AUTO WORKERS (UAW)
Michigan Members' Suit Advances to Discovery
U.S. Dist. Paul V. Gadola ruled Mar. 7 that more than 140 UAW
members may proceed with their suit against UAW and Gen. Motors. The
$550 million suit claims UAW bosses demanded jobs for relatives and improper
overtime payments in return for ending a 1997 strike at GM's Pontiac truck
plants, thereby needlessly prolonging the 87-day strike. It also accuses
GM of going along with the alleged scheme, which the suit alleges cost
the average member $10,000-$20,000. Separately, federal investigators continue
their probe into the strike.
Gadola denied the requests of GM, UAW, and UAW Local 594 to dismiss the suit. Now, the members' attorney, Harold Dunne, can proceed with discovery. "It's a very important victory for us because we are now able to get to all of the documents to prove our case," Dunne told the Detroit Free Press. Dunne will also ask Gadola to give the suit class-action status for some 6,000 workers.
Gadola dropped individual defendants Gordon Campbell and Todd Fante from the suit, ruling that as individuals they were not liable. Allegedly, Campbell, son of Local 594's bargaining committee chairman, and Fante, the son of a close friend of a UAW rep., were not qualified and got jobs after the strike because of their connections.
The suit claims fraud, collusion and extortion. It alleges that UAW and GM breached their contract and duty to members and that Local 594 did not fairly represent its members. [A.P. 3/8/01]
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