Comments on: The Unions Killed The Carmakers

By: bob

bob — Tue, 18 Nov 2008 04:09:44 +0000

Chapter 11 is the best thing that could happen to these companies. They need to fundamentally restructure how their business operates AND the vehicles they produce in order to survive. There will be huge layoffs – no question there. They’re necessary if any of these companies have any hope of surviving. It’s either SOME of the employees get laid off or ALL of them do – government bailouts are NOT an option.

Businesses should be allowed to fail if improperly managed or if they produce things that nobody wants. Competitors will emerge to fill the void. That’s how the free market works.

By: Powell lucas

Powell lucas — Tue, 18 Nov 2008 03:28:09 +0000

I thought it took two sides to sign a contract. As ridiculous as the union demands were, the auto companies were just as stupid for signing them. And don’t cry about how they were faced with strike action. They had a choice…they could have locked out the union. Many other industries have done it.
Greed motivated both sides and now they have to face the consequences of their own actions. Except they don’t want to do that. They want the taxpayer to be just as stupid and agree to finance their gold plated union contracts and gold plated executive rewards.
When both sides agree to a 50% reduction in remuneration across the board, then the taxpayers should consider it. But not until then.

By: Phil

Phil — Tue, 18 Nov 2008 03:15:13 +0000

Universal health care is the reason why there are so many auto plants in Ontario.

By: Stan

Stan — Tue, 18 Nov 2008 02:27:48 +0000

What a bunch of crap.
It presumes that the only option is total collapse of the industry when in fact the factories and workers would still be there.
Let them go into chapter 11 and restructure.
Someone said no one will buy a car from a company in chapter 11, okay, let the unions and the companies take that into account and restructure before they get to chapter 11.
Why should the poor shlub at the 7/11 give up part of his paycheque to subsidize an unskilled worker that makes five times as much as he does?

By: Stan

Stan — Tue, 18 Nov 2008 02:21:10 +0000

There is a simple solution; renegotiate the labor contracts.

By: Rick Fuschi

Rick Fuschi — Tue, 18 Nov 2008 02:17:29 +0000

The statement that the Big Three are failing because they built cars no one wants, is a canard. (See my last blog, The Electric Kool-Aid Eco-Mobile)They are failing because they have too much baggage, they have the UAW, and because consumers are frozen with fear. Dealing in a tough competitive market is one thing, but selling a product amidst the present global calamity is an impossible feat.