The President's Weekly Address: Good News from the Auto Industry

From the White House blog:

As the auto industry and financial markets begin to stabilize, the President says the government’s emergency interventions are now winding down. He pledges that real reform, particularly on Wall Street, must now begin.

Good News all around. I supported the loans to GM and Chrysler, and it looks like it might have been a great investment for our government. With GM paying back the loans 5 years early, it looks like the faith we put in them and the restructuring they did has now paid off.

Now, on to the financial industry... We must have new rules for them and get them regulated. I hope the Senate will pass the bill before them, it may not be the best... but at least it is something. With the current climate in Washington it may be all we can get.

But, it like the health care law, can be added to at a later date if we win a majority back in the fall. Some are now predicting just that.

Thanks everyone and I look forward to your comments.

We The People to King of the World: YOU'RE FIRED!

From DailyKos

Friends,

Nothing like it has ever happened. The President of the United States, the elected representative of the people, has just told the head of General Motors -- a company that's spent more years at #1 on the Fortune 500 list than anyone else -- "You're fired!"

I simply can't believe it. This stunning, unprecedented action has left me speechless for the past two days. I keep saying, "Did Obama really fire the chairman of General Motors? The wealthiest and most powerful corporation of the 20th century? Can he do that? Really? Well, damn! What else can he do?!"

This bold move has sent the heads of corporate America spinning and spewing pea soup. Obama has issued this edict: The government of, by, and for the people is in charge here, not big business. John McCain got it. On the floor of the Senate he asked, "What does this signal send to other corporations and financial institutions about whether the federal government will fire them as well?" Senator Bob Corker said it "should send a chill through all Americans who believe in free enterprise." The stock market plunged as the masters of the universe asked themselves, "Am I next?" And they whispered to each other, "What are we going to do about this Obama?"

Not much, fellows. He has the massive will of the American people behind him -- and he has been granted permission by us to do what he sees fit. If you liked this week's all-net 3-pointer, stay tuned.

I write this letter to you in memory of the hundreds of thousands of workers over the past 25+ years who have been tossed into the trash heap by General Motors. Many saw their lives ruined for good. They turned to alcohol or drugs, their marriages fell apart, some took their own lives. Most moved on, moved out, moved over, moved away. They ended up working two jobs for half the pay they were getting at GM. And they cursed the CEO of GM for bringing ruin to their lives.

Not one of them ever thought that one day they would witness the CEO receive the same treatment. Of course Chairman Wagoner will not have to sign up for food stamps or be evicted from his home or tell his kids they'll be going to the community college, not the university. Instead, he will get a $23 million golden parachute. But the slip in his hands is still pink, just like the hundreds of thousands that others received -- except his was issued by us, via the Obama-man. Here's the door, buster. See ya. Don't wanna be ya.

I began my day today in Washington, D.C. I went to the U.S. Senate and got into their Finance Committee's hearing on the Wall Street bailout. The overseers wanted to know how the banks spent the money. And many of these banks won't tell them. They've taken trillions and nobody knows where the money went. It certainly didn't go to create jobs, relieve mortgage holders, or free up loans that people need. It was so shocking to listen to this, I had to leave before it was over. But it gave me an idea for the movie I was shooting.

Later, I stopped by the National Archives to stand in line to see the original copy of our Constitution. I thought about how twenty years ago this month I was just down the street finishing my first film, a personal plea to warn the nation about GM and the deadly economy it ruled. On that March day in 1989 I was broke, having collected the last of my unemployment checks, relying on help from my friends (Bob and Siri would take me out to dinner and always pick up the check, the assistant manager at the movie theater would sneak me in so I could watch an occasional movie, Laurie and Jack bought an old Steenbeck (editing) machine for me, John Richard would slip me an unused plane ticket so I could go home for Christmas, Rod would do anything for me and drive to Flint whenever I needed something for the film). My late mother (she would've turned 88 tomorrow if she were still with us) and my GM autoworker dad told me in the kitchen they wanted to help and handed me a check for an astounding thousand dollars. I didn't know they even had a thousand dollars. I refused it, they insisted I take it -- "No!" -- and then, in that parental voice, told me I was to cash it so I could finish my movie. I did. And I did.

So on that March day in 1989, as I was driving down Pennsylvania Avenue, my 9-year-old car just died. I coasted over to the curb, put my head down on the steering wheel and started to cry. I had no money to take it in to be repaired, and I certainly had nothing to pay the tow truck driver. So I got out, screwed the license plates off so I wouldn't be fined, turned my back and just left it there for good. I looked over at the building next to me. It said "National Archives." What better place to donate my dead car, I thought, as I walked the rest of the way home.

Though it wasn't easy for me, I still never had to suffer what so many of my friends and neighbors went through, thanks to General Motors and an economic system rigged against them. I wonder what they must have all thought when they woke up this Monday morning to read in the Detroit News or the Detroit Free Press the headlines that Obama had fired the CEO of GM. Oh -- wait a minute. They couldn't read that. There was no Free Press or News. Monday was the day that both papers ended home delivery. It was canceled (as it will be for four days every week) because the daily newspapers, like General Motors, like Detroit, are broke.

I await the President's next superhero move.

Yours,
Michael Moore
MMFlint@aol.com
MichaelMoore.com
(Go State!)

P.S. Please know that it has not been lost on any of us from the Rust Belt how our corporate bigwigs were treated (remember, the auto companies wanted a loan, not a handout) compared to how the titans of Wall Street got trillions of free cash, lunch at the White House and a photo op with the Prez. Trust me, we get it. And, if there is a God in heaven, the thieves of Wall Street will soon pay. Also... the sight of our president having to promise that he would back every GM warranty and give consumers a bonus if they trade in their old Grand Am for a hybrid, was alternately sad, hilarious, and just plain weird. This is what it's come to: the Commander in Chief of the Free World is now Mr. Goodwrench. Jeesh.

Letter to the "Nissan Senators" from a Ford Dealer

I found this posted on another blog I read sometimes...PA for Change..so I am cross posting it here. I think it is very telling. My uncle and I were talking about some of these very things earlier today.

I am thankful that Pres. Bush has done the proper thing and give the auto manufactors a chance to make themselves healthy. Hopefully, by giving them this loan this will hold them until they can restructure and give the credit market time to right itself and people will begin to buy again.



As I watch the coverage of the fate of the U.S. auto industry, one alarming and frustrating fact hits me right between the eyes. The fate of our nation’s economic survival is in the hands of some congressmen who are completely out of touch and act without knowledge of an industry that affects almost every person in our nation. The same lack of knowledge is shared with many journalists whom are irresponsible when influencing the opinion of millions of viewers.
Sen. Richard Shelby of Alabama has doomed the industry, calling it a dinosaur. No Mr. Shelby, you are the dinosaur, with ideas stuck in the ’70s, ’80s and ’90s. You and the uninformed journalist and senators that hold onto myths that are not relevant in today’s world.

When you say that the Big Three build vehicles nobody wants to buy, you must have overlooked that GM outsold Toyota by about 1.2 million vehicles in the U.S. and Ford outsold Honda by 850,000 and Nissan by 1.2 million in the U.S. GM was the world’s No. 1 automaker beating Toyota by 3,000 units.
When you claim inferior quality comes from the Big Three, did you realize that Chevy makes the Malibu and Ford makes the Fusion that were both rated over the Camry and Accord by J.D. Power independent survey on initial quality? Did you bother to read the Consumer Report that rated Ford on par with good Japanese automakers.

Did you realize Big Three’s gas guzzlers include the 33 mpg Malibu that beats the Accord. And for ‘09 Ford introduces the Hybrid Fusion whose 39 mpg is the best midsize, beating the Camry Hybrid. Ford’s Focus beats the Corolla and Chevy’s Cobalt beats the Civic.

When you ask how many times are we going to bail them out you must be referring to 1980. The only Big Three bailout was Chrysler, who paid back $1 billion, plus interest. GM and Ford have never received government aid.

When you criticize the Big Three for building so many pickups, surely you’ve noticed the attempts Toyota and Nissan have made spending billions to try to get a piece of that pie. Perhaps it bothers you that for 31 straight years Ford’s F-Series has been the best selling vehicle. Ford and GM have dominated this market and when you see the new ‘09 F-150 you’ll agree this won’t change soon.

Did you realize that both GM and Ford offer more hybrid models than Nissan or Honda. Between 2005 and 2007, Ford alone has invested more than $22 billion in research and development of technologies such as Eco Boost, flex fuel, clean diesel, hybrids, plug in hybrids and hydrogen cars.
It’s 2008 and the quality of the vehicles coming out of Detroit are once again the best in the world.

Perhaps Sen. Shelby isn’t really that blind. Maybe he realizes the quality shift to American. Maybe it’s the fact that his state of Alabama has given so much to land factories from Honda, Hyundai and Mercedes Benz that he is more concerned about their continued growth than he is about the people of our country. Sen. Shelby’s disdain for “government subsidies” is very hypocritical. In the early ’90s he was the driving force behind a $253 million incentive package to Mercedes. Plus, Alabama agreed to purchase 2,500 vehicles from Mercedes. While the bridge loan the Big Three is requesting will be paid back, Alabama ’s $180,000-plus per job was pure incentive. Sen. Shelby, not only are you out of touch, you are a self-serving hypocrite, who is prepared to ruin our nation because of lack of knowledge and lack of due diligence in making your opinions and decisions.

After 9/11, the Detroit Three and Harley Davidson gave $40 million-plus emergency vehicles to the recovery efforts. What was given to the 9/11 relief effort by the Asian and European Auto Manufactures? $0 Nada. Zip!

We live in a world of free trade, world economy and we have not been able to produce products as cost efficiently. While the governments of other auto producing nations subsidize their automakers, our government may be ready to force its demise. While our automakers have paid union wages, benefits and legacy debt, our Asian competitors employ cheap labor. We are at an extreme disadvantage in production cost. Although many UAW concessions begin in 2010, many lawmakers think it’s not enough.

Some point the blame to corporate management. I would like to speak of Ford Motor Co. The company has streamlined by reducing our workforce by 51,000 since 2005, closing 17 plants and cutting expenses. Product and future product is excellent and the company is focused on one Ford. This is a company poised for success. Ford product quality and corporate management have improved light years since the nightmare of Jacques Nasser. Thank you Alan Mulally and the best auto company management team in the business.

The financial collapse caused by the secondary mortgage fiasco and the greed of Wall Street has led to a $700 billion bailout of the industry that created the problem. AIG spent nearly $1 million on three company excursions to lavish resorts and hunting destinations. Paulson is saying no to $250 billion foreclosure relief and the whole thing is a mess. So when the Big Three ask for 4 percent of that of the $700 billion, $25 billion to save the country’s largest industry, there is obviously oppositions. But does it make sense to reward the culprits of the problem with $700 billion unconditionally, and ignore the victims?

As a Ford dealer, I feel our portion of the $25 billion will never be touched and is not necessary. Ford currently has $29 billion of liquidity. However, the effect of a bankruptcy by GM will hurt the suppliers we all do business with. A Chapter 11 bankruptcy by any manufacture would cost retirees their health care and retirements. Chances are GM would recover from Chapter 11 with a better business plan with much less expense. So who foots the bill if GM or all three go Chapter 11? All that extra health care, unemployment, loss of tax base and some forgiven debt goes back to the taxpayer, us. With no chance of repayment, this would be much worse than a loan with the intent of repayment.

So while it is debatable whether a loan or Chapter 11 is better for the Big Three, a $25 billion loan is definitely better for the taxpayers and the economy of our country.

So I’ll end where I began on the quality of the products of Detroit . Before you, Mr. or Ms. Journalist continue to misinform the American public and turn them against one of the great industries that helped build this nation, I must ask you one question. Before you, Mr. or Madam Congressman vote to end health care and retirement benefits for 1 million retirees, eliminate 2.5 million of our nation’s jobs, lose the technology that will lead us in the future and create an economic disaster including hundreds of billions of tax dollars lost, I ask this question not in the rhetorical sense. I ask it in the sincere, literal way.

Can you tell me, have you driven a Ford lately?

Perceptions of Detroit Are Miles From Reality

Washington Post

Perceptions of Detroit Are Miles From Reality

By Warren Brown
Sunday, December 14, 2008; G02



Perception is everything, or almost everything.

If anything is to be learned from Detroit's beg-fest on Capitol Hill, it's at least that much.

Perception influences reality.

Thus we have the General Motors "confession," its "commitment to the American people" published on the second page of the Dec. 8 edition of Automotive News, an industry trade journal. It presents an object lesson in perception versus reality.


Reality: The "confession" is a rehash of sins committed by a GM that existed 20 years ago, stupidities so enormous -- pathetic product quality, dismal marketing techniques, all trumped by corporate arrogance -- they opened the ports to foreign competition and paved the way for defections of generations of American consumers to Toyota, Nissan and Honda.

* * *

Perception: It is that the GM of 20 years ago is the same GM today -- the same insular corporate culture, a Midwest car company wedded to the belief that the only good horsepower is more horsepower, a corporation unalterably opposed to even the most reasonable fuel economy and clean air regulations.

That is the GM and, by implication, the Detroit that Washington loves to hate -- the one whose corporate heads lawmakers were eager to decapitate when U.S. car executives came to Capitol Hill in recent weeks seeking billions of dollars in federal emergency loans.

Reality: That old GM disappeared in the early 1990s. It was replaced by a company that continued to make mistakes -- for example, initially establishing its Saturn group as a stand-alone company and wasting money on the horrid Pontiac Aztek crossover utility vehicle. But the new GM at least recognized its errors and moved with reasonable dispatch to correct them.

* * *

Perception: GM has refused to undertake a needed, major restructuring.

Reality: That's baloney. But seemingly intelligent politicians such as President-elect Barack Obama have been swallowing it. Even a cursory review of GM's corporate actions over the past decade shows that GM has invested much energy and enormous sums of money into integrating its once-too-far-flung global operations into one global unit; increasing product development, design and manufacturing efficiencies; and greatly improving product quality and innovation. But based on comments from Obama and House Speaker Nancy Pelosi (D-Calif.), to the effect that GM must stop resisting change, one wonders whether either of them has bothered reading Harbour Consulting, J.D. Power, or any other available, objective reports detailing GM's recent progress.

* * *

Perception: GM is opposed to making fuel-efficient vehicles. It is wedded to big trucks.

Reality: GM is no different from Toyota or Nissan -- or Suzuki. It is wedded to making money. Until a few years ago in a United States awash in cheap gasoline, that meant making as many trucks as possible, because light trucks, powered by U.S. consumer demand, were more than 50 percent of new-vehicle sales. Small, fuel-efficient cars barely constituted 4.5 percent of the market.

The problem there involved a U.S. Congress that refused to exercise leadership and tamp down consumer demand for petroleum by raising federal fuel taxes, as much as it did Detroit's alleged resistance to fuel economy.

* * *

Perception: GM was alone in pursuing truck dollars.

Reality: That's more baloney. Nearly all car companies doing business in the United States went after that money. But here's the kicker: An amalgam of Southern states gave hundreds of millions of dollars in tax incentives to GM's foreign rivals to build nonunion assembly plants in their region. Beneficiaries of those states' "business-friendly" policies included BMW, Nissan, Mercedes-Benz, Toyota -- all of which used taxpayer dollars to set up nonunion truck plants to go after the truck business dominated by union-represented GM, Ford and Chrysler manufacturing facilities.

They went after the truck money. Toyota launched and re-launched its Tundra pickup. Heck, even Suzuki has cobbled together a full-size Equator pickup.

* * *

Perception: GM does not know how to make small cars.

Reality: GM knows darn well how to make small cars. It's been doing so for decades in Europe, South America and Asia. The problem is, absent high fuel prices, GM has no earthly idea how to get Americans to buy small cars -- at a profit to GM.

* * *

Perception: Americans have been demanding the small cars that GM and Detroit refuse to build.

Reality: That's more perceptual junk. The reality is that most American consumers seek fuel economy only when pump prices are high. Take a look at what is happening now in the U.S. market for new vehicles. With average pump prices below $2 a gallon for regular unleaded, sales of small, fuel-efficient cars such as the Honda Civic, Toyota Corolla and Ford Focus have plummeted farther and more quickly than those in the general vehicle market.

The Civic that was hot in May 2008 with 53,299 sales was not in November with 17,690 sales, according to the Automotive News Data Center. Ditto the Corolla, 52,826 sold in May 2008 versus 21,807 sold in November; and the Focus, 32,579 sold in May versus 8,194 sold in November.

But Ford has been forced to restore two shifts and overtime work to meet demand for its re-engineered 2009 F-150 pickup truck . . . and Nissan is retooling its taxpayer-assisted, nonunion plant in Canton, Miss., to take on Detroit in the commercial truck arena.

* * *

Perception: All Detroit needs is deep restructuring and federal bailout money for long-term viability.

Reality: Wrong. Detroit needs what America sorely needs -- a Congress with the leadership chutzpah to devise and implement industrial and energy policies that will help to keep native manufacturing industries alive. Detroit's problem isn't poor products or lack of products. It's a national government still wedded to the debilitating siren song of cheap gasoline. It's a nationally collapsed financial system. And it's governmental hypocrisy -- our willingness to pour tax dollars into foreign enterprises, most of them not unionized, while griping about doing the same for homegrown, unionized manufacturers largely responsible for building America's middle class.

Details about the Auto Bridge Loan Failure

Last night a cadre of Senators drove General Motors and Chrysler to the brink of bankruptcy by voting against a $14 billion program to provide bridge loans to the auto companies. The loans have already been agreed to by President Bush and the House of Representatives.

Sixty votes were required to end a filibuster of the bill before final passage, and the vote was 52-35. A batch of conservatives, led by Senator Bob Corker (R-TN), objected to it because they wanted to squeeze even more wage and benefit cuts from factory workers who belong to the United Auto Workers.

The $700 billion Emergency Economic Stabilization and Recovery Act — which created the TARP — passed in October, and included fewer strings and employee wage and benefit cuts than the auto loan package. Yet, there were 20 senators who voted in favor of rescuing the financial system, while voting against extending a $14 billion loan to the automakers. Ten others voted yes to the former and did not cast any vote last night.

These lawmakers were willing to write a huge blank check to Wall Street that gave AIG $123 billion, Citigroup $25 billion, and JP Morgan $25 billion, yet left America’s domestic auto industry out to dry. Had eight of these 20 voted for the White House proposal, the auto companies would avoid catastrophe this year:



Yes to TARP, No to auto
Sen. Max Baucus (D-MT)
Sen. Robert Bennett (R-UT)
Sen. Richard Burr (R-NC)
Sen. Saxby Chambliss (R-GA)
Sen. Tom Coburn (R-OK)
Sen. Norm Coleman (R-MN)
Sen. Bob Corker (R-TN)
Sen. John Ensign (R-NV)
Sen. Chuck Grassley (R-IA)
Sen. Judd Gregg (R-NH)
Sen. Orrin Hatch (R-UT)
Sen. Kay Hutchison (R-TX)
Sen. John Isakson (R-GA)
Sen. Jon Kyl (R-AZ)
Sen. Blanche Lincoln (D-AR)
Sen. Mel Martinez (R-FL)
Sen. John McCain (R-AZ)
Sen. Mitch McConnell (R-KY)
Sen. Lisa Murkowski (R-AK)
Sen. John Thune (R-SD)



Yes to TARP, Absent for auto
Sen. Lamar Alexander (R-TN)
Sen. Joe Biden (D-DE)
Sen. John Cornyn (R-TX)
Sen. Larry Craig (R-ID)
Sen. Lindsey Graham (R-SC)
Sen. Chuck Hagel (R-NE)
Sen. John Kerry (D-MA)
Sen. Gordon Smith (R-OR)
Sen.Ted Stevens (R-AK)
Sen. John Sununu (R-NH)


Some of the those who were absent for the vote had understandable reasons, of course. Kerry was in Poznan, Poland, representing the United States at United Nations climate change talks, while Biden was attending to transition duties and Alexander was home recovering from surgery.

In any case, hopefully President Bush will loan money from the Troubled Assets Relief Program to ensure that GM and Chrysler avoid bankruptcy for the next several months, thus enabling them to restructure, recover, and thrive by building the super fuel efficient cars of the future.

Also this statement from a press conference by the UAW this morning regarding the failure of the Senate vote last night, Gettelfinger provided details on the negotiations with Senator Robert Corker (R-TN):

"We reached a tentative agreement with Sen. Corker," Gettelfinger said, "with the understanding he could win approval from the Republican caucus in the Senate. Unfortunately, he was unable to do so."

The tentative agreement reached with Corker, Gettelfinger said, would have required bondholders, as well as the independent trust established to provide health care for UAW retirees -- the Voluntary Employee Beneficiary Association (VEBA) -- to exchange a large portion of their claims for stock in the companies.

"These agreed-to changes," Gettelfinger said, "would have made an enormous difference and a major contribution toward resolving the companies' financial problems."

The tentative agreement reached with Corker also called for the proposed auto czar to ensure that wages and benefits paid to active UAW employees at domestic automakers would be competitive with compensation paid to workers at foreign-owned transplant factories.

"It's unfortunate that Sen. Corker was unable to persuade his colleagues to accept the agreement we negotiated, which included substantial additional sacrifices by our members," said Gettelfinger.

The stumbling block was a demand by the GOP caucus that UAW workers and retirees had to be treated differently from all other stakeholders, instead of requiring all parties to come to the table.

"This demand is not only unfair, it is unworkable," said Gettelfinger. "Modifying wages and benefits alone cannot solve the structural and financial problems faced by the domestic auto industry."

Also at this presser Ron Gellelfinger was asked about the possibility of the Republicans wanting to "bust the unions" His reply was to read them an email he had been sent that had had the to and from area's redacted. It should also be noted that later in the day Sen. Corker was asked about this email by Norah O'Donnell from MSNBC. He did NOT deny the existence of it nor did he deny receiving it. He did say he did not attend the meeting as he was at another meeting in another room at the time. Here is a copy of that email.

From:

Sent: Wednesday, December 10, 2008 9:12 AM

To:

Subject: Action Alert -- Auto Bailout

Today at noon, Senators Ensign, Shelby, Coburn and DeMint will hold a press conference in the Senate Radio/TV Gallery. They would appreciate our support through messaging and attending the press conference, if possible. The message they want us to deliver is:

1. This is the democrats first opportunity to payoff organized labor after the election. This is a precursor to card check and other items. Republicans should stand firm and take their first shot against organized labor, instead of taking their first blow from it.

2. This rush to judgment is the same thing that happened with the TARP. Members did not have an opportunity to read or digest the legislation and therefore could not understand the consequences of it. We should not rush to pass this because Detroit says the sky is falling.

The sooner you can have press releases and documents like this in the hands of members and the press, the better. Please contact me if you need additional information. Again, the hardest thing for the democrats to do is get 60 votes. If we can hold the Republicans, we can beat this.


The Republican's came up with an alternative on Thursday, and presented it Friday morning at what is mostly known as the " 11th hour" which as we all know is way too late.

The “alternative” was all of two pages, one of which is spent criticizing the proposal passed by the House. With the remaining page, conservatives reveal that their plan for helping “the Big Three to become competitive again” amounts to busting their union. After stating that United Auto Workers hold “to concessions already made” conservatives demand that the union:

Concedes the elimination of Supplemental Unemployment Benefits; Concedes elimination of the Jobs Bank Program; Agrees to either reduce company retiree health care obligations or otherwise convert a portion of such obligations into equity; and Agrees to reduce wages and benefits to the levels paid by non-Big Three manufacturers.

Sen. Jim DeMint (R-SC) said yesterday on NPR that, in regards to an auto loan, “we’re not going to do it with the barnacles of unionism wrapped around their necks.”

First, it is worth pointing out that the UAW has already agreed to suspend the Jobs Bank, and delay automaker payments to a retiree health care fund. Furthermore, the union has implemented a plan to permanently shift retiree health costs into a UAW trust fund in 2010. Therefore, the second and third “concessions” that conservatives are demanding have, for all intents and purposes, already happened.

The other two “concessions,” however, are where the trouble really begins. The last one implies that Big Three workers are paid substantially more than their non-Big Three, non-unionized counterparts. However, as the New York Times and the New Republic pointed out, UAW workers don’t earn significantly more in hourly wages. The first, meanwhile, calls for cutting unemployment benefits at a time when economists and lawmakers are advocating extended benefits as an important response to the financial crisis.

Ultimately, these union-busting demands are counterproductive. As David Madland and Harley Shaiken note, “unions help foster a competitive high-wage, high-productivity economic strategy“:

Unionization and high worker productivity often go hand-in-hand. Fairness on the job and wages that reflect marketplace success contribute to more motivated workers. Given the pressures of globalization and competitiveness today, unions have been responsive to increasing productivity and embracing new innovations.

The UAW has already conceded to help the Big 3 manage their financial troubles. New innovations — not a lower-paid, uncared for workforce — will help Detroit get back on its feet.

Demint claimed there will be "riots" if the automaker rescue occurs:
We're going to have riots. There are already people rioting because they're losing their jobs when somebody else is being bailed out. The fairness of it becomes more and more evident as we go along.

To put to rest the case of the wage difference...it is constantly being stated the UAW workers are paid more than the foreign car makers. Here is what was found in a study done by After Market News:

In that instance, Toyota Motor Corp. gave workers at its largest U.S. plant bonuses of $6,000 to $8,000, boosting the average pay at the Georgetown, KY, plant to the equivalent of $30 an hour. That compares with a $27 hourly average for UAW workers, most of whom did not receive profit-sharing checks last year. Toyota would not provide a U.S. average, but said its 7,000-worker Georgetown plant is representative of its U.S. operations.

So, when Sen. Corker said he thought the UAW members should get the same pay as the Toyota plant workers does that mean that they should get a raise of about $3.00 an hour since they are getting paid less than those non-union workers in Georgetown, KY??

Saving the Big 3 is our Patriotic Duty

During World War II, Ford factories were converted to build bombers and other weapons for the armed forces.

The attack on Pearl Harbor, on December 7, signaled America’s entry into WWII and it also created a national consciousness that brought together and united the country to the common goal of the defeat of our enemy.

At the time, American Auto Manufactures were called on to stop the production of cars and to begin producing things like tanks and guns to help make America victorious in the fight against fascism.

In WWII when America was threatened from the enemies of the world; the Auto Makers were there for America. So isn’t it ironic that now, during the biggest financial crisis, perhaps in the nations history, the Government doesn’t seem to feel any sense of commitment to the industry that help make the United States the most powerful nation on the planet.

It’s time to face the fact that our current crisis is just as big, if not bigger than what we faced in WWII, and that the auto industry is a key part of getting out of the crisis.

Rather than argue about whether or not the auto makers should have been producing SUVs over the last few years, we could begin retooling auto plants to begin making wind turbines and electric vehicles. Rather than demanding to see the Auto Makers business plans, we could be partnering with the auto makers to begin producing the technology we need to be energy independent.

Plant conversions could take place quickly, and rather than talking about letting workers go from their jobs, we could be talking about creating new jobs to help in the monumental task of freeing the nation from the rule of oil producing nations.

This would help our country solve the economic crisis, put people back to work, and help the Auto Manufactors all at the same time. Just as they re-tooled during WWII they could start doing the same now with some of the closed portions or their plants, or even the plants that are already closed, and start creating the things we need for the future.

However our leaders seem to be asleep or afraid to do this right now. Even though PE Obama has mentioned several times that is what he wants to do after he takes office, and others have mentioned it too, we could do this now. Or at least start.

We have to make sure the Auto Manufactors survive. It is a matter of National Security, it is a matter of Patriotic Duty. These companies made us a world power in WWII, without them we would not have survived the war. Our country would have failed and we would never have won that war. We have forgotten that part of our history, and don't realize how valuable these companies are. I can't see Nissan, Honda, or Toyota doing this retooling so we can build Tanks or Half tracks or Jeeps for us to fight a war with. Can you??