May 2006e-mail:

A parting message from Nate

Survival in our business is about change. It all boils down to this: Individual workers or managers who don’t change will be left behind. Companies that don’t change will be left out, and they will suffer the consequences of failure.

This is a lesson I’ve learned during my 42-year association with DaimlerChrysler that began as a member of UAW Local 140 at Warren Truck Assembly. Now, on the eve of my retirement, I have never felt more strongly that change is our only salvation. Union and management must continue to work together to transform the way we operate because that’s the only way to even the playing field and then surpass the Toyotas of the world.

Now is the time to strengthen bridges of understanding—not relive the Battle of the Overpass. It’s time to remember that union and management have far more issues on which we agree than those on which we disagree. It’s time to remember who we’re fighting against—and that’s not each other.

I’d like to thank the many UAW members who have shown they understand who the enemy is by accepting changes required to implement Smart Manufacturing. Not only does Smart respect workers by giving them a real voice on the shop floor, it also offers a proven process to improve quality, productivity and safety to achieve world-class performance.

Everybody wins when we become more competitive. Anyone who thinks that profit-sharing checks grow on trees hasn’t looked around the industry lately. We can’t take anything for granted. Workers must earn those checks, and Chrysler Group must have earnings to share. The financial well-being of UAW members is tied directly to the financial health of the company.

Walter Reuther said it well 40 years ago: “Instead of waging a struggle to divide up scarcity, we ought to find ways of cooperating to create abundance, and then intelligently find a way to share that abundance.” There is even more wisdom in Reuther’s comment today than when he first made it.

In this ever-changing industry, the UAW can’t negotiate job security. The only real job security comes from having success in the marketplace, driven by strong sales without costly incentives, customer loyalty and growing market share.

Since negotiating our last contract three years ago, we have made great progress by working together. But much work lies ahead to build on our recent momentum. We must finish the job of reforming the manufacturing process through full implementation of the Workplace Organization Model and Smart principles.

I’m optimistic that we will succeed because of a commitment to change by UAW members and the common ground we have established with management. My hat is off to Frank Ewasyshyn for his leadership and passion. He has never forgotten his deep Chrysler roots, and he has never lost his respect for the knowledge, skill and dedication of people on the floor. Thank you, Frank, for helping to create a climate of trust between union and management.

Despite the difficult challenges we face, our shared goal of becoming the world’s premier auto manufacturer and bolstering job security for UAW members is within reach. We have the right process for change, we have the right products and we have the right team to be No. 1—if we continue to work together. We are headed in the right direction to provide secure, good-paying jobs for our workers so they and their families can live the American dream instead of watching it slip away.

Accepting change now is an investment in our future. Give change a chance. If we make the change, the best is yet to come for the UAW, DaimlerChrysler and our people.

Nate Gooden

UAW Vice President—DaimlerChrysler Department