UAW RESISTS DRUG TESTING

Mandatory Screening Becomes Key Issue In Contract

DETROIT -- Drug and alcohol abuse among autoworkers is emerging as a
pivotal bargaining issue for Detroit automakers now renegotiating labor
contracts with the United Auto Workers.

The lingering problem of employee drug and alcohol abuse costs automakers
millions of dollars a year in lost productivity, higher absenteeism, health
care and employee turnover.

Detroit automakers, like other companies and communities nationwide,
continue to grapple for solutions. But the UAW opposes a common but more
rigorous approach to the problem: random drug screening.

"The safety of our employees is a top priority," said Gordon Kettler,
general director of global security for General Motors Corp. "To help keep
our work environment safe, GM has zero tolerance for drug use." Automakers
have resorted to undercover investigations in the battle against work place
drugs.

"We now have a handle on the drug problem, whereas before we really
didn't," says Gary Henson, senior vice-president of manufacturing for
DaimlerChrysler AG. "The undercover investigations send a very visible
message. Our goal is to get to the source -- the dealer."

But sting operations are expensive. It typically costs $7,000 a month to
place one agent in a plant for an extended period. A one-year sting can
cost up to $750,000.

The UAW prefers to battle the drug problem using employee assistance
programs and counseling.

Some experts say such confidential programs are cheaper than drug testing
or the other extreme: hiring and training replacement workers.

At GM, UAW workers who participate in the programs recover at a rate twice
the national average for other adults.

"Based on recent legislation affecting the small business sector, we
anticipate an increase in misinformed employer demands for broad-based drug
testing and we must resist such efforts," the UAW says in its 1999
collective bargaining resolution.

"An effective employee assistance program and a full array of benefits for
the treatment of drug or alcohol addiction should be developed and
implemented before the introduction of any testing program."

On individuals, the impact of illegal drug use can be overwhelming. GM, in
a recent Department of Labor survey, disclosed that employees who use
illegal drugs average 40 days of sick leave a year, compared to 4.5 days
for workers who don't use drugs.

UAW Resistance

In earlier national bargaining sessions, the UAW has steadfastly resisted
management efforts to expand employee drug testing as a deterrent to
substance abuse. The union views random drug testing as a major invasion of
worker privacy.

In the past, the union has even been leery of joining hands with automakers
for anti-drug campaigns. It sees such overtures as a pretext to drug testing.

The debate is expected to resurface again during this year's labor talks
following recent drug-related arrests of workers at auto plants:

In March, police charged 13 workers at GM's Doraville, Ga., minivan
assembly plant for selling or possession of illegal drugs.

Following a 15-month undercover investigation, 11 workers at
DaimlerChrysler's Warren truck assembly plant were arrested in April for
selling illegal drugs inside the plant. One worker, a male with more than
20 years on the line, was charged with possession with the intent to sell
cocaine and heroin. Authorities seized 77 rocks of crack cocaine, 65 packs
of heroin and 29 packets of powder cocaine.

Since 1995, police have arrested more than 200 workers on drug-related
charges at more than 15 GM, Ford Motor Co., DaimlerChrysler and Delphi
Automotive Systems Corp. plants in the United States.

The arrests, following months of costly investigations that often begin
with tips from plant floor workers, continue to alarm senior auto
executives and board members.

Job Applicants Screened

Today, automakers screen only job applicants -- hourly and salary -- for
drug use.

Detroit automakers won't disclose how many applicants are rejected for drug
use, but experts estimate as many as one in five job seekers test positive
for using illegal substances.

In some rare cases, following industrial accidents and when an employee
returns from an extended absence, plant officials may ask workers to
voluntarily undergo a drug test.

The National Association of Manufacturers estimates that drug and alcohol
use doubles workplace accidents, absenteeism and health care costs.

Nationwide, 7.7 percent of part-time workers and 6.5 percent of full-time
workers abused drugs in the last 30 days, says the government's Substance
Abuse and Mental Health Services Administration.

"Drug abuse drives drug trafficking," says Michael Spencer, president of
North American Security Solutions, a Vandalia, Ohio, company that conducts
undercover drug investigations for automakers and other private employers.
"If you're selling drugs, you do it in high-traffic areas such as auto
factories."

Lingering Problem

Macomb County prosecutor Carl Marlinga says the arrests at auto plants
reflect that drugs are a lingering problem that won't go away."

Some experts see it as the dark side of the auto industry's current
prosperity.

Overtime and record profit-sharing checks are fattening pockets, allowing
some workers to embrace more expensive drugs.

During a recent undercover investigation at an undisclosed auto plant,
agents for Professional Corporate Intelligence made drug purchases that
totaled $13,000 in one week, said Michael Garrison, president of
Professional Corporate Intelligence, a St. Joseph, Mich., company that
conducts undercover drug and theft investigations.

"Every plant has a problem -- whether it's alcohol or illegal drugs,"
Garrison said.

"Heroin is making a big comeback among workers everywhere," Spencer said.

[sidebar] Worker Drug Use A Major Concern

* Drug-using employees at GM average 40 days sick leave each year compared
to 4.5 days for non-users.

* 13.9 million people, 6 percent of the population over 12 years old, has
used drugs in the past 30 days.

* 8.3 million adults, 73 percent of all current drug users aged 18 and
older, were employed in 1997.

[sidebar] Highest Rate Of Illicit Drug Use

Job -- Percent of use

Construction workers -- 15.6

Sales personnel -- 11.4

Food service workers -- 11.2

Laborers -- 10.6

Machine operators -- 10.5

Source - Substance Abuse and Mental Health Services Administration

[sidebar] Tips Launch Probes

Acting on tips from workers, automakers have launched investigations in
recent years to quell drug trafficking in plants. Some examples:

April: DaimlerChrysler, Warren truck plant, 11 arrests

March: GM, Doraville, Ga., minivan plant, 13 arrests

February: GM, Saginaw foundry, 11 arrests

January: DaimlerChrysler, Kokomo, Ind., transmission plant, 17 arrests

December 1998: Delphi, Columbus, Ohio, trim, 15 arrests

November 1998: GM, Toledo, transmission plant, six arrests

April 1997: DaimlerChrysler, St. Louis truck, minivan plants, 26 arrests