
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, March 14, 1991                   TAG: 9103140153
SECTION: BUSINESS                    PAGE: B-5   EDITION: METRO 
SOURCE: 
DATELINE: DETROIT                                LENGTH: Short

CHRYSLER BOARD MAY SCRAP UAW SEAT

Chrysler Corp.'s board of directors will recommend that shareholders cut the board to 13 members from 18, booting out United Auto Workers President Owen Bieber in the process, the company said Wednesday.

By removing Bieber, Chrysler appears to be scrapping a fundamental element of Chairman Lee Iacocca's strategy that helped avert the collapse of the No. 3 automaker more than a decade ago. Iacocca gave the UAW a seat on the board to help him cut costs and provide the union a bigger voice in running the company.

The union called the decision a "grave mistake."

"At a time when Chrysler most needs independent views and the involvement and support of its UAW-represented workers, this decision is particularly regrettable and ill-advised," said a statement by Bieber and UAW Vice President Stan Marshall.

Board members make at least $20,000 a year in cash and stock and can receive other stipends for meetings and various assignments. Bieber received about $30,000 last year, which he donated to a scholarship fund at Grand Valley State University in Grand Rapids, Mich. - Associated Press

by CNB