Bush Offers Chrysler, GM $17.4 Billion Bailout—With Strings

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i I WAS NEVER IN THE JOBS BANK EITHER WORKED 6 AND 7 DAYS A WEEK 10 HOURS A DAY WITH NO TIME FOR FAMILY FOR 38 YEARS I WORKED HARD AND YOU WANT ME TO HAVE NOTHING. I GET $1100 A MONTH FROM GM PENSION THE REST FROM SOCIAL SECURITY I PAY 100% OF MY DOCTORS BILLS BECAUSE THEY DO NOT COVER IT AND YOU SAY I GET TO MUCH .IT WAS HARD GRUELING WORK TOO. IT IS A SHAME HOW UNINFORMED PEOPLE ARE. MY PENSION WAS 2200 WHEN I FIRST RETIRED BUT SOON AS I TURNED 63 THEY CUT IT IN HALF AND FORCE YOU ON SS FOR THE REST, I AM 64 NOW AND YES I HAVE EARNED IT

BRENT GARDNER of FL 9:36AM December 26, 2008

The main problem with your post is the statement "Retirees worked for those benefits". The UAW never worked! This is one of the main reasons the Big 3 is in this position. When a person can be in the Job Bank for 14 years (California plant) and never work during that time and get 95% of their pay, something is very wrong!
Your just lucky that that Bush is not the smartest guy in the world. A more intelligent President would have followed the advice of the Senate and let the Big 3 declare bankruptcy and re-organize.

of MI 7:29PM December 19, 2008

I realize that the big 3 failing is bad for the US and the world's economy, but in my opinion he didn't hammer the UAW enough in this deal.
The UAW had negotiated the workers' benefits to the point that the big 3 can no longer effectively compete with the transplants who operate in the non-union states. Certainly the UAW was looking out for the employees' and their own interests, but this has a limit...and they have exceeded by such a margin that radical reconstruction will be the only method to save the big 3 and the workers' jobs.
Understand the retirees have earned their pensions, but the current workers must learn to live without such a safety net, but alas its better to have a paying job now with reduced retirement benefits than no job...
My biggest issue with the UAW is the infrastructure that it must have to sustain itself. In my humble opinion maintianing the UAW's internal operation is a significant portion of the $29 per hour difference between the UAW and the transplant workers wages. I say eliminating the UAW will get the big 3 closer to the wages paid by the transplants, and allow the big 3 to compete once again.
Two more issues trouble me WRT the auto industry and its UAW. I'm wondering why:
- 53% of the autos sold in the US are from other than the big 3?
- the big 3 execs drove environmentally friendly cars to the congressional hearings (the second hearings), but how did the UAW president travel to DC...in a plane?
The days of big labor must end. The UAW has fulfilled its original purpose of creating a safe and decent paying work environment, but in the last few decades the UAW's greed and lack of foresight has caused the big 3 to become uncompetetive, unprofitable, and soon-to-be bankrupt. As President-elect Obama would say, "its time for a change from the ways of old."

Iggy1962 of AL 4:56PM December 19, 2008

Just so everyone understands. Retirees worked for those benifits. Not one penny came from the taxpayer. With GM paying healthcare and retiree benifits that money never came from the goverment/tax payers. These retiree still have to live and they spend more than 82% of all their pensions. These monies are spent on the same things every homeowner and family must have to survive. Home improvements and large ticket items plus the daily needs of food and vacations. Just about all this money helps all local and US states survive. Think about all the millions of dollars the hourly people have given to charity over the years to people in need. Think about it!

Chuck M of MI 4:27PM December 19, 2008

Read my post - Big 3 workers cost $75 an hour. I stand by my statement.
When you say "this number adds in every retiree that ever worked for the auto companies" you are unfairly combining retiree pensions (guaranteed by PBGC) and retiree health benefits. The former would be retained in bankruptcy, while the latter would not.
This is a scam, all right. Everyone stands to gain from bankruptcy except the UAW (including the workers!)

Kurt of VA 3:46PM December 19, 2008

If you think the autoworkers are actually getting $75 an hour you are wrong. This is a lie.
They get about $30 an hour. The rest is every possible take on every other benefit included plus adding in every retiree that ever worked for the auto companies. One headline today trumpets that GM retirees are getting 95% of their work pay. What percentage of GM employees actually make it to full retirement. What maybe 20 percent. How many die within 5 years of retirement what 50% of that ramaining group. Do the math. This is a scam.

mark of CA 2:08PM December 19, 2008

Do your community, your neighbor and yourself a huge favor; seek out and buy "Made in the USA" or "Locally Grown"

Gayle of NH 1:59PM December 19, 2008

The auto makes and most US based companies must bare the high costs of medical insurance for their employees, as we are the only developed Nation without a National Health Plan. What people don't understand it that there is no such thing as a free lunch; it's a case of "pay me now, or pay me later." Built into all our US good are those costs; so built into each car or truck are those costs. It is unfair to saddle US companies with these costs; they must be borne by all. Another reason why US goods may not be competitive; their costs include all that the manufacturers had to pay for employee health insurance. A Japanese company, for example, does not solely bear those costs. We need National Health Insurance; fair is fair.

Christine Harrison-Spalding of MA 1:48PM December 19, 2008

The UAW is an obstacle to continued employment at the Big 3, and will (given the opportunity) strangle GM and Chrysler - the goose that has been laying the golden egg. Looks like Bush just gave the UAW another 90 days to stangle the goose...
I don't disagree that business interests are not focused on worker's rights, but think about your Ponzi scheme statement - I can't see how you think Big 3 workers are "the bottom of the pyramid" when their labor costs are $75/hour. Do you think workers are car factories in the south, costing $49/hr, are being exploited?
We do agree this $17.4B loan is a stunt. The only question is whether it is a time-bomb set to drive GM and Chrysler into managed bankruptcy 90 days after Bush leaves office, or whether Obama will open the Federal Reserve to start giving the Big 3 some REAL money ($100B+).

Kurt of VA 1:00PM December 19, 2008

This is a stunt to crush the UAW as a symbol for further eliminations of all benefits for all workers nationwide. How is it that 40% of the corporations in America provided pensions and medical in the 50's and 60's and were still profitable. The business interests goal is city state feudalism were we the non special people are all peasants/slaves. We are now about to live the results of a Republican dream economy. An unsupportable Ponzi scheme where all the money is siphoned off from the bottom of the pyramid to the top and the bottom collapses.

mark of CA 12:36PM December 19, 2008