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Union Claims Harley-Davidson Is “Dismantling” U.S. Workforce

Motorcycle maker Harley-Davidson Inc. faces strained labor relations after being accused of shifting some jobs to part-time workers, outsourcing others to suppliers and expanding production in Asia and South America.
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Motorcycle maker Harley-Davidson Inc. faces strained labor relations after being accused of shifting some jobs to part-time workers, outsourcing others to suppliers and expanding production in Asia and South America.

Bloomberg News says rift has prompted the International Assn. of Machinists and Aerospace Workers to join the Untied Steelworkers in withdrawing from a two-decade-old partnership with the Milwaukee-based company.

Harley-Davidson insists it is not shifting jobs overseas. But it is trying to bolster sales in other markets by building bikes locally to avoid import tariffs. Demand for the company’s bikes in the U.S. is shrinking.

In April the company offered rebates to its domestic dealers rebates, an unusual step for the company, to clear out 2016 models. Sales revenue in the first quarter fell 14%, and net income plunged 26%.

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