The Auto Industry

Now we are supposed to decide the merits of a huge bailout for the auto industry. Several aspects apply to this question. The first thing to recognize is the fact that there has been dirty work afoot for many years. Collusion between the big Auto Workers Union and the big bosses in the industry has affected the quality and the cost of the manufactured products.

At the time of the last contract agreements all three of the top American auto makers had the option to ignore the union demands for more money and benefits. It was already evident that trouble was just ahead. For years, while the unions were sucking the industry dry, with the acquiescence of both the union and industry bosses, the employees were riding high with no thought for the future. They were making big bucks with huge benefits and turning out an infereor product.

After the Chrysler bail out, there was more attention to quality, across the board, but it was too late. A drive through any big three employee parking lot revealed more Toyotos and Hondas than the brands being turned out by the companies paying the bills. And that was true for the last twenty five years. There was no loyalty for the product by employees, no management effort to change the system, and no interest by the unions to lookout for the future welfare of the workers. All the unions wanted was for the dues payments to keep rolling in.

Now, in 2008, auto quality has gone up, but employee loyalty has not. Management has seen the futility of paying CEOs enormous salaries and bonuses for inadequate performance, and the unions are crying foul that their cash bucket will be empty if bankruptcy is declared by the companies.

Now is the time for colmmon sense. Now is the time for reorganization in the automobile industry. And now is the time to stop the unions from ruining the businesses that provide the jobs that support the economy of this country.