The United Auto Workers union is negotiating its first union contract with Volkswagen at its Chattanooga plant, covering more than 4,000 members.
The union said its key demands include higher wages, affordable health benefits and retirement protections.
Steve Cochran, co chair of the bargaining committee, said the workers should have the same pay structure as the other automotive groups recognized in contracts with the United Auto Workers.
"Right now, at the end of the Big Three's contract, compared to what we have now is 24% higher," Cochran pointed out. "We're asking for right at about a 24% pay raise over the length of our contract, just to get us equal with the Big Three."
Cochran noted Volkswagen has offered a 16.5% raise over four years, leaving them several percentage points behind the current rates of the Big Three automakers. He added the cost-of-living raises are capped, unlike theirs. The Big Three -- Ford, General Motors and Chrysler -- were the first Southern autoworkers to unionize.
Cochran noted affordable health insurance is a key demand. His family plan costs around $400 a month, totaling $11,000 a year with deductibles and out-of-pocket expenses, an amount he said is unaffordable for many workers. He added some UAW autoworkers have secured fully paid family coverage with low co-pays.
"Some of us have to make a decision based on, 'Am I going to pay for this doctor visit and get this treatment, or am I going to pay my mortgage?'" Cochran observed. "We've had several members take 401(k) loans out, for example, or they may even remortgage your house. We've had several had to file bankruptcy."
Cochran emphasized the company recently eliminated its attendance bonus, which offered 8% of quarterly wages for perfect attendance. However, the strict policy meant even missing a single minute would forfeit the entire bonus.