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Labor Secretary Talks Kohler Strike, Minimum Wage During Visit

Perez Says He's Optimistic Kohler Workers, Company Can Reach Deal

By
Chuck Quirmbach/WPR

During a visit to Wisconsin Thursday, U.S. Labor Secretary Thomas Perez said he’s hoping for a win-win solution for the strike at the Sheboygan-area Kohler Co. plant.

Perez said he’s been monitoring the walkout of about 2,000 United Auto Workers members that began Sunday. He said he hopes the firm and the strikers can use the collective bargaining process to agree on a package that’s fair to everyone.

“I know that during the recession, workers took a haircut. They made shared sacrifice,” said Perez. “And I hope as times get better, and profits increase, that can result in shared prosperity.”

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Perez said auto companies are currently negotiating with the UAW on new contracts. But the union says Ford Motor Co. is moving too slowly on a plan to phase out a two-tier wage system. Striking workers in Kohler also want to scrap the two-tier plan, which results in a wage gap of about $10 an hour between newer and longtime employees.

UAW Local 833 in Sheboygan County said Thursday that Kohler has not responded to a request for more contract talks. Kohler put out a press release Thursday afternoon saying any planned union demonstrations aimed at thwarting a “holiday market” beginning Friday at Kohler’s American Club would be very disappointing.

Perez also met with low-wage workers in Milwaukee during his visit, speaking with fast-food employees, home health care workers and others who have been promoting a minimum wage of $15 dollars.

Perez said the movement is about more than money — rather, he said, it’s about giving workers a voice and more dignity.

“That’s why we’re going around this country, because I know what the unfinished business of this recovery is. The unfinished business is sitting right in this room, and that unfinished business is making sure we do well by everyone,” said Perez.

Perez noted that President Barack Obama’s administration backs a bill in Congress that would set the federal minimum wage at $12 an hour by the year 2020.

Most of the Republican presidential candidates have said U.S. employers can’t afford a higher minimum wage.

Editor’s Note: This story has been updated with more information on Thomas Perez’s visit.