Why is it we can give $750B to the banking industry without batting an eye (they debated it for less than a week or two), but we are making the Auto Makers grobble for 2%-3% of that? Since the banks have all of this new secured capital, why can't they lend the money to the auto manufacturers?
Because they want to kill the unions. I agree that the wages in the plants may have gotten too high. Technicians that have to know every system on the car are not paid as much as a guy that only installs doors all day long. However, we have to be humane about it. These fat union workers are human beings with bills and responsibilities. They are willing to take a cut in 2011, but immediately without time to prepare? How many of us would settle for that without a fight. Maybe if we redued it over a period of time, like the raises came they could prepare.
Cut the executives pays beofre the workers. If you cut theirs they still have millions, and what we cut-off of theirs would pay for alot of workers. All new highers (if any) should be at lower wages of course, and any money spent on new factories should be built in the US with lower paid workers (GM building a plant in Brazil is a disgrace).
Why doesn't the government stipulate that the bail-out money should be paid back as subsidies on new fuel efficient vehicles for the American people. We get a double stimulus package for the automakers in new sales since the imports could not offer the same subsidies. And the American people finally get something for our taxes. How much would a cheap fuel efficient vehicle be worth to you? Talk about a stimulus package for the American people. And we would replace a lot of old in-efficient cars that the poorer people drive now.
The government is going to bail the automakers out one way or the other, and they want to give a stimulus package to the people, we could do both at once. The money saved on car payments and fuel could be spent elsewhere.
Saying that American cars suck because the cars of the late 80's- early 90's is unfair. How often do you see old foreign cars. There are alot more 80's Caveliers on the street than 80's Carollas on the road. Alot of the cars of that era were junk from all of the manufacturers. They rotted out because of cheap steel and paint. The new Malibu,
Impala, G6, and G8 are good cars, but GM cannot shake the stigma of past sins.