Well said, Nial...& there's not much in your response that I disagree with (though the last time I sat down with Jerri's cousins who retired from the UAW about the same time that I retired from the Army, they didn't have those expenses about which you spoke)...I was always happy when I got my dividend checks and, though I didn't agree with lots of things management & the UAW did, my stock value kept going up...so, I share some of the blame.
However, as much as the Big Three have to change lots of things inside their companies ( they have lots of things they need to do - actually the burden of the change; but not all of it!), I fully believe the UAW must make more concessions. Lemme show you something:
Ron Gettelfinger made $163,000 based on information found in the 2007 LM-2 reports for the UAW; his clerk typist made $58,000; his security guard made $87,000 and union organizers' average salary was $130,000.
Now, how are UAW members' dues spent? Marketable securities: $360.4 million, Black Lake Golf Course: $6.4 million, outstanding loans - including <span style="font-weight: bold">mortages</span>: in excess of $27 million (yes, the UAW is in the mortgage lending & real estate buisness!).
But, do those huge salaries & benefits & the money made from home & commercial real estate filter down to the members? One UAW contract between Electrolux/Local 442 (they make Frigidaire washers & dryers) has members making $11.80 per hour!
First of all, why is the UAW in the middle of washer & dryer manufacture, volleyball & tennis nets, fishing nets & twine, Powerbilt golf clubs, Radio Flyer wagons, Biolab pool chemicals, Trane central air conditioning systems (I own one - great product)? I mean, they're the United Auto Workers union! Or, have they made unions a big business & forgotten why they're there?
Also, how do they justify the disparity between the union elitists at their headquarters and many members? Think about it, a clerk typist at union headquarters makes $58,000 annually versus the roughly $22,656 (52 weeks of work, no overtime @ $11.80 per hour) for a Local 442 factory worker!
Why doesn't the UAW divest themselves of the golf course & get out of the mortgage & real estate business (wonder if the UAW will get a bailout on that portion of their business?)? And marketable securities? If they're not used solely for increasing pension funds but are, instead, just a side business for the UAW, they should also be divested.
I'm not anti-union...I remember back in the 50's & 60's how terribly employees in the southern textile industry were treated. My step-father's father worked in a "cotton mill" - non-union - & his working conditions were attrocious...I'd take his lunch to the mill on some days...noisy, smelly, stuff floating around in the air, hot, man, so hot that when I got to him to give him his lunch his clothes were dripping sweat...if a person got their hand or arm caught in a machine & was not able to work, there wasn't much help during that time...& I could go on...there was an industry that sorely needed a union to protect the employees...oh, & those mill employees' salary, pennies!
I guess I'm coming down as anti-UAW, I'm not...I'm saying that the Big Three management has alot of work ahead of them (actually the majority of the burden) but so does the UAW...both have to tighten their belts & work together, not in the usual antagonistic environment of the past.
Oh, has everyone forgotten that back in 1982 Ford & GM asked to be bailed out? The president back then said "NO" & suggested they work to become competitive....2008-1982 = 26 years! What have they done? When I decide on a longterm investment in a business, I look at their history. What's their history?
When we bail them out in 2009, they'll be back again in about 30 years as was British Leyland & as could have been Chrysler except for the leadership of Lee Iacoca. Heck, even back in 1979 when Iacoca went to Congress he didn't ask for a bailout - he asked for loan guarantees. And the Congress didn't lend Chrysler a penny! They only guaranteed the loans Iacoca later made (and paid off with interest!) with various lending institutions.
And the Fall of 1982 was the worst recession we've been in since the Great Depression! And we got through it without bailing out the Big Three!
I don't see any Iacoca's in either the Big Three or the UAW!