UAW bolsters financial controls after embezzlement scandal

United Auto Workers union bolsters financial controls after being rocked by embezzlement scandal

The United Auto Workers union has replaced its auditing firm, added four internal auditors and has hired a big accounting firm to study its financial controls in an effort to prevent embezzlement and bribery discovered in a federal probe of the union.

The moves announced Monday by Secretary-Treasurer Ray Curry come after last month’s resignation of President Gary Jones, who has been implicated in the scandal. Several other union officials have been charged or implicated in the probe, which became public in 2017.

Curry says the reforms will put checks and balances in place to prevent financial misconduct.

“This top-to-bottom assessment of our financial and accounting procedures and policies will result in a stronger and more stringent financial oversight of all expenditures,” Curry said in a statement.

They are in addition to changes announced last month by Acting President Rory Gamble.

The new auditing firm will check all of the union’s finances for the past year. In addition, the Deloitte accounting firm will look into all of the union’s accounting and financial processes.

Also, the union hired four additional internal auditors to increase its auditing ability, and it’s reviewing financial training for all UAW employees responsible for financial and accounting duties. They’ll be trained on new procedures, labor laws and updated policies, the union said in a statement.

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