GM/Chrysler Merger

[kwhizz]

Sammy.........Where did I say anything about the Dem's and I was just Passing along the Experience of Seasoned autoworkers........I injected "None" of my thought's and made "No" references to any of the Political Parties....

Ken

[69Tom]

Not sure if you've seen this news or not. Ridiculous, but hardly surprising.

<font color="blue"> Chrysler gives bonuses, asks for bailout </font>
Posted Nov 14 2008, 12:52 PM by Kim Peterson Rating: Filed under: Ford, Kim Peterson
Chrysler is asking the government for a bailout. It's laying off employees and cutting salaries. It's a company in trouble.

Oh yeah, it's also paying $30 million in bonuses to dozens of top executives.

That's the end result of a poorly-timed plan to keep Chrysler together as it was being sold. The company didn't want top executives to leave during the transition, so it promised big money for people who stuck around. Now, Chrysler is asking the government for billions of dollars in aid while it writes million-dollar bonus checks out to A-list employees. How's that for awkward?

In Chrysler's defense, this bonus plan was created in April of 2007. The company had no idea that its industry was headed for collapse, or that the executives it was desperate to keep might have a hard time finding employment at a Jiffy Lube at this point.

The bonuses are going to be another sticking point in Chrysler's request for government aid. The industry is asking for $25 billion in low-cost government loans. Chrysler is a private company, and may be asked to hand over a lot of information about its finances and how it handles its money. That includes information on those controversial bonuses.

Bonuses are under fire at other carmakers. Ford has cut some merit raises and bonuses for next year. The company is quickly running out of money, and is slashing its spending.

Executives from Chrysler, Ford and GM are headed to Congress next week to make their case for $25 billion in aid. The bonus numbers will quickly become a central point of the conversation, and deservedly so.

As a private company, Chrysler can do whatever it wants when it comes to compensating its executives. But a private company asking for a government bailout cannot. Better brush up on those resumes, boys, because the good times are coming to an end.

[69Tom]

And then there's this one about Detroit itself. Scary times.

<font color="blue">City Council: Detroit needs $10-billion bailout </font>
BY NAOMI R. PATTON • FREE PRESS STAFF WRITER • November 12, 2008
The Detroit City Council passed a resolution today calling for a $10-billion bailout for the city of Detroit.

Council President Pro Tem JoAnn Watson sponsored the resolution to use the money for public service employment, to fund mass transit plans and to place a moratorium on home foreclosures for two years.


The resolution specifically requests the council meet with Mayor Ken Cockrel Jr., Gov. Jennifer Granholm, the state’s congressional delegation, U.S. House Speaker Nancy Pelosi and officials from President George W. Bush’s office and President-Elect Barack Obama’s transition team.


Watson said she fully supports mayors from Warren, Sterling Heights, Livonia and Dearborn meeting with representatives from Granholm’s office, the state’s congressional delegation, the Michigan Economic Development Corp., the Southeastern Michigan Council of Governments and the Michigan Municipal League, seeking federal redevelopment funding for communities facing huge losses in property tax revenue affected by looming plant closures.


But, she said, “The city of Detroit has got to be leading the way on this.”


The city recently received $47 million from the U.S. Department of Housing and Urban Development to help stabilize neighborhoods hit hard by the nationwide foreclosure crisis. Officials with the city’s Planning and Development have prepared a plan the city council is expected to vote on in a week.

[Chevy454]

[ QUOTE ]
why bail them out if nobody is buying cars?

[/ QUOTE ]
A guy posted the follow over at LS2.com...I can't remember if he's directly employed by GM, or a 1st tier supplier, but anyway...

ARLINGTON IS ON TWO SHIFTS AND MANDATORY OVERTIME.
ARLINGTON BUILD BIG SUV'S (Tahoes, etc...).

He said they've seen the # of consumers picking up ever so slowly, but since gas prices have waned, they've shifted their interest *back* to TRUCKS/SUVs...take it for what it's worth!

[Salvatore]

Well I like hearing that! Keep America rollin.

[TDW]

https://www.youtube.com/watch?v=-Ag5BV_Lz...ad.php?t=248485

From the horses mouth...GM president. Not a bailout, but LOANS. They have to meet the new Gov milage requirements, which is where most of the loan would go. Unless I misunderstand what he is saying.

[Chateau Slate 66]

Ask anyone from Minnesota about corporate "loans". Our state legislature "loaned" Northwest Airlines hundreds of millions of dollars back in the 80's or early 90's to "save Minnesota jobs".

They have never repaid a cent and never will. Now they have been bought out by Delta and are moving their corporate office and maintenance facility out of the state.

[rpoz11]

[ QUOTE ]
https://www.youtube.com/watch?v=-Ag5BV_Lz...ad.php?t=248485


[/ QUOTE ]

He certainly does NOT come across as being concerned!
6 months of cash left to operate and this???

As far as the unions go, to me Management is responsible for the people they hire and the performance of their duties.
Abuse of one's employment position is that employee's risk.

If the Union is to blame, then they will know when they have all of their bargaining member's looking for jobs.

People, we have got to work together to get thru these awful times!!!

The sooner the better!!!

[ANDY M]

Just ask the Brits. They had unions that make the UAW pale in comparison as far as making demands on their owners. Plus, they were run by people that felt that the priveledged class of the old Empire was still around, and that real negotiations were pointless. Nobody was willing to bend, so they just went broke. Today, there are no real British owned car companies, just cars with old names but new owners.
Rolls Royce, Bentley, Astin-Martin, Jaguar, Range Rover, Mini Cooper, etc.
Every car exported from the UK is made by a foreign owned company. Any irony to the Germans owning RR and Bentley?
The Japs are just as strong there as they are here. The GM and Ford brands are even doing well in Europe, better than in the USA.

[Salvatore]

Hopefully a new pact and agreement today will help the Big 3, its workers and our country. I believe it will only work if ALL sides come together and work for the common good.