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Growing up in michigan i know how much the economy of the state depends on the auto industry. All of my friends fathers were shop rats. Gm stands for Generous Motors. Way to generous in my opinion. A lot of the blame can be placed on the UAW. The amount of money GM pays to retirees and on their benefits is astounding. I dont know the number of people that are suckling on the GM teet but its huge.
A major restructuring is in order as we all know. The executives are grossly overpaid in that industry like so many others. People need to be rewarded for their performance, and management is no different. Pay someone a hefty salary and if they dont perform be done with them.
I may be way off here but if we had a national healthcare system wouldnt companies be able to spend the money that goes to pay for the healthcare of their employees on something that actually shows a return. Its not a bad thing to spend money if there is a return, if you dont get anything back its a waste. I know that the corporate taxes would increase to pay for something as massive as nationalized healthcare but it wouldnt be near as much as they spend on insurance.
I really think the big 3 need to be bailed out in some way. Yes there has to be stipulations. Real change needs to be done. Nobody wants to lose their jobs, and if the employees do lose their jobs the UAW will lose their dues. The union need to be a little more realistic with their negotiations.
Michigan is already at 8.5% unemployment. And the number is steadily rising. There is a trickle down effect of plants closing and the industry slowing down. As someone else mentioned the amount of aftermarket products, parts accessories etc being produced to go along with the cars is huge.
I really hope that Gm can make it back big with their electric cars and hybrid technologies that are going to be the future of the worldwide auto industry. The quality of the vehicles is good if not great in many models. They have a bad rap for making crap because of a long list of flops produced in the 80's and 90's.
My best friend works for GM at the proving grounds, has been there for 10 years now and is doing pretty well for himself. His wife just got laid off. 3 days later they found out she was pregnant with their first. He is really worried that his layoff might come on any given Friday.
Sorry for the long winded rant but its something i feel strongly about because it really is quite close to home.
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