Did it ever occur to anyone that the company wants the union to reject the contract so they are free to move to non-union labor? If that is the case, the union is playing right into the company's plan by convincing workers to reject the contract and making fools out of all of them while taking their money.

MrData:
The only problem with doing that (rejecting the concessions) is that you have almost certainly just cost yourself a job. Unions only work if you have LEVERAGE. A concept that is true in almost any sort of negotiation. The union simply has no cards here, and management called their bluff. They will move to Oklahoma, and all the jobs will be lost in Wisconsin. That is the cold reality of the situation. You can take the concessions, or be looking for a new job; it's that simple. The move really won't even cost Mercury; as Oklahoma has offered to build them the plant down there, and there are plenty of workers there to fill the positions at the wages they are offering.

I worked at Monterey Mills, back in the mid-80's and the place was really run down physically and not doing too well, in part due to a change in management. A number of employees pushed to unionize and after pressuring enough co-workers, they got a vote. The union was voted down by a small margin and right after that, the company announced a plant-wide employee reclassification and a wage reduction, excluding specially classified employees. Favorites were chosen to retain their current wages.
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I left soon after that. I later heard the employees voted in a union as soon as they could after that, but it was such a weak union, the contract they "negotiated" included no pay raises, no seniority rights and a bonus that just about covered the employees union dues.

In these most uncertain times I would have a very difficult time committing to anyone that it is OK to freeze my wages for SEVEN years! That's not a reasonable thing to to expect of any employee. Mercury Marine would never have committed to freezing its option to move its facilities to wherever it choses for those same SEVEN years. So while I am not a fan of unions, I have to say the union workers did the right thing in this case. Our nation's large & multinational corporations have to be willing to share the wealth created by their workers if they expect those of us still employed in the country to buy their products! Otherwise go sell your products to the Chinese!!!

tiredofhearingit:
The "to big to fail" is a total joke. The companies that got bailed out were the ones who had big political ties to the administration. Both Lehmah Brothers and Bear sterns were bigger (capitalization wise) then GM was. So how come they were not bailed out?
HMMMMMM, could it be because treasury secretary; Hank Paulson (who was given total authority over all of the TARP funds) was ex CEO of Goldman Sachs, and still had HUGE ties to them? Wasn't like Lehman and Bear were the two biggest competitors to Goldman Sachs!! haha
It's one massive political game, do not kid yourself. if you are in with the Oligarchy ruling party, you are all set, no matter how reckless you are. If your not, you will be run over, and left out to dry!

The MAJOR difference between Mercury and GM is the fact that Mercury is still financially solvable. GM was a sinking ship that could not be saved. I had posted on many of the Gazette blogs, and many other blogs as well, well over a year and a half ago that GM would be bankrupt, and the stock would go to zero (when it was trading at around $30 at the time). Both my calls were spot on, but it wasn't any real huge dig. All you had to do was take a look at their balance sheet. They were beyond being saved no matter what moves they made in the down economy.
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Mercury Marine is of course a private held company. So you can not look at all their financials; like you can with GM, or a publically traded company. Mercury is being hit like everyone else in the private sector, but not in dyer trouble like GM, and many others are (were). If they start having liquidity problems, they always have the simple option of going public, and raising equity in a public stock offering.
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The union was really idiotic here, IMHO. This was NOTHING like GM at all. They just refused to take any concessions, and now will likely be out of a job completely. Oklahoma is a pro business state (unlike WI who has become ANTI business of recent) and has offered to build the entire plant for mercury. They will vacate this state, like many other companies are doing, in no time at all.

I have seen both sides of the coin as a worker. As a worker this is how I determined if I would stay at a job. "Do I have a better alternative that improves bottom line?" If the answer was no, I bit my tongue and sucked it up. If it was yes, I gave my two weeks, worked hard up until the last minute of my last day, shook some hands, told a few jokes, and was on my way to bigger and better things. I cannot say right or wrong what someone does as long as its legal. That was their right to vote no. I just hope they have a Plan B, because Merc Marine is soon to enact Plan C you later.

JWE; "too big to fail" - thats kind of ironic you would mention this. Arent you - as well as most of the unions pushing this so called public option that will create the largest "insurance co" in the world. Will that be too big to fail as well? of course not, it in itself can't fail because they'll just raise taxes if its in trouble BUT the entire US gov't could go bankrupt because of it. What then?
Also - these companies that were bailed out because they were "too big to fail", have you considered how much UNION MONEY (pensions etc) was invested in them? Maybe, just maybe the Bush administration DID do the right thing after all.

I've posted this on other blogs about this, but if Mercury Marine is thinking about moving, that means they are moving. This concession was nothing more than attempt for Mercury Marine to save money until they move. They did the same thing at Lear with our weld shop. They kept forcing job cuts or they'd move the work. Sure enough even after numerous cuts they moved the work anyway.

The workers think that they run the company. The union tells them that the company cannot run without them. They like the way that sounds, so they agree with it and believe it. It sounds good, but it isn't true. It is only an accepted truth that is dependent upon both sides agreeing to pretend that it is true. The proof that it is not true lies in the fact that workers retire from the company and are replaced by new workers.

Unions are a dying breed. It's all about greed and companies putting money into politics hands who would change the laws so the companies can get away in doing whatever they please. My thinking is if you're going to be part of a Union, best bet is to agree with company demands. Otherwise, chances are the company is just going to pick up and move elsewhere and start over.

Good reply? If I recall the UAW Local #95's concessions in Janesville were a little to late. In fact it was alot to late. It was an offer to save face on the unions part.
Funny how we always blame it on politics...I guess thats a safe bubble that can't come back and bite. I think its ironic that you say "NOT the stockholders or workers. GREED reigns!". The same greed is being shown by the rejection of contracts by the workers. Its a 2 way street on greed and no one wants to give. In hard times with no jobs available that pay close to what you were making, greed has to be put aside to protect your family. I bet those concessions weren't as bad as what they are going to encounter when they try to find a new job.

High Five to John...Good reply.

Live and learn! I was very disappointed in the way Governor Jim Doyle attacked the union workers at Mercury Marine when they did NOT accept concessions. I do think they and many others KNOW what happened with UAW Local #95's concessions in Janesville - touted nationally as very significant to keep manufacturing afloat with the assertion that GM would pay-off with jobs in Janesville, WI. NOT! Someone needs to teach REAL economics! Corporations are NOW being operated to make money for the TOP MANAGEMENT (CEO's, CFO's, Boards of Directors, et al.) NOT the stockholders or workers. GREED reigns! Look at the corporations which the Bush administration asserted were "too big to fail." (Remember: The first response to the economic crisis was by the Bush administration with NO STRINGS ATTACHED BILLIONS of dollars to bail-out corporations which were too big to fail!)

Yes, live and learn! Have we learned the hard lessons?!

John

This is not even comparable to...
I won't waste my font.
Fore warning of pull-out before the vote would have said enough to a UNION worker in these times of Union Busting. It is one thing to disagree with a contract, it is quite another to vote your own ending.
Dumb Move Folks, simply put at this juncture in time.

It's always easy for outsiders to tell others what to do.

"Fond du Lac's economy will wind up in the same boat as Janesville's." Bad pun!

Interesting debate. I guess it boils down to your preference of a quick or slow death. One thing is for sure, though, going the obstinate route will more than likely end up with your swift-and-sure demise. Not very smart. At least if you make some concessions, you give yourself a chance.

"Why capitulate on such drastic demands when workers in Janesville did so and still lost their jobs?"
You must do whatever it takes to provide for your family.
You must not quit unless you have another job.
You must be responsible.
This is what my family taught me when I was growing up.