Cars! Cars! Cars!

Why The Lies?

The UAW did not cause the problem Detroit is facing. Look, unions (especially the UAW) can be as corrupt as any other big organization. And the UAW should not get a pass just because they are a union. But in this particular case, the blame shouldn't be on them.

Sure the workers who put these cars together are paid well. Good for them. They got together and negiotiated for better health care and more money. The issue we don't get is how upset folks get when the UAW tries to get themselves a bigger piece of that sweet American apple pie. You know, the same pie that gets sliced up nice and big for CEOs all the time.

Anyway, the big issue here isn't UAW costs. Or the costs of retirees. The issue, as we've said for years, is that most car shoppers don't want what Detroit is making. For years no one had a choice as to what to buy, Detroit was it. Then came competition. If Detroit was rolling out the rides people wanted, the costs of the workers wouldn't come up. Or only when it was time to renegotiate the contracts (in which case there'd be talk of communists in the ranks of the UAW).

We're guessing this week there'll be a bailout announced and everything will be saved. In particular, the jobs of the CEOs who make the cars fewer and fewer want.

The auto bailout: Eat it, taxpayer!

Referenced articles
NY Times: $73 an Hour: Adding It Up

SSDD

Man, talk about talking it across the face! The economy is going down the toilet (free market, ha!), salaries are falling (or, at the very least, not keeping up with inflation) and now management is back at the bargaining table.

GM has managed to convince UAW to work for less -- a whoppin' $14 an hour. The only folks who are going to complain that these "unskilled workers" are still over paid are old, white dudes, so don't pay them any mind.

Meanwhile, in the other camp, we see that some management is doing exceedingly well. It's so fucking nice to the king.

Referenced articles:

autoblog: That was easy: UAW and GM agree on lower wages after six months of bargaining.

autoblog: Mullaly and other Ford execs made many millions in 2007.

Yes, we're well aware that one company is GM and the other is Ford, but it's not like compensation at GM is anything to sniff at. And Ford is going to use GM's deal as a reason to push hard against workers who are building Fords. Anyway, we found the contrast to be interesting.

How To Build A Better Car

Pay workers less. The Detroit News reports: GM: New hires will cost half as much under approved contract.

The only end result customers want to see is a better car. One that the company is proud of and shouts to the world, "This is a kick-ass car that won't let you down."

Anyway, it's interesting to see what the UAW agreed to:

• new hires will no longer receive tradition retirement benefits
• new hires we be paid half as much as current hourly employees
• workers in the jobs bank* will be pushed out if they refuse to take a job outside their line of work or refuse to travel less than 50 miles (one way) to work

Oh, man, the new** cars are gonna rock!

*The jobs bank thing is pretty weird. **The kick-ass CTS and kick-ass Malibu don't count since they were all done before this new union deal, so if they do kick-ass in the sales way (which they will), paying workers less has nothing to do with it.

Frenchies: Whoa! Go, America!

The New York Times reports: Auto Union Workers Walk Out at Chrysler.

Another strike, baby! This strike will probably only help Chrysler draw down their bloated inventory. Think about it: Not paying workers + not paying incentives to buyers for your vehicles = profit.*

We gotta wonder what Cerebus thinks of owning a car company now? Damned pesky union workers... always wanting their share.

*There's a bit of sarcasm in here that isn't coming through. Stupid internet.

GM: Less Choice For You! (Union Workers)

The Detroit Free Press reports: UAW deal with GM offers fewer health plans. We wonder whether GM management has the same plan. We'd bet not.

We look at this healthcare situation this way: If the UAW can't get a great deal, none of us can. We've read comments on our fellow car blogs where folks write: "It's time for the UAW to get into the real world and join the rest of us." We take that to mean where we all have crappy health coverage that costs too much. But why would anyone want others to be in the same crappy boat? Wouldn't it be better to be in the better boat? Now of course we're not suggesting everyone join the UAW. Rather, why not want the same benefits they have? Or your boss? Or your boss's boss?

This problem has been a long time coming, and it's only going to get worse. And even if workers are stripped of more and more benefits, the products we purchase are never going to get better, cheaper or safer because the healthcare for workers has been reduced. The only results of fewer benefits will be higher corporate profits and fatter bonuses for upper management. And sicker workers.

Here's a great read about The Labor Lessons GM Never Learned. And while this references GM, it applies to all corporations. And all workers everywhere.

So before you criticize the autoworkers union on healthcare,* remember, Where the unions go, we eventually all go.

*We're not saying the union shouldn't be criticized at all. Everything should be looked at with a critical eye. That's how you recognize successes and identify areas to improve. Whether it's unions, cars or Alison. Strike that last one. Alison is sooo perfect. Heck, anyone who gets to touch Dolly Parton is awesome!

Romulus Reject GM-UAW Deal

The Detroit News reports: Romulus engine plant workers reject GM-UAW deal.

Meanwhile, Klingons on Qo'noS were heard to say, "Kreeplah, gaaahjnworfnuchg." Vulcans, as usual, were quietly contemplating their options.

Shuttin' Down This Factory Town

Or nation. It's a national strike, baby! Autoblog reports: Talks with GM broken off, UAW officially on strike. There's lots of finger pointing going on right now we wonder who will cave first. GM? UAW? Rick? Ron?

As long as it means no more Monte Carlos coming off the assembly line, we're all for the strike. The Fatty Carlo was discontinued? Woohoo!

Lobbying Money

The Detroit Free Press reports: Pressure on GM goes up as talks drag on.

We hope to hell that GM is pressuring the U.S. government for universal health care because it's the only way to make these kinds of talks go smoother. In fact, we believe that if the U.S. had universal health care that the country would be even more productive and more innovative because by not having to work at a job that isn't truly a labor of love means one can focus on something that matters to them. And if you don't think cars matter to millions of people, well, boy howdy you got something wrong.

Anyway, GM, shoot some money over to congress and say "Get us universal health care, meng!"

For the record, we don't mean Ms. Clinton's health care plan. We haven't read up on it, so for all we know it's universal health care for cats. Heck, it's obvious that in 150 years people will look back on this time and say, "You didn't take care of each other back then?" In other words, they'll look back the way we currently look back on doctors who didn't wash their hands as they went from patient to patient. Gosh, that was way off topic.

Labor

OK, labor talks are doing to the on/off dance. Here's the latest:

The New York Times reports: Labor Talks With G.M. Are Recessed Without Pact.

The Detroit News reports: Talks resume; UAW execs tell members that 'major issues' still unresolved.

The Detroit News reports: Health deal could aid Ford most. Health care you say?*

The Detroit News reports: Signing bonuses may seal UAW deal. A signing bonus you say?

We sort of think of the UAW as the canary in the coal mine. Once they start losing ground, the rest of us poor slobs will follow suit. Health care costs are going to make it so impossible for many folk to take care of themselves that they'll find themselves in the emergency room of hospitals or, frankly, dead. If this country had a better health care policy, US companies would be far more competitive than they are. They'd also be better if they made Camrys and Accords**. Zing!

*Oh, relax. We're not saying we're voting for Hillary. But universal health care makes a lot of sense. Unless you are greedy and hate other people. **Remember when the Toyota and Honda messed with the name of their cars? Right! They didn't. Well, except maybe the Celica. Didn't it once say Celica/Supra on a Celica? Did we make that up? Long live the Suprica!

Gimme Gimme Gimme, No No No

The Detroit News reports: GM, UAW back at bargaining table.

Back at bargaining table:

UAW: How you doing, GM? Get some rest?
GM: Nein!
UAW: OK, where were we? Oh, right. Health care.
GM: Oh give it up. You want to live forever?
UAW: We just want our fair share. Is that so wrong?
GM: The AUW, the.

Sideshow Bob rulez.