What's Obama gonna do?

Date 11-19-2008 13:47

Is it really his choice? Can't congress pass the bill without him? If they send it to him, all he can do is veto. Then, they can override.

I suppose there might be enough resistance with the Republicans to block though.

Maybe bankruptcy would be the best thing for the big 3. They will emerge stronger with better products and a revamped workforce.
Either way, there will be layoffs which is not a good thing.

By js55

Date 11-19-2008 14:43

Along strict party lines they don't have enough votes to override a veto.
But can you imagine such a liberal President standing with the Republicans?
That would truly be a manifestation of his campaign promise. And quite amazing.
I'm not holding my breath though.

By sbcmweb (****)

Date 11-19-2008 14:41

Yep. That's a hard one to call. I have heard that if he did support a bailout, it's going to have some pretty stiff stipulations. But, who's to say? Any collapse of GM will devastate us, since GM has the only two new plants they have built in North America in the last 25 years, right here in Lansing, MI. They have invested WELL over 5 billion here in them & their workforce. Better buckle your seat belts & hold on tight!

It's gonna be interesting. Whatever happens.... S.W.

By Lawrence (*****)

Date 11-19-2008 16:18

I think being patient is the key (which is a hard thing to do with those bail out billions burnin a hole in Bush/Obama's pockets)

The unions should be given one more chance to revisit work rules that apply to cross utilization, wages and benefits for unskilled workers and reasonable layoff retirement protections for skilled workers... If the unions and management cannot come up with their own plan than a *controlled* bankrupsy needs to occur.

Bankrupsy need not kill the big 3. But it will negate unviable contracts..... Production can continue during the reorg, and maybe they can resurface lean and mean and compettitive with the foeign flag autos produced in the U.S.

At the same time (and I hate to agree with Pat Buchanan) a reasonable trade control with those foreign flags who assemble in the U.S. could allow for a greater amount of piece parts to be made in country.

70% of autos purchased by Americans are still produced in the U.S. The big 3 just have a smaller share... If they want to regain some of that share... They need to fix themselves, and throwing money at them will not make a fix unless the Big 3 decide to design and manufacture cars they can afford to sell and that means fixing labor issues FIRST.

By sbcmweb (****)

Date 11-19-2008 16:42

Hopefully, both parties CAN come to an agreement without a huge strike/scab hire happening as the result of a Chapter 11. I just feel, after being in the UAW & working for GM for 5 years, that it's unlikely they will be both be willing to make BIG sacrifices on BOTH sides. I sure hope I'm wrong on that one. I agree that if a bailout does occur, that it is STRICTLY controlled & that the current contracts are torn up for something more sensible & profitable for the company, while still providing a fair wage & most importantly, representation for the labor workforce.

Too many times poor management involves throwing money & or people at a problem. That's the easy way to fix it, but usually ineffective & unprofitable in the long run. It's sad that once the UAW finally did open up the contracts for renegotiation with the big 3 a few years back, the only changes that were made were superficial, paper shuffling changes in health care administration. NO real, tangible changes were made. They just shifted around the numbers on the books & said they were saving money, when in reality, it was little more than a hollow effort to satisfy the company & union heads without either party making ANY real sacrifice.

There's been too many years of shifting blame & sweeping the real problem under the rug in favor of treating the symptoms. I can't understand why both sides seem so unwilling to realize, or at least admit that. They could emerge from bankruptcy a stronger, leaner company, while keeping the union & giving some good assets to the union as well. But with Gettlefinger & the UAW refusing to budge on anything & Wagoner & the rest of the big 3 set in their ways of inefficient waste, I see nothing short of a total meltdown & eventual ejection of the UAW to getting the automakers back on track. Both sides could win in this. I don't believe it's going to happen that way though.

S.W.

By Kix

Date 11-19-2008 19:42

Does anyone know when this whole BIG 3 bailout is supposed to happen, if it even happens?

By js55

Date 11-19-2008 19:49

Well, considering that the Democrats consider the bail out a good thing they may wish to wait until Obama takes office so they can claim they were exclusively responsible. Which, of course, they would be. Dont want Bush gettin no credit. Which IMO works in his favor, though I doubt they'd see it that way.
Senate hearings are ongoing.

By DaveBoyer (*****)

Date 11-20-2008 03:59

Dana Corp.[what is left of it] continued operations through it's bankrupsy, and they had to contend with unions, so it may be possible for the big 3 to do so as well.

However this plays out, there will be a whole lot of people who have to accept a change in lyfestyle.

By sbcmweb (****)

Date 11-20-2008 04:04

Yeah. Either way, union stays or not, they will have to give up a lot or they'll be gone forever. I hope they have the sense to do the right thing when the time comes. We'll see.