Do union work rules make domestic companies less efficient than their non-union competitors?
No. According to the latest data from the Harbour Report, an independent study of factory efficiency, 9 of the 10 most efficient auto assembly plants in North America are union plants, represented by either the UAW or the Canadian Auto Workers. (Harbour Report 2008, Media presentation) In addition, when factories are compared by vehicle segments — a compact car plant vs. a compact car plant, a pick-up truck plant vs. a pick-up truck plant — union plants are scored as the most efficient in 8 out of 9 vehicle segments. The Harbour Report measures the number of person hours required to assemble a vehicle. The results noted above would not be possible if union work rules caused “bloated” or inefficient operations on the factory floor. Q: Since Chrysler, Ford and GM have closed most of their plants outside of the Midwest in recent years, won’t the effects of the auto crisis be confined to just a few Midwestern states? A: No. The U.S. auto industry remains a national industry, purchasing h