TMMK 2006 Leaked Memo - The Lessons L...

TMMK 2006 Leaked Memo - The Lessons Learned & What To Do

Posted in the Benham Forum

First Prev
of 16
Next Last
Mother Muckraker

Azusa, CA

#1 May 18, 2013
In 2006, there was a leaked memo by Seiichi Sudo that a couple Team Members caught which outlined a plan to reduce North American labor costs (wages) by $300 million by 2011.

The note was not specific and no one was sure how Toyota would accomplish their goal. But in 2009, Toyota announced they would close NUMMI and the plan became clear. If Toyota closed their only union plant and reduced the wages by half, they would save approx.$250 mil per year. That is exactly what was accomplished when production was moved to Mississippi and Texas.

And Toyota did not stop there. Toyota has been cutting back benefits and erecting ever higher barriers to permanent employment and top pay.

The mistakes the TMs made was that they got caught and they did not do enough to promote it widely. Later, they got fired and Toyota has been trying to keep it under wraps ever since.

It's your duty to report whatever is wrong to the media and to the UAW. Whenever you find something like that, don't tell anyone at work. Keep several copies for yourself and scan it and put it out on the internet for all to see. Send a copy to wikileaks and they might even promote it for you. Blow it up on Facebook and Twitter using a separate account. Call the news media and report it.

You have a responsibility to future generations of workers and your own family's future generation to keep wages high. The company should not be keeping profits for themselves like that.

Not just threats to your wages, but your safety as well. If you see safety issues, you should sneak a few pics of the problem or maybe even take a video of it and tell someone outside the company. If you tell their own safety reps, they'll just cover it up and people will get hurt. Take care not to get it traced back to you.

It's going to be up to TMs to raise their wages back up to what it once was. It's your responsibility using what little democratic freedoms we have left. Good luck and we are counting on you.
Rob McKee

Richmond, KY

#2 May 19, 2013
Sounds like a good way to get yourself fired , then they can replace you with a Temp and save even more money .
I have worked harder for less money .
Flipper

Georgetown, KY

#3 May 19, 2013
Rob McKee wrote:
Sounds like a good way to get yourself fired , then they can replace you with a Temp and save even more money .
I have worked harder for less money .
I bet you have...on your knees I imagine
bootstrap

Lexington, KY

#4 May 19, 2013
Unions are dying and will soon be extinct.......good riddance.
Flipper

Georgetown, KY

#5 May 19, 2013
bootstrap wrote:
Unions are dying and will soon be extinct.......good riddance.
You're grandfather would bitch slap you! Knowing how hard he worked to get your stupid azz middle class wages only to watch you give it away. I'm sure your kids will thank you also
Mother Muckraker

United States

#6 May 20, 2013
http://www.autonews.com/article/20130313/OEM0...

Toyota salarymen get bonuses, not hourly workers. Why?

^^For example, this is the kind of info you should obtain at work.

How much do managers make?
What are their bonuses?
What are their benefits?

You take pics, video, audio whatever and then you tell reporters about it or post it yourself on the internet.

You're not doing anything wrong. They're the ones who are stealing your money (your labor) by paying you less than you deserve. They are the criminals because you won't have enough money to pay for housing, healthcare or your kids education while they're livin it up off our backs.
Seriously

Georgetown, KY

#7 May 20, 2013
Mother Muckraker....Please explain the difference between salary and hourly for those that do not know. Show the figures for both, that back your claim that the hourly worker is getting screwed, as compared to the people in this article.

Managers make more than their employees. They also get higher bonuses and benefits. Explain what is outrageous about that?

Taking pics and/or video might be against company policy. Make sure before you do it.

You have been making some bold statements. Please back them up.
Flipper

Georgetown, KY

#8 May 20, 2013
Seriously wrote:
Mother Muckraker....Please explain the difference between salary and hourly for those that do not know. Show the figures for both, that back your claim that the hourly worker is getting screwed, as compared to the people in this article.
Managers make more than their employees. They also get higher bonuses and benefits. Explain what is outrageous about that?
Taking pics and/or video might be against company policy. Make sure before you do it.
You have been making some bold statements. Please back them up.
Actually a GL will take a PAY CUT for his first 3 yrs after being promoted, earning less than he did as a T/L. You may want to get your facts straight
Seriously

Georgetown, KY

#9 May 20, 2013
I was responding to Mother Muckraker's statement about Management's pay, bonuses and benefits. I did not offer any actual facts about TMMK. In other words, It is not uncommon or outrageous for management to receive more than the workers, whether it is at TMMK or any other company.

However, your point about GL's pay is a good point to Mother Muckraker's statement.
Flipper

Georgetown, KY

#10 May 20, 2013
Seriously wrote:
I was responding to Mother Muckraker's statement about Management's pay, bonuses and benefits. I did not offer any actual facts about TMMK. In other words, It is not uncommon or outrageous for management to receive more than the workers, whether it is at TMMK or any other company.
However, your point about GL's pay is a good point to Mother Muckraker's statement.
.
"Managers make more than their employees. They also get higher bonuses and benefits. Explain what is outrageous about that? ".......... It appears in fact that you did offer verbiage to the contrary
bootstrap

Lexington, KY

#11 May 20, 2013
Flipper wrote:
<quoted text>You're grandfather would bitch slap you! Knowing how hard he worked to get your stupid azz middle class wages only to watch you give it away. I'm sure your kids will thank you also
Unions had a place fifty or sixty years ago. That is no longer the case. Unions are merely an extension of the democrat party forcefully taking dues to support left wing kook politicians and lazy ass workers.
flipper

Duluth, GA

#12 May 20, 2013
bootstrap wrote:
<quoted text>Unions had a place fifty or sixty years ago. That is no longer the case. Unions are merely an extension of the democrat party forcefully taking dues to support left wing kook politicians and lazy ass workers.
so people today dont deserve the same respect of those 50 yrs ago? we are suppose to give up everything they worked for? interesting opinion
flipper

Duluth, GA

#13 May 20, 2013
bootstrap wrote:
<quoted text>Unions had a place fifty or sixty years ago. That is no longer the case. Unions are merely an extension of the democrat party forcefully taking dues to support left wing kook politicians and lazy ass workers.
unions are THE only reason that autoworkers make "middle class american" pay and the lack of unions is the reason this will no longer be true in about 5 yrs!! your kids will appreciate you fighting against them!!!
Stop whining

Lexington, KY

#14 May 20, 2013
NUMMI was not the only GM plant that closed. Poor money management does that.
Yeah go take pics or record things you do not have permission too, that won't get you fired !
I'm so glad I don't have to work near you and listen to your insanity! You sound like a union creep trying to cause trouble.
Others pay and bonuses is NONE of your or anyone else's business !
flipper

Duluth, GA

#15 May 20, 2013
Stop whining wrote:
NUMMI was not the only GM plant that closed. Poor money management does that.
Yeah go take pics or record things you do not have permission too, that won't get you fired !
I'm so glad I don't have to work near you and listen to your insanity! You sound like a union creep trying to cause trouble.
Others pay and bonuses is NONE of your or anyone else's business !
you mean nummi wasnt the only toyota plant to close? so poor $$ management caused it? when it shut down only toyota was there! and they had controlling interest in it even when gm was there
bootstrap

United States

#16 May 20, 2013
flipper wrote:
<quoted text>you mean nummi wasnt the only toyota plant to close? so poor $$ management caused it? when it shut down only toyota was there! and they had controlling interest in it even when gm was there
Should unions force workers to support one political party?
Mother Muckraker

United States

#17 May 20, 2013
Poor money management had nothing to do with closing NUMMI. You can euphemistically say that "NUMMI was shit down due to expert money management." IOWs, Toyota management shut down NUMMI because they wanted to lower wages and increase their profits and they succeeded.

Toyota had $39 billion in cash when they announced they would shut down NUMMI.

NUMMI made the best selling Corollas and Tacomas.

NUMMI had the lowest DPV (defects) of all Toyota plants worldwide. After we went beyond management's goal of .20 DPV and got a combined .05 DPV on a weeklong audit, we kept the defect level below .20 from about 2008 all the way to shutdown in 2010. Trucks actually got a 0.00 DPV which only a Lexus line achieved once before.

NUMMI proved that union labor was quality labor and this very quality was detrimental to Toyota's bottomline because they could not justify paying lower wages with a union workforce in place. People at non-union plants can just point to NUMMI and say, "Hey! How come we don't get paid $28/hr?" ... or... "How come it takes us 6 years before we get hired permanent and NUMMI takes only 3 months?"

Toyota, as well as the entire automotive industry, wanted NUMMI gone because NUMMI proved the union busters wrong. So GM allowed themselves to be the whipping boy where all the blame was heaped on them to divert attention away from Toyota who made all the profits. Then, an in-house union busting operation took place with the head of HR and a management plant within UAW Local 2244 to help spread the lies with a fake newsletter called "Autoworkers News". It worked and NUMMI was shut down with little fanfare.

With NUMMI shut down, Toyota workers have no union plant they can point to to justify the kind of wages they deserve and Toyota is now free to lower wages and benefits and increase their profits unimpeded.

Who are the union busters? They work within HR and Labor Relations. The ones who call the shots write up your employee policies and have a law degree. And they recruit your fellow workers to function as "snitches"... informants... also called "companymen". They will "report" on you for doing things "wrong". And oftentimes, "wrong" is what they define as "wrong" as they see fit.

You get off their radar by ACTING like the kind of "good employee" profile they like. ACT like you're cheerful and obedient. When you fill out any "anonymous" surveys, just check off everything positive and say great things about the company..... the "surveys" are not really anonymous. They will know who answered what.

But to keep it short, look for their "mistakes" and take advantage of them by letting people know.
flipper

Duluth, GA

#18 May 20, 2013
bootstrap wrote:
<quoted text>Should unions force workers to support one political party?
should people spit rhetoric in hopes of avoiding facts?
Stop whining

Lexington, KY

#19 May 21, 2013
Ahhh so Muckraker is just mad that NUMMI closed down and wants to blame it on Toyota.
A bunch if other GM plants closed across the US, guess that Toyota's fault too.
Toyota floated NUMMI for years!
Mother Muckraker

United States

#20 May 21, 2013
Of course I'm angry that NUMMI closed. Wouldn't you be?

What does it mean to "float NUMMI"? I think you mean Toyota running NUMMI at a loss? Are you saying Toyota ran NUMMI at a loss for 25 years?

That's another one of their common lies about NUMMI. It ran at a loss.... You can't run a business for 25 years at a loss. NUMMI never ran at a loss. We worked overtime with Saturdays producing the best selling car of all time... the Toyota Corolla. We also made the top selling Tacoma.

Toyota sold lots of them and made lots of money from the sales of those cars. Toyota had $39 billion in cash when they shut down NUMMI. That's cash. If you were to add in some of the short-term and long-term securities Toyota held at the time, the amount would be over $70 Billion. It only costs about $1.5 Billion to open a brand new plant.

With the closing of NUMMI and effectively cutting pay in half, Toyota saves about $250 million a year which means approx. an extra $750 million in their bank account and a Billion more by next year. And with NUMMI out of the way, they can make even more money cutting the benefits and wages of all their North American plants. Toyota will Billions of dollars just by closing NUMMI.

Tell me when this thread is updated:

Subscribe Now Add to my Tracker
First Prev
of 16
Next Last

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

Benham Discussions

Title Updated Last By Comments
Election Who do you support for U.S. House in Kentucky (... (Oct '10) 39 min Rogers Suks 729
RJ Corman at Toyota 1 hr Really 6
Rebecca (body weld) Toyota (Sep '14) 1 hr LMAO 4
New Restaurant on Water ST 1 hr Stupid 15
joel ray hall at post office is a punk 2 hr regulator 4
Muse Law Office (Jul '09) 3 hr Franz Ferdinand 20
Bus driver assaults child on bus. 3 hr Franz Ferdinand 3
More from around the web

Personal Finance

Benham Mortgages