U.s. Delegation Warns Toyota Officials That Anger Is Growing In U.s. Over Company's Plan To Close Ca

< BACK TO INTERNATIONAL starstarstarstarstar   Culture - International Press Release
9th March 2010, 01:54pm - Views: 816






Business Company California Labor Federation, AFL-CIO 2 image








MEDIA RELEASE PR38652


U.S. Delegation Warns Toyota Officials That Anger is Growing in U.S. Over Company's Plan to Close

California Auto Plant


TOYOTA CITY,  Mar. 9 /PRNewswire-AsiaNet/ --


           In abandoning its high-quality NUMMI factory, Toyota is

throwing away its greatest asset in its most important U.S. market: its "Made

                            in California" label


    In a meeting in Toyota City this morning, a delegation of California

leaders cautioned company officials that pushing ahead with its plan to close

the New United Motor Manufacturing, Inc., factory in Fremont will alienate

the very consumers it needs most if the company is to recover from its

self-inflicted wounds. The delegation delivered to the company the report


port_Japanese.pdf) on the economic, social, and environmental impact of

closing the plant and recommendations from the Toyota NUMMI Blue Ribbon

Commission convened by California's Treasurer Bill Lockyer.


    "Toyota is a company that has lost its way. It made a series of very bad

decisions that go against the principles that made them a great and

successful company, and closing NUMMI is another bad decision that it must

reverse," said UAW vice president Bob King. He told the Toyota officials that

his next step would be Washington, where he would be meeting with

congressional leaders from the state, many of whom represent areas where

NUMMI workers live or where large suppliers are located. "Anger is growing in

California and in Washington and among the millions of people represented by

this delegation and we want Toyota to understand that this meeting is not the

end of the story, but just the beginning."


    "The fact that Toyotas are made in California is a very important factor

in Californians' relationship and brand loyalty to Toyota," said Carl Pope,

the executive director of the Sierra Club, "but the company's plan to abandon

California jeopardizes the relationship and brand loyalty it has developed

over the years. Toyota has more competitors than ever before for the state's

environmentally conscious car-buyers and if they throw away their 'made in

California' advantage, more of those buyers will be doing their car-shopping

elsewhere."


    The risks Toyota is facing among California consumers was seconded by

Richard Holober, the executive director of the Consumer Federation of

California, who also emphasized that closing NUMMI flies in the face of the

company's recent pledge to recommit itself to high quality standards.

"Toyota's California factory has won awards repeatedly for excellence in

engineering and high quality products - in fact it is the only one that has

not had to be shut down for recalls," he said. "Keeping this factory

operating is crucial to the company's efforts to restore public confidence in

its vehicles."


    Holober also pointed out that Toyota's image would be further damaged

because abandoning the Fremont plant would deepen already severe economic

hardships. "In Alameda County, where many of the Toyota workers live, 17,000

homes are now in foreclosure and in neighboring San Joaquin there are another

16-17,000, and 13,000 in Santa Clara. If Toyota closes NUMMI, we can expect

to see thousands more foreclosures."

Business Company California Labor Federation, AFL-CIO 3 image


    Ron Lopez, a 20-year employee at NUMMI, shares those fears, especially

since both he and his wife Barbara work at the factory where they met in the

paint shop 15 years ago. Now, with both of them in their fifties, they worry

that finding other jobs will be hard. To avoid the risk of losing their home

to the bank, they reluctantly put it up for sale last week. "We put in 20

years of good, loyal service and we wanted to put in 20 more years," he said.

"We love our work and are proud of the awards we have won for the company -

they're all right there in the company's display case. We did nothing to

deserve this."


    If Toyota refuses to reverse its decision, the count of workers who will

bear the brunt will not end with the 4,700 who now build cars and trucks

there. An estimated 25,000 jobs will be lost across the state in companies

that do business with Toyota's NUMMI plant. Fred Zuckerman, who directs the

Teamsters Union's Automobile Transport Division and is president of Joint

Council 94 in Kentucky, noted that his union's members are also facing

layoffs. "About 2000 Teamsters whose work depends directly on keeping this

plant open and building Toyotas," he said, "and other good union jobs are at

stake - the Steelworkers, for example, provide the steel and glass that goes

into every vehicle produced at NUMMI. We're in this fight to save those jobs

and the families that depend on them."


    It's not just workers at the factory itself and in the companies that do

business with Toyota in Fremont that will suffer. As Nina Moore, the Director

of Government and Community Affairs for the Fremont Chamber of Commerce

explained, "Businesses throughout the community will suffer losses - hotels,

restaurants, retail establishments and services of all kinds depend on the

business generated by the people who work at or have business dealings with

the factory. All of them will suffer losses brought on by Toyota's action.

The nonprofit community will suffer, too, if we lose NUMMI, which has been an

important community partner, both through the company's direct support and

through the worker involvement they encouraged."


    "Closing this factory would be a squandered opportunity for Toyota,"

Moore added. "Not only would they be throwing away the loyalty that they

could win by staying in Fremont, they will also lose the chance that could be

theirs at NUMMI to lead the industry in creating the next generation of clean

high-tech vehicles."


    The Rev. Bruce Reyes-Chow, Moderator of the 218th General Assembly of the

Presbyterian Church USA, expressed the concerns of the faith community when

he said, "Historically Toyota has been a leader in the business world in its

commitment to its workers and it communities, but closing this factory would

be a betrayal of that history and of the philosophy and values that have,

until now, made Toyota a model of how a corporation should conduct its

business."


    A final word of caution came from environmental advocate Carl Pope, who

said, "Toyota is in danger of making the same mistake that GM made. They

became too big and forgot their customers."


    SOURCE California Labor Federation, AFL-CIO


    CONTACT: U.S., 

            Nancy Coleman, 

            +1-301-587-0172, 

            cell, +1-301-537-0172,

            nancy.ann.coleman@gmail.com, 


            Japan, 

            Ron Carver, 

            +1-202-841-2900;

            rcstrategy@aol.com

Business Company California Labor Federation, AFL-CIO 4 image


To view this and other AsiaNet releases please visit http://www.asianetnews.net






news articles logo NEWS ARTICLES
Contact News Articles |Remove this article