Filed under: Plants/Manufacturing, Chrysler, LLC., Ford, GM, Earnings/Financials, UAW/Unions The president of the United Auto Workers union, Ron Gettelfinger, said in a recent CNN interview that U.S. automakers need to tell Congress they will limit corporate pay, bonuses and severance packages in return for more government loans. Gettelfinger also said that the Detroit Three only need the loans to hold them over during these tough times. While the first statement from the union's top player seems like basic common sense, the second seems highly optimistic... especially when one considers the size of the industry and the depth of its issues. While no single event (or loan, for that matter) will likely turn around the downslide, all of those affected by the auto industry's potential demise will be interested in tomorrow's events. That's because Dec. 2 is the day House and Senate leaders told the automakers that they need to submit a "credible restructuring plan" that's convincing enough to get Congress to open its wallet when it reconvenes next week. [Source: Reuters] UAW wants executive pay to be limited originally appeared on Autoblog on Mon, 01 Dec 2008 12:32:00 EST. Please see our terms for use of feeds. Permalink | Email this | Comments More...
The pot calling the kettle black... Of course the UAW is going to point their finger at management for cover. It all boils down to hundreds of management getting paid too much vs THOUSANDS of UAW workers getting paid too much. Which cuts will have the greater impact? The high volume cuts, of course. I am not saying the execs shouldn't be paid accordingly, just pointing out the hypocracy of the UAW's arguement. An arguement that is apparently the best they can come up with to cloud the issue and take cover. Pretty transparent though. When I say execs should be paid accordingly, I mean that they should be paid good when business is good, and suffer when business suffers. In a perfect world anyway... You just don't see those kinds of ethics though.
