When the automakers got a bailout, it was with the assurance that workers would be protected.
But now it turns out that this - like everything else under Bush - has been a Big Lie.
As a condition of the bailout for General Motors, the United Auto Workers and its local unions are now prohibited from going on strike, even if the need arises.
Let's not deceive ourselves into thinking this isn't a union-busting effort. If a union loses its power to strike, what else is it?
The deal also forces autoworkers to take a pay cut so that they only make as much as workers at nonunion auto plants.
All this after the Senate promised there'd be no pay cut?
How did this bailout even get approved with such a deliberate effort to weaken workers and their union?
The bailout is considered a loan to GM, but what incentive does GM have to pay back this loan, seeing how it requires almost no concessions by GM executives? Is this just a wink-and-nod to GM execs?
This bailout has to be renegotiated.
(Source: http://www.freep.com/article/20090108/BUSINESS01/90108111/As+a+condition+of+loan++UAW+cannot+strike+against+General+Motors)
Friday, January 9, 2009
Autoworkers banned from striking
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Inaccurate headline and inaccurate post. Autoworkers aren't banned from striking. GM's loan goes into default if a strike occurs. Autoworkers can still strike, but if they do GM has to give the money back. Maybe the company goes under or gets broken up, but they can strike if they like if GM breaks the UAW contract. If anything, GM is forced to abide by the contract to make sure a strike doesn't occur.
ReplyDelete(For the record, I oppose the auto bailout as I did the bank bailout)
From the Detroit Free Press:
ReplyDelete"The UAW and its local unions are barred from striking General Motors Corp. as long as GM has loans from the federal government..."
What part of that don't you understand, ScheffCo? They can't go on strike, because they are not allowed, because of this raw deal they got.
You also didn't address the forced pay cut.
It's poor wording and technically inaccurate. It should say GM is barred from receiving bailout money if a strike occurs. UAW are NOT barred from striking. The government has no authority to bar private sector workers from striking.
ReplyDeleteOn the pay-cut requirement, that's something GM will have to work out with UAW. My opinion: the government has no business attempting to set wages.
So you're saying minimum wage laws should be repealed now ScheffCo?
ReplyDeleteThat isn't what I said. But since you ask, yes they should be repealed.
ReplyDeleteYou're a loon Scheff.
ReplyDelete