Re: OT: Auto Workers just don't get it

Lumpy wrote:

Where does the union get off telling it's members
that they "deserve" or "have the right" to demand
higher and higher wages and benefits from a company
that is blatently broke?

That's what they are paid to do.

The stupidity was the US Government caving into their claim that "our company is too big and too important for you to let fail" and give them money without first getting concessions from the unions.

I would have put some pretty strong concessions in place as part of the bailout money:

1) Workers who have been off the assembly line for more than 6 months but are still getting paid get 6 months to find a new job because their pay is ending in 6 months. Current workers who get laid off get no more than 6 months of severance.

2) Executives who have been paid more than $1,000,000 per year in salary can either be fired with NO severance or agree to work for $1 per year until the bailout money is repaid.

3) Executives who stay on have all their outstanding stock options repriced at the high $ mark for the company stock in 2008. This means their options are "under water" until they rebuild the company back to the value it had at the high point of 2008.

4) Employees must take an across-the-board pay cut. The cuts should be higher for those making more money - 30% for those making $100k or more, 25% for those making $80k, 20% for those making $60k, 15% for those making $50k, 10% for those making less than $50k. The same cuts apply to those drawing a pension at those levels.

5) Excessive paid vacation time accrued for managers and union workers both will be eliminated. Cap vacation time accrual to 3 weeks per year.

6) Perks like company jets are eliminated.

7) The company's finance department needs to start making some very creative financing arrangements to get the backlog of unsold cars into consumer's hands. It's better to sell 5 cars to someone that has a 20% chance of defaulting and then later take 1 back than to have 5 cars sitting unsold.

8) Plants that are making unpopular vehicles must stop production immediately. If they can't retool to produce popular vehicles, they must close or have their production lines outsourced to other companies for other products.

Only if the company's management and the unions agreed to these conditions would a single dollar be released.

Too bad I'm not Dog of the Universe.