uh oh, chrysler closing ALL plants for 1 mos

[Rsv1000R]

Originally Posted by ducati_atx

or we could continue paying them billions and billions of dollars to subsidize their losses. Perhaps we should just put huge tariffs on foreign auto imports so that we dont have to change a thing and pass the cost on to american people while we're at it.


This isnt a short term gig - the Big 3 have been pretty good at losing money well before the credit crunch and house bubble.

We haven't paid anything yet, and if they close it definitely will cost money, if it's a loan, and they can restructure their labor costs I think they can make it. But restructuring their labor will move the retires over to the federal program (or at least I believe it will). So that's going to be a wash.

[ducati_atx]

Originally Posted by Rsv1000R

We haven't paid anything yet, and if they close it definitely will cost money, if it's a loan, and they can restructure their labor costs I think they can make it. But restructuring their labor will move the retires over to the federal program (or at least I believe it will). So that's going to be a wash.

The problem is that people in congress who actually see their financial statements and do this for a daily basis now-a-days dont believe they can "make it."

In addition, the UAW has already said they wont take a pay cut cause it isnt their fault. Not sure how they get labor under control when their labor pool says no.

[Rsv1000R]

Originally Posted by ducati_atx

The problem is that people in congress who actually see their financial statements and do this for a daily basis now-a-days dont believe they can "make it."

In addition, the UAW has already said they wont take a pay cut cause it isnt their fault. Not sure how they get labor under control when their labor pool says no.

lol, you think the people in congress are qualified to read a financial statement, let alone understand the Auto Ind, most of them are lawyers!

Again, much of the problem is legacy cost. We are either going to let legacy cost put them out of business, possibly for good, or we're going to have to let them out of their labor contracts. In either case the tax payer is going to be hit with much of the legacy costs. Wouldn't you rather those 2-3 million keep working to pay some of those taxes?

[ducati_atx]

Originally Posted by Rsv1000R

lol, you think the people in congress are qualified to read a financial statement, let alone understand the Auto Ind, most of them are lawyers!

Again, much of the problem is legacy cost. We are either going to let legacy cost put them out of business, possibly for good, or we're going to have to let them out of their labor contracts. In either case the tax payer is going to be hit with much of the legacy costs. Wouldn't you rather those 2-3 million keep working to pay some of those taxes?

1) Im guessing that a lawyer (one who's been through post HS education for 6-7 years) who has managed to garner enough funds to get themselves into high levels of the government is more than able to read and understand a financial statement. We arent talking about the sub 80IQ "joe sixpacks" here. In addition, I assume the days and days worth of meetings going over such things as the Big-3's finances are a little more than reading a couple CNN articles.

2) Im guessing the cost of those employees on medicare would be much less than the "primo" benefits they are currently getting. Sure, they will take a drop in their benefits, but sometimes life takes a shit on people...

[Rsv1000R]

Originally Posted by ducati_atx

1) Im guessing that a lawyer (one who's been through post HS education for 6-7 years) who has managed to garner enough funds to get themselves into high levels of the government is more than able to read and understand a financial statement. We arent talking about the sub 80IQ "joe sixpacks" here. In addition, I assume the days and days worth of meetings going over such things as the Big-3's finances are a little more than reading a couple CNN articles.

2) Im guessing the cost of those employees on medicare would be much less than the "primo" benefits they are currently getting. Sure, they will take a drop in their benefits, but sometimes life takes a shit on people...

Well, this was what 15 years ago, But I'd be surprised they're more knowledgable about finances now than then (they just might not be able to get away with bouncing checks)

House Banking Scandal