Auto Bailout Bill Appears Stalled

[al76slc]

"Under [Sen. Corker's] plan, which was the subject of intense negotiations with Democrats, the automakers would be required by March 31 to cut their debt obligations by two-thirds — an enormous sum given that G.M. alone has more than $60 billion in debt outstanding.

The automakers would also be required to cut wages and benefits to match the average hourly wage and benefits of Nissan, Toyota and Honda employees based in the United States, and the companies would have to impose equivalent work rules. The plan would also bar any pay for idled workers other than “customary severance pay.”

http://www.nytimes.com/2008/12/12/business/12auto.html?_r=1&hp

This may be trying to handle a complicated matter with a very broad brush, but it'd be real interesting to see if the American car companies could compete if they paid the same labor rates as the Japanese ones here.

I didn't see if they mentioned pre-existing pension obligations.

[DieselAddict]

It's time to take on those greedy, overpaid union workers and instill some discipline. And the executives should take a pay cut too. Don't like it, no problem, no loan for you.

[Jim B.]

Still gonna keep making those shoddy, crappy, unreliable cars that nobody wants to buy......

[t walgamuth]

Originally Posted by DieselAddict

It's time to take on those greedy, overpaid union workers and instill some discipline. And the executives should take a pay cut too. Don't like it, no problem, no loan for you.

In this country if folks vote to have a union they are entitled to it by law. Its a really good law if you take the time to research what working conditions were before unions.

I used to rent to six unions in my other building. My favorite bumper sticker (not on my car...theirs) was...."organized labor, the folks who brought you the weekend!"

I get a kick out of the workers at our Cat plant. Its non union and many of the workers are all high and mighty about it...."we don't need no stinking union, we get paid $38/ hr just like the union workers over in Peoria"...

Do they seriously think they would be making 38/ hr if there were no union in the Peoria plant?

HAH!

People kill me.

[t walgamuth]

Originally Posted by Jim B.

Still gonna keep making those shoddy, crappy, unreliable cars that nobody wants to buy......

THIS is the problem.

[MTI]

Doesn't Cerberus Capital Management have the dough to bail Detroit out?

[Dubyagee]

Originally Posted by MTI

Doesn't Cerberus Capital Management have the dough to bail Detroit out?

Seems they have enough to bail Chrysler out but are standing in line for money from the government.


Let them go bankrupt. They will survive and be a leaner/more efficient company for it.

[Medmech]

Let me get this straight, the Fed scratched a check to help buy Morgan Stanley for pennies, nobody had a problem with sure to fail AIG, loaned PNC the money to buy National City giving shareholders the short end of the stick? If any above the above failed it wouldn't mean anything since they were already beaten into the ground while a loan to insure 44 million taxpayers is "stalled".

Do you guys know what is wrong with this picture?

[Medmech]

Originally Posted by Dubyagee

Let them go bankrupt. They will survive and be a leaner/more efficient company for it.

So thousands of suppliers can be shorted and ultimately be forced to send more workers to the unemployment line? I don't think you guys realize that a vast portion of your own employment is due to the auto industry, $29 billion is pretty good band for the buck to avoid a total collapse of the economy.

[DieselAddict]

Originally Posted by t walgamuth

In this country if folks vote to have a union they are entitled to it by law. Its a really good law if you take the time to research what working conditions were before unions.

I used to rent to six unions in my other building. My favorite bumper sticker (not on my car...theirs) was...."organized labor, the folks who brought you the weekend!"

I get a kick out of the workers at our Cat plant. Its non union and many of the workers are all high and mighty about it...."we don't need no stinking union, we get paid $38/ hr just like the union workers over in Peoria"...

Do they seriously think they would be making 38/ hr if there were no union in the Peoria plant?

HAH!

People kill me.

Unions did good things in the past. But these days they take their greed too far. I'm not calling to outlaw them, just standing up to them.

[MTI]

Hmm, the last bailout resulted in the "K-Car" . . . we can't let that happen again!

[DieselAddict]

Originally Posted by Howitzer

So thousands of suppliers can be shorted and ultimately be forced to send more workers to the unemployment line? I don't think you guys realize that a vast portion of your own employment is due to the auto industry, $29 billion is pretty good band for the buck to avoid a total collapse of the economy.

I disagree. I think the financial industry is more important than the auto industry. The auto industry is just another employer, though a big one. Without the financial industry, you have no lending and no business anywhere.

[Dubyagee]

Anything done to "save" the auto industry is only prolonging the inevitible. Fatcats will run them into the ground.

All off the suppliers will take a hit no matter what if they havent alrerady.

I know the government is trying to get these companies to submit to change before handing over the money but I believe it will take more then a handout with a catch to fix their corporate mindset.

[tankdriver]

Originally Posted by t walgamuth

In this country if folks vote to have a union they are entitled to it by law. Its a really good law if you take the time to research what working conditions were before unions.

I used to rent to six unions in my other building. My favorite bumper sticker (not on my car...theirs) was...."organized labor, the folks who brought you the weekend!"

I get a kick out of the workers at our Cat plant. Its non union and many of the workers are all high and mighty about it...."we don't need no stinking union, we get paid $38/ hr just like the union workers over in Peoria"...

Do they seriously think they would be making 38/ hr if there were no union in the Peoria plant?

HAH!

People kill me.

Unions are fine. This one asked for too much, and got too much from idiots.

[Ara T.]

Originally Posted by Jim B.

Still gonna keep making those shoddy, crappy, unreliable cars that nobody wants to buy......

I disagree with this. Their cars are about as good as their competition, and plenty of people buy them.

Problem is with their past history of making some crappy cars, they need to be better than the competition, much better.