Article

2009-10-13 Economy

UAW Conceded No Base Pay, Health, or Pension Benefits in GM, Chrysler Bankruptcy Run-ups

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Posted by Fred 2009-10-13 00:00|| || Front Page|| [2 views ] Top

#1 Obama's best buds (after the bandits at Government Sachs) are his loyal troops at UAW and SEIU. Rattner and the kid strong-armed the Chrysler creditors into accepting a cramdown that valued the UAW's stake at s.t. like 10x the pre-deal valuation of their stake.

And in California, when Ahnuld wanted state employees to accept a modest furlough of a couple days per month w/o pay-- IOW, less than what many of the state's private sector workforce has endured for going on a year now-- Obama slapped him down and told him he wouldn't get any stimulus funds if he didn't treat the SEIU thugs with kid gloves.

Results? GM and Chrysler are well on their way to bankruptcy. California's reporting yet more multi-billion dollar deficits.

Nice work, Barry. But, hey, Dems won't have any problems manning the phone banks next November.

Posted by lex 2009-10-13 01:54|| 2009-10-13 01:54|| Front Page Top

#2 Unions destroyed the domestic American automobile industry. I have NO sympathy for any of them. Of course, predatory big-business management is just as bad. A pox on both of their houses!

Posted by Scooter McGruder 2009-10-13 03:13|| 2009-10-13 03:13|| Front Page Top

#3 Working at safeway as a bagger in my teens for $5 an hour, the scumbag union extorted $80 a month from me. Thats when I knew it was a useless racket.

Posted by newc">newc 2009-10-13 07:26|| 2009-10-13 07:26|| Front Page Top

#4 Of course, predatory big-business management is just as bad. A pox on both of their houses!

Actually a dysfunctional corporate culture in which managers were 'careerists', that is people who game the promotion and assignment position without regard to the overall health of the organization. Decisions where made upon their immediate short term personal position. Not much different than the management of banks and financial institutions that have collapsed as well. One of the common factors is the debasing of corporate stocks to such levels that no one had the ability or will to impose change. Instead institutional investors simply gamed the bottom line for the biggest short term profit they could get before moving on.

Posted by Procopius2k 2009-10-13 07:54|| 2009-10-13 07:54|| Front Page Top

#5 Unions: A 19th century solution to a 19th century problem.

Posted by Iblis 2009-10-13 12:30|| 2009-10-13 12:30|| Front Page Top

#6 Unions are well on their way to doing to the automotive industry what they've done to the Textile Industry and to a lesser extent the steel industry. And don't get me started on the Education Industry.

Posted by CrazyFool 2009-10-13 13:22|| 2009-10-13 13:22|| Front Page Top

#7 Throw in the State-based unions such as the corrections unions that have a stranglehold on budgets and state government in California. Probably other states also.

I can't see where unions today are anything but part of a larger problem that is endemic to the country and to what used to be our government.

Posted by JohnQC 2009-10-13 15:32|| 2009-10-13 15:32|| Front Page Top

#8 Yah, the UAW is greedy. But...but...but lets not lose sight of the fact that it was reckless conduct in the Financial sector that left Industrials, Developers, etc without financial means for short term borrowing for payroll and inventory. As I write, the Big Four banks control 60% of US cash deposits, and use same without paying interest, for the most part. Further, in September, the Four set up a private "clearing house" (their phrase) for joint writing down of Derivatives, of which they hold 90%. While the trust collusion commenced last year, by December they will be in a position to write-down assets jointly, outside of market forces. Is that Capitalism?

The Industrials and Developers and Oil Sector would like nothing better than to be in position to employ people, given an increase in inventory and payroll borrowing. Of course, increased unemployment would increase consumer spending. But, given that the Four can make money under the current parasite scheme, there is no incentive to act with public purpose. Google "The Deal" to see a website that documents the ongoing Derivative circus. The big change since Sept. 16, 2008, has been the disproportionate power seized by the Big Four. I blame them for the nationalizations in the Auto sector.

Posted by Snineting Tojo7266 2009-10-13 16:59|| 2009-10-13 16:59|| Front Page Top

#9 I don't know. Toyota and other 'non-union' shops seem to be doing fairly well.

Posted by CrazyFool 2009-10-13 17:37|| 2009-10-13 17:37|| Front Page Top

23:35 CrazyFool
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