Bailing out the UAW
So who would really be the target of an auto industry bailout? GM, Ford, and Chrysler? I think the real target would be the United Auto Workers union. Now I am normally all for saving jobs, but let’s consider that the big three pay approximately 12,000 people not to work as part of the UAW’s jobs bank program. Is there any wonder why Detroit is in financial trouble? The fact of the matter is that bankruptcy would be a good thing for the big three. The companies would not cease to exist. Instead, it would void the draconian UAW contracts and allow them the freedom to restructure and become more competitive with the imports.
The UAW represents the hourly workers at GM, Ford and Chrysler. The union does not represent workers at the factories of Toyota, Honda and other overseas-based companies, except in a few cases where they operate, or once operated, as joint ventures with U.S. companies. The UAW gave 99 percent of its $1.8 million in campaign donations to Democrats in this year’s election.
Considering these generous campaign contributions, it’s rather obvious why Democrats are largely in favor of using your taxpayer money to bail out the US auto industry while Republicans are willing to let the free market pass judgment.
So, the “tough decisions” that Dana Perino speaks of in the video accompanying this article. . . . that a struggling, yet “viable” company is capable of making in times like these. . .does that include a tough decision to have no more unions involved/in the way? Are GM/Ford/Chrysler ‘TOUGH’ enough to make these decisions?
There are plenty of wealthy people in this country that would be able to buy up a struggling company. Those wealthy are able to manage their money. That is why they have money.
GM/Ford/Chrysler should have kept their campaign contributions to help their own situation. They aren’t creative enough to survive. They need to fall to the ground in order to regrow. Pruning time. Yet our money is going to be wasted in that direction. Watering a dead tree with no creativity. The situation has to get desperate in order for real change to happen in these companies.
I remember at FSU (in 1992) there was a guy who spoke up in a business statistics class I was in. He shared that he worked for an American car company. His good friend worked in a Japanese car factory at the same time.
They compared notes and realized that when something was defective or wrong in the American factory, the supervisor was made aware of the issue. The supervisor said to keep on going (so he could make his numbers for the day, week, year). The workers knew this was wrong. The masses knew one guy was wrong.
The Japanese car factory supervisor was also once made aware of a defect on a model of his cars and he stopped production. He looked into the issue, they corrected it, and then went on their way. Short term, his numbers were down; long term, he and his factory and company still have jobs.
Echoes. 2008. Echoes.
We can’t be motivated by money. We have to be motivated to do the right thing, to build the quality thing. The American factory worker wanted to go work for the Japanese factory. His conscience wanted to do the right thing. He wanted to make a quality car that would take care of someone else.
Well, I sure hope the 25 billion, or gagillion or whatever they are throwing at the “problem” is going to breathe magical life into these companies. I can’t stand wasting money. Especially someone else’s money.