VW to build cars in TN

[Okla-homey]

I still can't understand why OK can't snag some of this manufacturing. Anyone have any thoughts?


By Rebecca Berry
News Channel 11 Producer
Published: July 15, 2008

Another auto manufacturer is making a move to the Volunteer state.

Volkswagon announced this morning that it would build a manufacturing plant in Chattanooga. The plant will begin operating in 2011 and employee 2,000 people. VW says it will manufacture 150,000 vehicles per year.
VW isn't the only foreign auto manufacturer in Tennessee. Nissan just moved its North American headquarters to Franklin. It also has plants in Smyrna and Decherd.

[royalfan5]

With all the other auto manufacturing transplants in the Tennessee, Alabama, Mississipi and Carolinas you are plugged into an established supplier base. Plus, they throw a ton of cash at them and are anti-union.

[OKLA21FAN]

I still can't understand why OK can't snag some of this manufacturing. Anyone have any thoughts?

not enuf messicans?

[Okla-homey]

With all the other auto manufacturing transplants in the Tennessee, Alabama, Mississipi and Carolinas you are plugged into an established supplier base. Plus, they throw a ton of cash at them and are anti-union.

We're a right-to-work state are we not? Plus, we have the advantage of being in the center of the country with road and rail headed out on all cardinal points. Seems to me we would be a natural choice. I say the boys and girls under the new dome in OKC, and the OK SecState are falling down on the job if they can't manage to snag this kind of stuff.

Frankly, I bet the fact Tennessee has no state income tax has a lot to do with it. We shouldn't either, but that's another food fight.

[StoopTroup]

I don't think Right to Work has helped us much.

As far as bringing in these businesses...I think our Politicians are way to busy doing the wrong things.

[royalfan5]

We're a right-to-work state are we not? Plus, we have the advantage of being in the center of the country with road and rail headed out on all cardinal points. Seems to me we would be a natural choice. I say the boys and girls under the new dome in OKC, and the OK SecState are falling down on the job if they can't manage to snag this kind of stuff.

Frankly, I bet the fact Tennessee has no state income tax has a lot to do with it. We shouldn't either, but that's another food fight.

The supplier base is very handy. The three finalists for this plant were Alabama, Tennessee, and Michigan. Plus, there were a lot more giveaways at the state level than just no income tax. The interesting thing to see will be if VW can make this American plant work, instead of the unimitagated disaster that their last plant was. VW has been slipping in the US market recently and only sell somewhere in the neighborhood of 200-250K cars a year. It will be intersting to see how close they come to their goal of quadrupling that in 10 years.

[Soonrboy]

but right to work was supposed to save out state, or so Keating and his followers had us believe.

[StoopTroup]

Don't you remember...

Keating told us we were all Idiots.

We must not have understood the big picture.

Man I hated that guy.

[KC//CRIMSON]

not enuf messicans?


Damn that House Bill 1804!!

[Cam]

With all the other auto manufacturing transplants in the Tennessee, Alabama, Mississipi and Carolinas you are plugged into an established supplier base. Plus, they throw a ton of cash at them and are anti-union.

I'm betting that is a huge piece to the puzzle.


We're a right-to-work state are we not? Plus, we have the advantage of being in the center of the country with road and rail headed out on all cardinal points. Seems to me we would be a natural choice. I say the boys and girls under the new dome in OKC, and the OK SecState are falling down on the job if they can't manage to snag this kind of stuff.

Frankly, I bet the fact Tennessee has no state income tax has a lot to do with it. We shouldn't either, but that's another food fight.

We might be right to work, but it's hard as hell to fire people here. We're full of folks just looking to sue even when they know without a shadow of a doubt there's a good chance to get fired doing stupid chit over and over and over and over.

We fired a gal who repeatedly cursed at and hung up on customers. Had multiple recordings of her actions, and she was repeatedly warned. Her first words were: "My lawyer's going to love you guys". Sure enough, law suit was opened within the week for wrongful termination. Ignorant chit man.

[StoopTroup]

I'm betting that is a huge piece to the puzzle.



We might be right to work, but it's hard as hell to fire people here. We're full of folks just looking to sue even when they know without a shadow of a doubt there's a good chance to get fired doing stupid chit over and over and over and over.

We fired a gal who repeatedly cursed at and hung up on customers. Had multiple recordings of her actions, and she was repeatedly warned. Her first words were: "My lawyer's going to love you guys". Sure enough, law suit was opened within the week for wrongful termination. Ignorant chit man.

Did she win?

[SoonerJack]

Did she win?

I want to know the outcome of this too. Keep us posted.

[frankensooner]

I'm betting that is a huge piece to the puzzle.



We might be right to work, but it's hard as hell to fire people here. We're full of folks just looking to sue even when they know without a shadow of a doubt there's a good chance to get fired doing stupid chit over and over and over and over.

We fired a gal who repeatedly cursed at and hung up on customers. Had multiple recordings of her actions, and she was repeatedly warned. Her first words were: "My lawyer's going to love you guys". Sure enough, law suit was opened within the week for wrongful termination. Ignorant chit man.

WTHHAYTA? Oklahoma is an AT WILL State. You can fire anyone for anything. Man. I bet that lady really cleaned up too if what you said is correct. :rolleyes:

[StoopTroup]

WTHHAYTA? Oklahoma is an AT WILL State. You can fire anyone for anything. Man.

That's what I was thinking when I asked if she won.

[Cam]

Did she win?

She won some $$$. It was cheaper to pay her off than to fight it.

[StoopTroup]

She won some $$$. It was cheaper to pay her off than to fight it.

Well....that wasn't her fault then.

I can't believe folks let themselves be taken like that...

It's never going to be cheaper to pay em off if you don't stand up to them.

Once they know your a soft touch...all your employees will act differently.

Sad.

[Cam]

WTHHAYTA? Oklahoma is an AT WILL State. You can fire anyone for anything. Man. I bet that lady really cleaned up too if what you said is correct. :rolleyes:

If you don't believe me, fine, so be it. I'm trying to figure out a reason I have to lie but I can't come up with one.

Just because Oklahoma's an at will state doesn't mean there aren't costs associated with firing somebody. If you have your own business and are just firing people left and right, justifiable or not, you're not going to be in business very long.

[Cam]

Well....that wasn't her fault then.

I can't believe folks let themselves be taken like that...

It's never going to be cheaper to pay em off if you don't stand up to them.

Once they know your a soft touch...all your employees will act differently.

Sad.

I think they were just so tired of dealing with her they paid her off to get it over with. It just depends on who's making the call.

She filed the suit, so yeah, it is her fault. She, among many others here, want nothing more than to milk the system. This is one way in which they do it.

[StoopTroup]

Cam...

Go in and tell all your employees that your gonna have to let em all go because your gonna have to settle with that gal.

Then give them the day off and her address. :D

[Cam]

Cam...

Go in and tell all your employees that your gonna have to let em all go because your gonna have to settle with that gal.

Then give them the day off and her address. :D

We've already laid off over 8K ppl, I think that's enough for now. At least until next month.

[StoopTroup]

We've already laid off over 8K ppl, I think that's enough for now. At least until next month.

Downsizing sucks.

Been there...doing that. :(

Hope it gets better.

Chin up!

[OUHOMER]

What happened to the MG car being built in Ardmore?

[OUHOMER]

What happened to the MG car being built in Ardmore?

well looks like a dead deal? But Ardmore got some state funding anyway.
http://findarticles.com/p/articles/mi_qn4182/is_20070730/ai_n19438506

[tommieharris91]

The supplier base is very handy. The three finalists for this plant were Alabama, Tennessee, and Michigan. Plus, there were a lot more giveaways at the state level than just no income tax. The interesting thing to see will be if VW can make this American plant work, instead of the unimitagated disaster that their last plant was. VW has been slipping in the US market recently and only sell somewhere in the neighborhood of 200-250K cars a year. It will be intersting to see how close they come to their goal of quadrupling that in 10 years.

How much does the weak dollar/strong euro have to do with this?

[royalfan5]

How much does the weak dollar/strong euro have to do with this?
Some, but a lot of the American sold VW's come from Mexico now. It's all part of VW "plan" to pass Toyota worldwide in ten years. The main thrust of this plant is to build an "Americanized" car that slots above the Passat. They tried this before and failed miserably. It will be interesting to see how it goes this time around.

[Frozen Sooner]

Yeah, at-will doesn't necessarily protect you from a wrongful termination suit. Alaska is supposedly at-will as well, but just try firing someone without cause.

[Rogue]

I had high hopes for VW bringing back their uber-efficient diesel engine. Alas, the newer version is very clean and not great at MPG. I remember those ugly old diesel rabbit/truck things. Gutless as hell but seems like they got 45+ mpg.

As for business in TN, I doubt the labor piece is as big as other factors.
Namely:
1) no state income tax
2) low cost of living in TN
(quality of things like roads and schools sucks though)
3) workforce that's relatively cheap - same reason Toyota does so much in Kentucky.

[soonerscuba]

Some, but a lot of the American sold VW's come from Mexico now. It's all part of VW "plan" to pass Toyota worldwide in ten years. The main thrust of this plant is to build an "Americanized" car that slots above the Passat. They tried this before and failed miserably. It will be interesting to see how it goes this time around.
I think that VW could find a sweet spot in the 40-50k range among young adults who don't associate VW with poor hippies. The Phaeton was doomed from the start in that no matter how awesome the car was. When it came down to deciding between that 745, A8 or the VW for 80 large, it's obvious who's getting left out.

I think that the best solution for Oklahoma is organic growth. We're a hard working, no-nonsense state, but others aren't going to prop us up. Invest in education and for God's sake give an OU grad opportunity in state as opposed to Texas and things could turn.

[royalfan5]

I think that VW could find a sweet spot in the 40-50k range among young adults who don't associate VW with poor hippies. The Phaeton was doomed from the start in that no matter how awesome the car was. When it came down to deciding between that 745, A8 or the VW for 80 large, it's obvious who's getting left out.

I think that the best solution for Oklahoma is organic growth. We're a hard working, no-nonsense state, but others aren't going to prop us up. Invest in education and for God's sake give an OU grad opportunity in state as opposed to Texas and things could turn.

VW already has Audi positioned in that range. In the 40-50K range you would need a lot of car to compete with the much more established marques and you would be cannibalizing sales from yourself.

[sooneron]

So they're going after the A4 slot? WTF is the slot above the passat?

[royalfan5]

So they're going after the A4 slot? WTF is the slot above the passat?

That's a good question, and I'm sure VW has some sort of justification for their delusions of grandeur. But I don't see it.

[sooneron]

they'd be better off with a $22K TDI.

[Half a Hundred]

TDI can't be as efficient due to new engine standards. It sucks, but the day of the 55 mpg diesel has gone and left. Pity, I know.

That's why I hang on to my 2002 TDI

[sooneron]

TDI can't be as efficient due to new engine standards. It sucks, but the day of the 55 mpg diesel has gone and left. Pity, I know.

That's why I hang on to my 2002 TDI

I bet 40 mpg would sell pretty well.

[Okla-homey]

Yeah, at-will doesn't necessarily protect you from a wrongful termination suit. Alaska is supposedly at-will as well, but just try firing someone without cause.

I happen to know a guy here in town who has made a lot of money over the years winning lawsuits against companies who fired women when they got pregnant and couldn't do their job anymore. And the kicker is, in those dealios, the employer ends up paying the plaintiffs attorneys fees and court costs too.:D

[mdklatt]

VW already has Audi positioned in that range. In the 40-50K range you would need a lot of car to compete with the much more established marques and you would be cannibalizing sales from yourself.

VW : Audi ?

a) Toyota : Lexus
b) Honda : Accura
c) Infiniti : Nissan
d) all of the above
e) a and b

[Frozen Sooner]

I happen to know a guy here in town who has made a lot of money over the years winning lawsuits against companies who fired women when they got pregnant and couldn't do their job anymore. And the kicker is, in those dealios, the employer ends up paying the plaintiffs attorneys fees and court costs too.:D

I can't believe companies are dumb enough to do stuff like that still.

Well, yes, I can. Jeez.