Canadian NAO Report Refutes Union Allegations Regarding Mexican Facility of Dana Corporation
Dec 14, 1998
TOLEDO, Ohio, Dec. 14 /PRNewswire/ -- Dana Corporation (NYSE: DCN) announced today that a just-released Canadian National Administrative Office (NAO) report on free association confirms the company's conclusions that the management of its recently-acquired Itapsa, Mexico, plant did not engage in a pattern of improper conduct. The report further noted that a September, 1997 election campaign at the Itapsa plant of Echlin, Inc. had been hotly contested between two competing unions and that disorderly behavior was attributable to both unions. Dana is pleased that the allegations of the unions toward Itapsa's management were not confirmed. Dana assisted the NAO in its very thorough, complete, and exhaustive review of the matters surrounding the elections. Dana did not acquire Echlin, Inc., until July, 1998 and was thus not able to participate in the U.S. NAO process. After the acquisition, Dana immediately reviewed and investigated the allegations of the union submitters of the petition related to both free association and health and safety. It is Dana's complete expectation that the allegations of the unions concerning health and safety conditions at the Itapsa plant will also be soundly rejected and that the forthcoming report of the Canadian NAO on that aspect of the petition will confirm Dana's conclusion that Itapsa is a safe place to work. Dana acknowledges that the Canadian NAO report expressed concerns about certain aspects of Mexican law and practice, but believes that these matters are properly handled by the respective governments. It is Dana's intention to continue its policy of providing full and complete cooperation to the Canadian NAO as it completes its most important work. One of the world's largest independent suppliers to vehicular, off- highway, and industrial manufacturers and their related aftermarkets, Dana Corporation produces components and systems used on more than 95 percent of the world's 670 million motor vehicles. Founded in 1904 and based in Toledo, Ohio, the company operates 270 major facilities in 33 countries and employs more than 79,000 people. The company had pro forma sales of $11.9 billion in 1997. Dana's Internet address is http://www.dana.com.