Stop blaming the unions for Big Three’s problems

I guess the problem with the American auto industry is not the inflexability of unions, after all. Who’d a thunk it.

At a news conference in Detroit, the U.A.W.’s president, Ron Gettelfinger, said that his members were willing to sacrifice job security provisions and financing for retiree health care to keep the two most troubled car companies of the Big Three, General
Motors and Chrysler, out of bankruptcy.

“Concessions, I used to cringe at that word,” Mr. Gettelfinger said. “But now, why hide it? That’s what we did.”

Labor experts said the ground given by the union underscored the precarious condition of the Detroit companies, as the U.A.W.’s own prospects for survival are also in doubt. “It is an historic and awfully difficult moment for the U.A.W.,” said Harley Shaiken, professor of labor studies at the University of California, Berkeley.

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Author: hankkalet

Hank Kalet is a poet and freelance journalist. He is the economic needs reporter for NJ Spotlight, teaches journalism at Rutgers University and writing at Middlesex County College and Brookdale Community College. He writes a semi-monthly column for the Progressive Populist. He is a lifelong fan of the New York Mets and New York Knicks, drinks too much coffee and attends as many Bruce Springsteen concerts as his meager finances will allow. He lives in South Brunswick with his wife Annie.

One thought on “Stop blaming the unions for Big Three’s problems”

  1. The unions were not the problem. Weak management was the past problem. They didn\’t have the stones to say \’no\’! Unfortunately, they escaped the \”scene of the crime\” with their salary, bonuses, stock, stock options, and the \”popular acclaim\” associated with their \”success\”. They got theirs and kicked the problem down the road. IMHO there is a flaw in the system. The executives\’ interests are not properly aligned with the stockholders and stakeholders. We need to construct a better mechanism. Perhaps it\’s Fifty Year Stock Options. Some how the Japanese manage to get a long term view in place. Why can\’t we? One thing is for sure, again imho, involving the gooferment won\’t solve anything.

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