The Latest: Scheme allowed FCA to hire temp workers, GM says

DETROIT (AP) — The Latest on General Motors’ lawsuit against Fiat Chrysler (all times local):

12:55 p.m.

General Motors attorney Craig Glidden alleges that the United Auto Workers union allowed Fiat Chrysler to have more temporary workers and more workers who were paid at a lower wage scale.

GM is suing Fiat Chrysler, alleging that its crosstown rival got an unfair business advantage by bribing officials of the UAW.

Glidden says FCA was able to reduce its labor costs in the 2009, 2011 and 2015 contracts with the union. He says the same advantages were denied to GM as part of a bribery conspiracy. He says GM is not suing the UAW because it believes that FCA was responsible.

The lawsuit was filed Wednesday in U.S. District Court in Detroit.

A message was left seeking comment from Fiat Chrysler.

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12:30 p.m.

Craig Glidden, chief counsel for General Motors, alleges that Fiat Chrysler CEO Sergio Marchionne, who died last year, was a “central figure” in the company’s alleged racketeering, in which it paid millions in bribes to get concessions and gain advantages in three labor agreements with the United Auto Workers union. GM claims the conspiracy was designed to put it at a cost disadvantage to FCA.

“FCA’s manipulation of the collective bargaining process resulted in unfair labor costs and operational advantages for it, causing harm to GM,” Glidden said.

A message was Wednesday left seeking comment from Fiat Chrysler.

General Motors is suing Fiat Chrysler, alleging that its crosstown rival got an unfair business advantage by bribing officials of the United Auto Workers union.

The lawsuit also names former FCA labor relations chief Alphons Iacobelli, and former FCA officials Jerome Durden and Michael Brown as defendants. All have pleaded guilty in a federal corruption probe, which has alleged that Fiat Chrysler bribed UAW officials to keep them “fat, dumb and happy.”

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12:11 p.m.

General Motors is suing Fiat Chrysler, alleging that its crosstown rival got an unfair business advantage by bribing officials of the United Auto Workers union.

The lawsuit, filed Wednesday in U.S. District Court in Detroit, alleges that FCA was involved in racketeering by paying millions in bribes to get concessions and gain advantages in three labor agreements with the union.

Details of the racketeering have been exposed in a federal probe of corruption at the union that has resulted in multiple arrests.

The lawsuit alleges that Fiat Chrysler corrupted the bargaining process with the UAW in the 2009, 2011 and 2015 union contracts to gain advantages over General Motors.

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