Delphi is hopeful, UAW is doubtful

Delphi's CEO said he's willing to negotiate day and night.
DETROIT (AP) -- Delphi Corp. Chairman and Chief Executive Steve Miller said Wednesday the auto supplier hopes to reach a restructuring agreement with its unions by the first quarter of 2006, but the United Auto Workers expressed doubt that will happen.
"We are committed to holding talks day and night until such time as we can reach an agreement," Miller said in a statement. "Given the complexity of any agreement, this won't happen immediately. We're hopeful we can reach an agreement in the first quarter of 2006."
Delphi, which filed for bankruptcy protection in October, has asked the UAW and other unions to accept wage cuts of more than 60 percent as part of its restructuring. It is in talks with General Motors Corp., its former parent and largest customer, which could play a financial role in a restructuring deal.
UAW is frustrated
But UAW President Ron Gettelfinger said Wednesday Delphi isn't negotiating with the union, and he expressed frustration with Miller's comments.
"I tell you, we don't deal with dictatorships very well," Gettelfinger said. "You cannot dictate the terms of the agreement and say, 'This is what it's going to be.'"
Gettelfinger said the union is "keeping all of our options open" in terms of calling a strike against Delphi. He said earlier this week that the union is talking to GM about a restructuring agreement with Delphi.
Delphi has said it will ask the bankruptcy court judge to void its union contracts by Jan. 20 if it fails to get an agreement. The company says it is simply trying to bring its wages in line with other union and nonunion suppliers.
The UAW, which represents the bulk of Delphi's 34,000 hourly workers, also has been angered by Delphi's request that the bankruptcy court approve a plan to give stock options and cash bonuses to about 600 executives when the company emerges from bankruptcy. The United Auto Workers estimates Delphi's compensation plan is worth more than $500 million.
Hearing delayed
A hearing on the compensation plan scheduled for Jan. 5 has been pushed back to Jan. 27 to give the company more time to negotiate with opponents of the plan, according to a statement on Delphi's Web site. Opponents include groups of investors and the Pension Benefit Guaranty Corp., the federal corporation that ensures pension plans.
Delphi says the compensation plan is necessary to keep its executive team in place during the bankruptcy process.
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