute contract offer, which left them just one day to negotiate for better terms, one mechanic said.

Brian Ilic, a mechanic on strike with Local 701, said management made their offer on the evening of July 31, the same day that the prior three-year contract expired.

"I feel they thought if we were given a last minute decision we would take the subpar offer and not strike," Ilic said.

Mechanics are also frustrated that the dealers failed to hear out their grievances, he said.

"None of the industry problems we asked to address were even addressed. Most were what seems like just rejected with total disregard," Ilic said. "I think they felt if they threw money at it, we would be happy."

He called the pay increase "substantial" -- but only for productivity levels that were "easily attainable 15-20 years ago" but not now. Since then, he said, automakers have cut back approved labor times for numerous categories of work. Moreover, longer warranties on vehicles that need less maintenance means more of the work done at dealerships is paid at automaker rates, rather than higher customer-pay rates. "This makes the incentive rate harder to achieve," Ilic said.

Achieving upward mobility and an attainable entrypoint into the industry for younger workers are also on the union's agenda.

Ilic said there is "no language for advancement" for lube techs, those who start out rotating tires and changing oil. Lube techs and others in semi-skilled positions can work without advancement in the current system "indefinitely," he said.

"The journeyman are willing to strike over these issues so young tradesmen can no longer be exploited by the language in this subpar contract," Ilic said.