GM, Chrysler and UAW

Chrysler is a privately owned corporation which Cerberus Capital Management owns over 80% of the firm and surprisingly, they also own 51% of GMAC Financing. The company itself has over 24 billion dollars in assets, yet will let Chrysler fall in order to get funding from the government to back it. It's amazing how large companies can get money from the government for simply being inefficient.

From Cerberus Chairman, John Snow,

Prepared Remarks of John W. Snow Chairman, Cerberus Capital Management Before
the National Press Club
July 18, 2007I want to thank Jerry Zremski, the
National Press Club president, for that very kind introduction.
When I was
last here back in 2004 in a former capacity, I talked about the incredible
resilience of our economy, the way it recovers and grows, and how it was such a
marvel of innovation. Well, much has happened since, but those fundamental
truths have prevailed.
Then, it was about using good tax policy to increase
investment, get the economy moving again, and thereby creating lots of good
jobs. Now, back in private life, I’m still excited to be talking about restoring
innovation and dynamism in our economy. And still, the key is the role of
investment. But now I have an insider’s view on what I believe is the best hope
for restoring our industrial base in this country: the growing role of private
investment in our economy.
I want to share with you today my thoughts about
this growing role, and in particular, about the return of Chrysler to American
ownership, brought about by private investment. I believe this has a lot to say
about how America can regain its competitive edge, and keep lots of good high
paying jobs here in this country. We’re also bringing a fresh face and a new
perspective to the auto industry—an industry that, truth be told, has lost some
of its standing and credibility here in the nation’s capital. So I’ll be sharing
some frank talk from a newcomer’s viewpoint.

So just last year they were talking about PRIVATE INVESTMENT, yet now they want PUBLIC MONEY. I say NO THANKS.

GM, who last year made a net income of -38.732 billion is asking for money as well. Let me get this straight, companies that can't manage to make a profit, are getting more money to repeat the same steps and come ask for money again? Doesn't make sense to me.

The UAW, who's unionized employees make on average $32.16 an hour plus $15 an hour in terms of benefits and the such including legacy retirement cost the company's $74.00 per hour per employee and the ironic thing is they have lost substantial ground and dug graves for many of the company's they unionized. The Great lie is that only 10 percent of expenses for unionized companies. Very not true based on info EVERYWHERE.

Fun Fact. Employees at Non-Union automobile plants make $45.00 an hour and their company's are not failing. Imagine that.

Protecting a worker is not done by bankrupting the company.