The Republican Opposition to Bailing Out Automakers Is Tied To Busting The Unions...

[Blackhatjack]

One guest after another on CNBC says they must be pushed into bankruptcy in order to free these companies from Union contracts and paying employees' benefits so that they can 'compete' with lower labor costs of car manufacturers overseas.

It is all about using the Bankruptcy Courts to destroy the unions involved with carmakers.

[Demeter]

1. Bust Management For a REAL Change!

It wasn't the unions who picked which models to build and sell. It wasn't the unions that pushed into shadow banking. It wasn't the unions who sent jobs and capital abroad.

The unions didn't do anything they weren't paid to do.

[TheKentuckian]

2. Of course. Are people smoking stuff that would allow you to think

they had some legitimate concerns for the greater good?

As soon as The Big 3 are gone they can get to business destroying wages for non-union workers. I'll be glad when people grasp that Lincoln, TR, nor Ike will be walking through the door anytime soon. The thugs we have now would make Nixon blush and hang his head in shame.

[zbdent]

3. the media has been trained (paid?) to call it a "BAILOUT" instead of a loan ...

as opposed to a regulation-free blank check that was given to the banking industry and AIG ... at the insistence of Bush & Co. ...

[Armstead]

4. Yup -- You hit the nail on the head

Let's blame American workers for the problems with the American economy.

Only when the US standard of living has descended to that of the poorest nation in the world can we once again be competative in global economy.

[Blackhatjack]

5. There is an arrogance in the guests' comments that is unmistakeable...

They are not addressing the fact that most Unions have compromised many times on wage/benefits issues of the years, and that there are solid medical/retirement benefits owed workers because those same workers accepted thoses promises in lieu of cash compensation in the past.

And yet the management of the Big Three continue to pull down huge salaries, bonuses and travel to Washington by individual private jets to beg for money from taxpayers.

[ourbluenation]

6. Is that legal?

I'm in the teachers union so I have no clue about the autoworkers situation.

[Blackhatjack]

7. Is filing bankruptcy legal? Sure. Denying them funding to avoid bankruptcy is legal also.

Once Chapter 11 bankruptcy is filed, the Bankruptcy Court has tremendous power over every aspect of the the continued operations of the bankrupt firm.

Stripping Union Contracts is within that purview.

[ourbluenation]

9. thx for the info. after bankruptcy could the workers organize again?

[Blackhatjack]

12. The Union Workers' Claims will be recognized by the Bankruptcy Court and ...

... just like other creditors those claims will be 'written down' or avoided.

However, the purpose of Chapter 11 Reorganization Bankruptcy is to allow a company to 'reorganize' under Court supervision without the pressure of creditors. It would be the 'reorganization' that the company would seek going forward that would likely kill off Unions since employee labor/benefits costs are presently a large percentage of overhead.

The Court would listen to all interested parties and make decisions that would allow the company to eventually emerge from Bankruptcy protection and succeed, or decide to convert the bankruptcy to a Chapter 7 Liquidation.

[kennetha]

8. Well there's one thing about this I agree with

But the Repugnants won't like it.

The auto industry does need to get out of the health insurance business. None of the Detroit's competitors have to pay for employee and retiree health insurance benefits. That's because in all industrialized countries except our own, health insurance is provided for by the government -- at much lower costs and with significantly better outcomes on average.

Time for single payer for so many reasons.

[OHdem10]

10. Absolutely, the Unions are the bain of their existence.

Also the Free Marketeers realize they must bring all auto Industry Salaries
down to that of the Lowest Paid among the Foreign Transplants.

"Until the Big Three have their expenses on the level with Honda they
cannot compete".

Globalization 101. Once they get them down then our Foreign Transplants
will have to go lwer to compete with China, India etc.

Wse cannot have American Workers making these obscene salaries.

[AlCzervik]

11. yup, the gop must be salivating over this.