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Today's Nuze

"Every government interference in the economy consists of giving an unearned benefit, extorted by force, to some men at the expense of others."

Ayn Rand

Nobody's listening.

WHICH WILL IT BE .. GM OR THE UNIONS?

By
Neal Boortz
@ May 11, 2009 8:27 AM
Permalink | Comments (25) | TrackBacks (0)

Barack Obama's auto task force has a difficult choice to make ... will it bend to union demands and require GM to keep more jobs in the US or will it allow GM to expand its operations in countries with cheaper labor?

After pouring billions of OUR CHILDREN'S DOLLARS into GM, the fact of the matter is that it can't survive while it is beholden to the United Auto Workers. This means moving more manufacturing (and therefore jobs) overseas. Needless to say, the unions are less than happy. They feel as they have a right to these jobs! How dare GM try and make money by paying people to do the same job for less money!

The current outline for GM would roughly double the number of cars built in Mexico, China and South Korea. This makes absolute sense. In the United States, GM pays UAW workers about $54 an hour with benefits. However in South Korea, GM would pay its workers less than half of that at $22 an hour. In Mexico, workers could earn about $10 an hour and in China that figure could be as low as $3 an hour.

A UAW official says, "My hope is that the government is like the UAW: protectors of the people." I'm sorry but GM is not in the business of protecting the people. It is in the business of making cars. As for the UAW .. it isn't in the business of protecting people either .. unless they're UAW union members.

When I'm thinking about these autoworkers one image sticks in my mind. When is the last time you saw an autoworker wearing a windbreaker or hat with just a Ford, Chevy or Chrysler logo on it? I'm sure they're out there .. but I haven't seen one. Instead they're always wearing their clothing emblazoned with the UAW logo .. UAW Local this, that and the other thing. Who are they working for? Ask them and they'll point to their union logo. Seems a lot of them forgot that the union doesn't sign their paychecks.

So what is it going to be, Obama? Are you going to let GM survive by allowing it to expand its overseas production with less costs, or are you going to bow to the labor unions and force GM to make cars in the United States?



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What others are saying

  • Emblem
    This is the UAW emblem? I’ve never seen it before. WOW!!! If I never even heard of them, I would’ve been certain they were libs and pretty convinced they were gay. Hand holding in a circle is just about as liberal as you can get.
  • Buy Fords
    Buy Ford vehicles.
  • Failure
    The eople that have retired from there are/were counting on being taken care according to the negotiated contracts. It'll be ashame to lose the bennies they worked for.
    HOWEVER, when the contract becomes obviously unsustainable due to market conditions the UAW needs to realize they can't build and sell stuff for $100 when everyone else is building and selling stuff for $50.
    File for bankruptcy, negate the contracts, audit the unions and then call out the bad guys. Hmmmmmm, will it happen?
  • Re: Work for the Union
    Outstanding!!! I've seen many companies spin off cost centers into independent profit centers. They have to do exactly as you say and bid for work as well as solicit external business. If they are as good as they think, they grow and thrive. If they stink, are unproductive, and over-paid, they quickly become yoga-squirrels (you know the ones contorting themselves in the middle of the road).
  • Work for the Union
    So, if the workers think they work for the union then they should. Place all the workers under pay by the UAW. Then make the UAW bid for contracts to provide labor to the manufacturers. That should do a good job of returning the system to capitalism.
  • More reasons
    This is perfect. I've been buying Japanese for years - basically since a Detroit born co-worker related the horror stories of working with the UAW. If they end up controlling GM and Chrysler, my next car will be a Ford. Unions outlived their usefulness about 70 years ago. Ever since they've been dragging solid companies into the ditch while leftist idiots cry about a form of business ownership and investment liquidity they don't understand.
  • I WANT the UAW
    to ru(i)n GM..the irony will be SOOO delicious..these union clowns running the show - dealing with all the lazy, whiny dreck (I.E. their members) AND having to turn a profit!? Yeah baby! Schadenfreude indeed! You'll watch these union dullards/propagandists sell their "intrest" in a blink. Before that though, now when they go to "Stick it to the man" they'll actually be sticking themselves...hopefully they make a video!
  • J Cooper @@LOL
    Great turn there!
  • Copyleft, Go Patriot
    Copyleft, great post,you inspired me.I changed a few words to make it flow better with my mindset. No offense intended.
    We've seen where the policy of appeasing the Government overlords takes us... to economic ruin.I suggest we back the Patriots all the way. America needs to remember that the PEOPLE, not the Government, call the shots here. Government is permitted to operate along the terms and conditions WE set down, not vice-versa.
    Maybe some dwindling few right-wingers still live in fear of angering their Government,I for one do not, I am ready to b****-slap those losers and remind them who's really in charge. And I do not care if the Obama administration agrees.
  • Who cares...
    Rome is burning people...all you can do is stay clear of the flames.
  • Wonder why
    And people wonder why auto companies in the South are doing better than those in the North. NO UNIONS! NO BAILOUTS NEEDED!
  • It's Our Money
    The problem here is that U.S. tax dollars (OUR money), via the bailout(s), will be used to pay foreigners to build "American cars." Just let GM fail and start over as a non-union company here in the U.S.
  • Burn your cash
    Let the UAW buyout GM and then cut all goverment assistance. They want it, let them have it. They can run it into the ground. But the goverment will never stay out of it so tax dollars will continue to burn.
  • They will soon.
    Neal,

    Atleast they will have the right idea shortly when they point to their union logo when asked who they work for.
  • UAW
    These auto workers are rich! They should be able to move those jobs somewhere else and employ those poor people in other countries. Quit being greedy, UAW!
  • I don't get it.. they're losing the jobs anyway, right?
    If GM is going to lay off its union workers and hire foreign non-union workers, why not just fire anybody who's in a union? Isn't the reason to not do that "because then the union will all quit working!"? Doesn't that not apply if you're laying them off anyway?
    Just say "leave the union or leave your job". The way unions work, they /need/ to accept that ultimatum, because "I'm going to leave my job!" is the only threat they have.
  • Shut down completely
    Just go out of business completely in the US and start up again somewhere else. We deserve it.

    The jobs belong to the company NOT to the workers!!!!! Geez, what is so hard to understand about that?
  • Copyleft, you're a crack up.
    Never once have I heard a UAW worker or a union official express any pride in the product they make, nor exhort Americans to buy their cars. Sure, they'll be able to run the company.
  • Unions
    Copyleft,

    Did you know that the American car companies already could only operate under the terms and conditions set by agreements with the UAW? The result was the failure of 2 out of 3 major car companies. Somehow, you believe that this method will make Chrysler and GM viable?????
  • Cutting off your nose to spite your face.
    I love reading comments from clueless leftist who have never managed a P&L.

    I am not even convinced they know what one is.
  • Duh Neal!!!
    "So what is it going to be, Obama? Are you going to let GM survive by allowing it to expand its overseas production with less costs, or are you going to bow to the labor unions and force GM to make cars in the United States?"

    You just missed a perfect opportunity to say something grand about the FairTax. Get it together man! True pimps don't miss opportunity!
  • The answer is simple.
    Obama will bow to the UAW and make GM pay more for American workers and the TAXPAYERS will continue to bail GM out to cover the losses.
  • GM needs to be broken up
    There is no point in holding either equity or debt in a company controlled by the UAW. Any value that can be created will be sucked up by the manufacturing workers, who can hold the company hostage.

    To maximize the value of their debt holdings, the creditors need to force a reorg in bankruptcy that splits the company into several parts, including multiple contract manufacturing companies.

    Another marketing company would operate the dealer networks, and design and sell cars.

    If the company which manufactures Pontiacs were to strike, the marketing company can buy simply more Chevys.

    The creditors just need to get there.
  • ?
    Do we have the right to tell GM they CAN'T go overseas? Or south of the border? That might be a good thing, maybe the illegal aliens would follow...
  • Go, union!
    We've seen where the policy of appeasing the corporate overlords takes us... to economic ruin.

    I suggest we back the unions all the way. America needs to remember that the PEOPLE, not the corporations, call the shots here. GM is permitted to operate along the terms and conditions WE set down, not vice-versa.

    Maybe some dwindling few right-wingers still live in fear of angering their corporate gods, but more of us are ready to b****-slap those losers and remind them who's really in charge. I hope the Obama administration agrees.
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