Sen. Levin: Big three auto CEO's should resign

[babsbunny]

http://rawstory.com/news/2008/Levin_Auto_CEOs_should_resign_if_1116.html

Stephen C. Webster
Published: Sunday November 16, 2008



Sen. Carl Levin (D-MI), during a Sunday appearance on Meet the Press, assailed the CEO's of Detroit's big three auto makers and said they should resign if it meant the government would then provide rescue loans to the failing companies.

Asked by MSNBC's Tom Brokaw if he had relayed this opinion to General Motors Corporate Chairman Rick Wagoner, Sen. Levin remarked, "I’d be happy to tell Rick Wagoner that he ought to consider resigning if that is the difference between getting this kind of support and not."

[babylonsister]

1. This is going to be fun-not. nt

[madrchsod]

2. they really need to go

there has to be some talented people in those corporations that have the ability to get the job done. we need people with vision and discipline to guide these corporations into the future.

"where have you gone lee iacocca....."

[StreetKnowledge]

12. Agree Somewhat

Wagoner and Nardelli should go. I don't think Alan Mulally at Ford should, though. He gets it, unlike Wagoner and Nardelli.

GM should be headed by Roger Penske, no questions about it. Self-made millionaire, car fanatic, brilliant businessman, the man who brought the Smart to America.

[Kalyke]

17. Lee Iacocca's pride and mine:

Prettiest, smoothest and best running American car on the road today (I know. I'm on my fifth - and one of those was totalled by collision - not my fault - after only two years. The rest, I've kept for years and years and years.)

Oh - and here's mine.... I drive 320 miles per week on $20. Long live straight shifts:



Ain't nothing prettier than that on the road that is AFFORDABLE.

[madokie]

20. I have to agree with that last statement

[ladjf]

3. That is a good idea. nt

[gratuitous]

4. Let's not be heartless

Give 'em two weeks' severance pay. At the pay rate of their lowest-paid worker.

[customerserviceguy]

8. They've all got fat severance packages

and the bailout gives them one more pot of cash to loot before getting out of Dodge. Er, Detroit!

[valleyreport]

5. RE: Sen. Levin

Agreed. I worked for Ford for 9 years, and the idiots running the place shouldn't even be running a tab at the bar.

[goclark]

21. I agree ~ I have relatives that I love

dearly that work in management for FORD.

They got huge bonuses every year -- huge!

They got 3 cars for their family -- no problem in one way because those were probably brand new cars that would be sitting on the lots.

But ~ the salaries and the parties and the fancy travel locations were unending.

Even ten years ago I couldn't understand how they were managing to do that - now I know.

One of them was offered a buy out 2 years ago.
The husband has the BIG job and he is still "living large" just like before.

FIRE the CEO's, fire them now.

I was in the Detroit suburbs two years ago and I saw so many FOR SALE signs on so many expensive homes.

When I asked about it --- they didn't have a clue what was going to happen this year.

The FOR SALE signs gave me a clue that something was getting ready to crash -- now it has happened.

[Ichingcarpenter]

6. That's what I'm talking about

Good for Sen. Levin

[MindMatter]

11. They have made some stupendously bad decisions in the past couple of years

Obviously the obsession with pick-em-up trucks and gas-hogging SUVs, while not investing in high-efficiency vehicles, is the most outrageous executive failure.

But another big blunder that doesn't get reported is how all of these simultaneously came to the opinion that their biggest problem was that they were selling too many cars to the big rental fleets. Two years ago, they started pulling the rug out from that business. The car rental companies adjusted to this change by scaling down and raising rates, and most of them were doing OK until the general slowdown of the economy.

Talking about shooting yourself in the foot. While this change caused some adjustments at the rental companies, it was disastrous for the manufacturers because the car rental companies have the ability to take a million new vehicles a year. And then the rental companies supply good used cars back to the market, and most of those cars were sold to consumers by the Big-3's car dealers.

When the Big-3 pissed on the car rental companies, they adjusted by holding vehicles much longer, so there just aren't very many low mileage used cars available to dealers. So in one fell swoop, these idiots managed to screw up 35% of their new production volume plus a really important part of their used car business. This all happened before the economy tanked. This is exactly the sort of lousy decision-making that should get these guys canned.

[mcg]

7. They should show a little honor and resign in disgrace regardless,

whether or not there is a bailout. Why are they not being kicked out by the companies themselves?

They should not get any golden parachutes, in fact they should return the money they have gotten from the companies. They did not earn it. The notion that all rich people earn their money is ridiculous.

[Ichingcarpenter]

9. What do Japanese executives do when they leave dishonorable?

I seem to remember a little ritual. I don't think these guys have any shame though.

[Kalyke]

15. They kill themselves.

[poetsdream]

10. Agree. Tht would be my #1 requirement for approving bailout

Yeah! Throw the bums out!

[tabbycat31]

13. the banks should have done the same

[Kalyke]

14. Why? Bill Ford wanted to go Eco.

However, his president and board told him "NO!"

[amitta]

16. Levin's words are too weak

you don't suggest they resign. you DEMAND it.
you make even one penny CONDITIONAL on their resignation.
quit being such wimps, senator.

[Truth Teller]

18. Raw Story is always posting misleading headlines

When cornered, he said they should resign IF the bailout package were dependent on it. That's quite a bit different than we're led to believe by the headline. But that's how Raw collects their penny clicks.

[spanone]

19. so should bu$h* & cheney