Union Corruption Heads To The Supreme Court

by | Jan 26, 2023 | Bargaining/Negotiations, Corruption, Courts, SEIU, UAW

Rarely a month passes without reminders that union officers can’t keep their hands out of the cookie jar. The first story here takes the fight to the Supreme Court:

  • SCOTUS will soon hear a racketeering case brought by General Motors against Stellantis (previously Fiat Chrysler Automobiles). At issue are claims that FCA, in lockstep with ex-CEO Sergio Marchionne, tried to engineer a merger of FCA and GM by corrupting the UAW bargaining process to the detriment of GM. As recent history tells us, the merger attempt wasn’t successful, but Marchionne allegedly made sure to stick GM with $1 billion in extra labor costs.

An appeals court dismissed the case, which was originally brought by GM in November 2019, and although the subject is linked to the long-running UAW corruption scandal, the UAW is not a party in this Supreme Court case.

  • We previously told you about an SEIU California local that tried to unseat President Richard Louis Brown and even secured a restraining order when he entered headquarters without permission and removed confidential documents.

An investigative report follows up with findings that Brown routinely intimidated union members and leaders, helmed chaotic meetings, and irresponsibly handled sensitive records. Brown has denied wrongdoing and also sued the union for “mental suffering.” This month, the union finally booted him from office.

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