May 26, 2019

May 24, 2019

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Fiat Chrysler UAW Collective Bargaining Process Under a Microscope

Yesterday another high ranking UAW official pled guilty in the federal government’s ongoing investigation into Fiat Chrysler’s and high-ranking UAW officials’ payoff scandal (see previous posts: Jun 12 | March 23 | Nov 3) Nancy Adams Johnson, a top assistant to UAW Vice President Jewell Norwood, admitted to receiving illegal payments and using funds illegally from Fiat Chrysler. The government’s investigation now has been expanded to include other automakers as well, but currently the UAW Fiat Chrysler connection is the focus of government prosecutors. In exchange for her plea, Ms. Adams Johnson has agreed to cooperate with federal prosecutors. This could be more bad news for both Fiat Chrysler and the UAW. Norwood, with whom Adams Johnson worked closely, was in charge of negotiating the current CBA between Fiat Chrysler and the UAW, and some have speculated he may be a target of the government’s investigation, too.

The UAW has vehemently denied the Fiat Chrysler payments were linked in any way to the collective bargaining process. As recently as last month the UAW filed a lawsuit in Oakland County Circuit Court pointing fingers at alleged rouge figures both at Fiat Chrysler and within the UAW’s own ranks as the culprits and that the UAW was itself harmed by these actors. However, yesterday the government prosecutor presiding over Ms. Adams Johnson’s guilty plea was quoted as saying “Today’s conviction of yet another senior UAW official further exposes the dishonorable scheme between UAW officials and Fiat Chrysler executives to corrupt the collective bargaining process at the expense of rank and file members.”

It appears the federal government disagrees with the UAW’s characterization, and others may now be dragged into the scandal as witnesses, like Ms. Adams Johnson, cooperate more fully with prosecutors.

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Keith Brodie Labor & Employment Attorney
Partner

Traditional labor lawyer and employment law counselor Keith Brodie represents the interests of employers in Michigan and across the country. Personable, detail- and business-oriented when rendering critical legal advice, Keith’s willingness to listen, combined with his strategic legal thinking, allows him to serve client interests while building rapport and consensus.

Keith advises on traditional labor law matters under the National Labor Relations Act (NLRA). His experience includes collective bargaining negotiations, administration of collective bargaining agreements, and...

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