By Leftlane Staff
Tuesday, May 9th, 2006 @ 6:34 pm

Delphi asked a U.S. Bankruptcy Court today to void its union contracts, and United Auto Workers locals see a strong likelihood members will authorize a strike against the bankrupt auto parts supplier, according to Reuters. “Delphi must be empowered to reach a solution,â€? Jack Butler, Delphi’s attorney said. He added: “There’s no magic balm that makes competition go away. There’s no magic balm that takes us back to high-wage paying manufacturing.â€? Delphi has proposed cutting the average base wages of its remaining workers from $28 an hour to $22, with a further cut to $16.50 by September 2007. If Delphi workers strike, it’s expected to have a massive impact on production at General Motors.

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