Let’s get this out of the way. The Big Three? FAIL. Bankrupt them. The chips will fall, thousands (10’s of thousands) will lose their jobs. Pain will be felt by everyone in the country
So. Be. It. I’d rather my tax $$ go to unemployment and to retraining than to the inbred dumb-asses that ran these once-great companies into the ground.
Case in point. FREEP, posts a weak-ass article
myths about Detroit automakers | Freep.com | Detroit Free Press
Let’s take this point by point:
Myth No. 1: Nobody buys their vehicles..Freep goes to great lengths to say how the big three outsell other manufacturers.
Mythbuster: Show me the money… If they are selling all these cars, why do they need cash?
Myth No. 2: They build unreliable junk
Mythbuster: And? ALL car makers got the memo back in the ’70s. Foisting crap on the consumer was a bad idea. If all of the Big Three’s cars are so good, why are they still losing sales? Why are they still bleeding cash? Also, pay very close attention to the specific makes and models listed in this myth. Feel the spin. Embrace the spin and hold on to your wallets.
Myth No. 3: They build gas-guzzlers
Mythbuster: See: Bamboozle If you compare the AVG CAFE standards across the board (not car by car, as the article implies, you will find that the FAIL-3 are way behind the rest of the world in fuel economy. Apples are not Oranges people.
Myth No. 4: They already got a $25-billion bailout: FREEP spin: None of that money has been lent out and may not be for more than a year. In addition, it can, by law, be used only to invest in future vehicles and technology
Mythbuster: Isn’t investing in future vehicles and technology EXACTLY what the FAIL-3 claim they will do with the NEW bailout $? WTF? Have they already consumed and digested the 1st $25BB. Show me the money!
Myth No. 5: GM, Ford and Chrysler are idiots for investing in pickups and SUVs.
From FREEP: “Toyota, Nissan, Mercedes-Benz and BMW have spent billions of dollars on pickups and SUVs because trucks are a large and historically profitable part of the auto industry.”
Mythbuster: Question #1 Who is sitting in front of Congress asking for a shit-load of your tax dollars? Question #2 Where did all of the money go from the “large and historically profitable part of the auto industry” See definition of “Bamboozle” above.
Myth No. 6: They don’t build hybrids: The Detroit Three got into the hybrid business late.
Mythbuster: To bad, so sad, buh-bye. Ask any of the Johnny-come-lately dot-com companies what it feels like to “get into the business late” and they’ll say “it feels like failure, bankruptcy and starting over”
Myth No. 7: Their union workers are lazy and overpaid. FREEP: Chrysler tied Toyota as the most productive automaker in North America this year, according to the Harbour Report on manufacturing, which measures the amount of work done per employee. Eight of the 10 most productive vehicle assembly plants in North America belong to Chrysler, Ford or GM.
Mytbuster: “most productive in North America?” Since when are cars exclusively built in North America? Ford’s most productive facility is in Brazil.
We are living in a global economy. The FAIL-3 have been milking this for their own benefit for years (decades, really). See “Bamboozle”
FREEP: The oft-cited $70-an-hour wage and benefit figure for UAW workers inaccurately adds benefits that millions of retirees get to the pay of current workers, but divides the total only by current employees.
This doesn’t even make sense on basic math or logic. The $70/hr number RIGHTLY includes retiree benefits. Somebody has to pay for them. If you buy a FAIL-3 car, YOU pay for the lame-ass contract negotiations of the FAIL-3.
FREEP: That’s like assuming you get your parents’ retirement and Social Security benefits in addition to your own income.
No, in fact that’s paying for the fat-cat salaries and bonuses of decades of greed from the FAIL-3 executives, managers, lawyers and no-value-add UAW sycophants. Do you think they get paid in credits from the good fairy?
The UAW contract requires high hourly and benefit payments by the FAIL-3 in order to pay for the lavish retirement and health care benefits from past employees. Look back at the contracts that the FAIL-3 agreed to years ago and you’ll find total capitulation to the UAW. In order to keep their massive salary and bonuses, the FAIL-3 execs have sold out the current workers.
FREEP: Hourly pay for assembly line workers tops out around $28; benefits add about $14. New hires at the Detroit Three get $14 an hour. There’s no pension or health care when they retire, but benefits raise their total hourly compensation to $29 while they’re working. UAW wages are now comparable with Toyota workers, according to a Free Press analysis.
This is a doozy (pun intended). Follow the math:
Top Hourly workers:
Pay = $28/hour, benefits=$14/hour. Total compensation $42/hour
New hires:
Pay = $14/hour, benefit=$15/hour. Total compensation $29/hour, w/no pension or health care.
See any problems here? If new hires are being paid MORE in benefits, but getting NO health care and NO retirement, then where is the $15/hr going? How stupid are FREEP readers? This is dumb on a 3rd grade math level.
The answer is pretty simple. The extra $15/hr in benefits goes to pay for the lavish contracts awarded to the UAW when times was good.
It’s time to let the FAIL-3 fall into bankruptcy. Resturcture, reorganize, unload themselves of the brain-dead management and fracture the industry into a thousand new entrepreneurial car makers.
Then the tax $$ can be spent on investment not mistakes.