Effects of the strike

[wanderer]

I have had a 24 rubicon x on order since July 1 Getting ansy not having a 4x so I stopped in at the local for dealer when I saw about 20 nice looking rides. To my stunned surprise they are all asking 9k over sticker. Geez I want my new Jeep. And that’s one more reason to dislike ford dealers. So I said to the sales man. You want me to give you 9k just so I can by your car at sticker? He says market driven I say adios

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[cOtter]

Rubicon….Jeep….Ford? Guessing the local you went to is a joint Stellantis and Ford location.

If the dealership can get folks to fork over the $…..?????

This is just the start of it….. even after said strike ends, cost will continue to be elevated at dealership compared to before. That elevated wage has to come from some place. The auto makers are not going to absorb those increases. They will be gathered elsewhere. 4 locations that the $ will come from.

1) Your pocket (the end user)
2) The pockets of tier 1 suppliers (those companies that supply the automakers)
3) Reduction in material cost on material.
4) Improved processes within the manufacturing plant.

The last 2 take time to consider, design, and develop. Therefore, the first 2 options is where the initial impact is.

Good luck!!!!!

 

[DaltonGang]

Thank you UAW. I hope trying to get your 40% pay increase, 40 hrs of pay while only working 32 hrs is worth it all.

 

[Wbino]

I have had a 24 rubicon x on order since July 1 Getting ansy not having a 4x so I stopped in at the local for dealer when I saw about 20 nice looking rides. To my stunned surprise they are all asking 9k over sticker. Geez I want my new Jeep. And that’s one more reason to dislike ford dealers. So I said to the sales man. You want me to give you 9k just so I can by your car at sticker? He says market driven I say adios

Your're locked into price so you are up 9k. ?

 

[aldo98229]

Jeep dealers have become experts at using any excuse to rip you off.

If there was an eclipse, they’d blame the moon for the $10,000 markup...!

 

[Wbino]

Thank you UAW. I hope trying to get your 40% pay increase, 40 hrs of pay while only working 32 hrs is worth it all.

Some folks get a paid lunch hour, I know I did.
Plus most mechanics get cleanup time.

 

[DaltonGang]

Some folks get a paid lunch hour, I know I did.
Plus most mechanics get cleanup time.

I know many people who don't get paid for their lunch hour. Some do. It all depends on the state laws, what your job says you can get, and what your contract says. Being paid not to work, is not a right of the workers.
Address the 40 hrs pay for 32 hrs work.
Address the UAW shutting down part supply, hurting those just trying to fix their already purchased vehicles.
How is hurting the people just trying to make it, going to help your cause? Is hurting the entire country, because the UAW isnt getting their way worth it??

 

[Wbino]

I know many people who don't get paid for their lunch hour. Some do. It all depends on the state laws, what your job says you can get, and what your contract says. Being paid not to work, is not a right of the workers.
Address the 40 hrs pay for 32 hrs work.
Address the UAW shutting down part supply, hurting those just trying to fix their already purchased vehicles.
How is hurting the people just trying to make it, going to help your cause? Is hurting the entire country, because the UAW isnt getting their way worth it??

I'm just guessing.? 40 hours minus / 1 hour lunch (x5) =35hrs /piss and cleanup time (x5) = 32hrs.

The people just trying to make it are on strike, and if they get a raise they have extra income which helps the country, that is capitalism.
If you wanna lock in someones pay scale to what you believe they should be working for, I'm pretty sure that's communism.

 

[Shibadog]

You can only bet on two things here (1) existing inventory is going to be sold for over sticker and (2) post strike inventory will carry a much higher sticker. I’ve got a California cousin who was really wanting minimum wage to go to $15/hour and then turns around complains that prices are going up (?). And this is an individual with a Master’s?. Seems to forgotten all about something called cause and effect?

 

[Ratbert]

I have had a 24 rubicon x on order since July 1 Getting ansy not having a 4x so I stopped in at the local for dealer when I saw about 20 nice looking rides. To my stunned surprise they are all asking 9k over sticker. Geez I want my new Jeep. And that’s one more reason to dislike ford dealers. So I said to the sales man. You want me to give you 9k just so I can by your car at sticker? He says market driven I say adios

What do Ford dealers have to do with your story?

 

[agpr2016]

Rubicon….Jeep….Ford? Guessing the local you went to is a joint Stellantis and Ford location.

If the dealership can get folks to fork over the $…..?????

This is just the start of it….. even after said strike ends, cost will continue to be elevated at dealership compared to before. That elevated wage has to come from some place. The auto makers are not going to absorb those increases. They will be gathered elsewhere. 4 locations that the $ will come from.

1) Your pocket (the end user)
2) The pockets of tier 1 suppliers (those companies that supply the automakers)
3) Reduction in material cost on material.
4) Improved processes within the manufacturing plant.

The last 2 take time to consider, design, and develop. Therefore, the first 2 options is where the initial impact is.

Good luck!!!!!

I'm very curious regarding the the fact/belief that a strike would dramatically increase prices.

Stellantis and the big three simply can't price themselves out of the market when they have other automakers to compete with. Now a days with how expensive everything is, I believe people are just practical. Who would pay an incredibly high premium for an American brand that might be unreliable when you can buy a much more reliable car from Toyota?

What I am saying is not meant to offend or annoy anyone. I am just curious.

If it was easy as increasing prices so everyone gets paid what they feel they should get paid...the company would have done that a long time ago. If it were as easy as firing anyone who goes on strike with no repercussions that would have been done a long time ago as well.

Smarter business decisions will have to be taken.

They say increasing worker pay will cut into their ability to invest in the future.

They recently invested 20 billion in stock buy backs which inflates the value of their company. CEO's get a huge percentage of what they make from stocks...ergo company makes money, invest into stock to explode your own salary.

 

[agpr2016]

I'm very curious regarding the the fact/belief that a strike would dramatically increase prices.

Stellantis and the big three simply can't price themselves out of the market when they have other automakers to compete with. Now a days with how expensive everything is, I believe people are just practical. Who would pay an incredibly high premium for an American brand that might be unreliable when you can buy a much more reliable car from Toyota?

What I am saying is not meant to offend or annoy anyone. I am just curious.

If it was easy as increasing prices so everyone gets paid what they feel they should get paid...the company would have done that a long time ago. If it were as easy as firing anyone who goes on strike with no repercussions that would have been done a long time ago as well.

Smarter business decisions will have to be taken.

They say increasing worker pay will cut into their ability to invest in the future.

They recently invested 20 billion in stock buy backs which inflates the value of their company. CEO's get a huge percentage of what they make from stocks...ergo company makes money, invest into stock to explode your own salary.

It seems to me price increases will occur regardless of the price :/

 

[JayJay]

What do Ford dealers have to do with your story?

He stopped at the local "for dealer" = Ford dealer.

 

[Ratbert]

He stopped at the local "for dealer" = Ford dealer.

Ahhh, I thought the whole thing was about the prices of Jeeps. My bad.

 

[aldo98229]

I'm very curious regarding the the fact/belief that a strike would dramatically increase prices.

Stellantis and the big three simply can't price themselves out of the market when they have other automakers to compete with. Now a days with how expensive everything is, I believe people are just practical. Who would pay an incredibly high premium for an American brand that might be unreliable when you can buy a much more reliable car from Toyota?

What I am saying is not meant to offend or annoy anyone. I am just curious.

If it was easy as increasing prices so everyone gets paid what they feel they should get paid...the company would have done that a long time ago. If it were as easy as firing anyone who goes on strike with no repercussions that would have been done a long time ago as well.

Smarter business decisions will have to be taken.

They say increasing worker pay will cut into their ability to invest in the future.

They recently invested 20 billion in stock buy backs which inflates the value of their company. CEO's get a huge percentage of what they make from stocks...ergo company makes money, invest into stock to explode your own salary.

You make an excellent point.

To answer your question: some brands, like Jeep, are able to charge a price premium based on the additional emotional benefits that they provide. In other words, some people are willing to pay more for a Jeep than, say a Toyota, because owning a Jeep gives them an added emotional satisfaction.

At the end of the day, though, the levels of quality, safety, performance and customer service need to be in alignment with that price premium, or sales will decline.

Which is what has been been happening with Jeep. For the past decade, FCA has been slapping the Jeep label onto everything it sold, because the higher emotional benefit the Jeep brand name provides helped the automaker charge a price premium over Chrysler, Dodge or Fiat.

Unfortunately, while FCA continued to raise prices, it refrained from investing in keeping Jeep at the forefront of the off-road category, just as new challenges from Ford, GM and Toyota appeared. Worse, the expected levels of improved quality and customer service that came with Jeep’s higher price never materialized. The end result is that Jeep is now looking way overpriced for the level of quality, service and capability you get. This price-value misalignment is more evident when it comes to Renegade, Compass, all-new Grand Cherokee and Wagoneer.

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