Does Labor Dispute Hurt Quality of New Ram Pickup?

According to the Detroit News, workers at the Chrysler Group LLC Warren Truck Assembly Plant (Warren, MI) are unhappy with the new work schedule they have been given and the company is unhappy with the quality of the 2013 Ram 1500 pickup that the employees are assembling.

The controversial work schedule has sparked protests not only at the truck plant but at other Chrysler facilities. It splits the workforce into three shifts, each working four 10-hour days a week. Those shifts would be staggered over six days, meaning that many workers would have to work Saturdays.

The new Ram is important to Chrysler’s bottom line. Pickups have high profit margins and thus have been cash cows for Chrysler and the other two Detroit automakers. The Ram has been well received by automotive journalists and reports of poor quality could undermine the reputation—and the profits—the new truck is beginning to build.

Internal Chrysler documents obtained by the newspaper indicate the quality problems are serious. The News reported that on one day during the first hour of production workers “built 58 pickups. But only 16 of those vehicles passed final inspection, according to company documents. Quality improved as the day went on, but just over half of the trucks assembled by the first shift were approved for shipment.” The paper’s story went on to say that a source within Chrysler said “that number should be at least 78% and higher than that to meet the plant's quality goals.”

Company spokesperson Jodi Tinson told the News the numbers were taken out of context: "As with the launch of any new vehicle, there were internal issues with the launch, but we were able to contain those issues," she said in an emailed statement Thursday night. "We have been pleased with the efforts of our employees who are focused on building high quality trucks and as a result, plant quality indicators are getting progressively better."

The full Detroit News reports may be found here.