How can President-elect Barack Obama best help the auto industry?

[First Robin]

'Don't think it is specifically an organized union that I think about .... as much as well-led collaboratives. Again -- I am pretty much a fence-sitter on unions .... since my dad was a member of one his entire life - I saw the benefits they provided for us in the 50's and early 60's ..... that was before some union leaders started wearing cement shoes.

Robin .... if everyone worked their way up, there wouldn't be anyone at the bottom. So ... who would you hire to do those jobs? That's probably where the alien argument could come in to play. Just how much should we pay someone to pick strawberries? Should they make enough to buy insurance, pay rent, raise a family?? Where there is a job opening there is a need for someone to fill it - it isn't always as easy as you make it sound to work your way up. Well, just listen to me ... lol ... you'd think I was a democrat! Or am I??

That is where the next generation comes into play, they start at the bottom and work their way up and so on. That changed when the young people decided they wanted everything their parents had but didn't want to work for it. They want it NOW so they charged it on their credit cards and that is why we now hear that the average american household owes about $29,000.00 on credit cards. I know how hard it is to pay for insurance, my premiums were $690.90 per month for health insurance just for myself for several years prior to going on medicare at age 65. Now I pay $279.10 for my medicare supplement plus a lot of bucks for long term care plus my medicare premium. It really hurts to pay all of these premiums but it would hurt a lot worse if I didn't have insurance, 16 major operations so far and I have been living with an aoratic anurism for over three years. My medications cost me out of my pocket way over $500 per month but if I didn't buy them I wouldn't be walking. I just thank the good Lord I can buy them. I know what it is like to be poor, raising a family and trying to make ends meet, life hasn't always been easy for me but that is why I kept up with more education climbing up that proverbial ladder. Maybe that Donkey got inside of your Elephant exterior. LOL Would still love you even if you were a Democrate. I have lots of friends on both side of that fence. First Robin

 

[Lola's Mom]

Now you know why Ray would trade me for a good set of wheels -

 

[HOMEGAMEROOM]

Or at least a good set of run flats!

I'm sure the uncertainty of GM or Chrysler existing anymore in the future makes car buyers wary. I'm not sure I'd want to plunk down $XX,000 dollars for a car that might not have anyone to go to for warranty service.

I think the big problem with the US auto industry is that they had no motivation to build small fuel efficient vehicles when the American public kept buying big SUV's and so forth (yes, I also have an SUV, so I'm guilty as well). Most imported autos are headquartered in countries with very high taxes on gas, so they've been working on good fuel efficient vehicle for years.

But now that gas is cheap again, will we go back to our old ways?

 

[standby-V]

There also built in Tennessee and Kentucky where that's a good deal of money, so why is GM paying out $81.18 in one of the same states. I bet their living high on the hog down thar. Sueeeeeeeeeeeeeeeee

New numbers posted this week show the average cost of a GM line employee was $81.18 in 2006. In February 2008 after their offer to buyout 74,000 employees, that number dropped to $78.21 per hour overall cost.

I agree that number does not represent take home wages - it does reflect Their total benefit package though and its cost to GM. When passed on to the consumer, they estimate it adds $1,600 to the price of each automobile.

In today's world, $30 an hour is a very livable wage for some person who stands on a line plugging in bolts, plugs, screws, etc. The average assembly line job does not require a colllege degree and as such should not pay any more than 25-45% above the minimum wage even in a union environment. The wages paid to UAW members is nothing less than criminal.

Minimum education = minimum wage unless you possess splinter skills others do not have. If that is the case, the free market should dictate your wage.

On the other side is Toyota, whose non-union american employees earn a total of $35 an hour, which calculates out to about $600 per car passed to the consumer - giving Toyota a $1,000 advantage from the gitgo.

 

[standby-V]

Well I'm going to get up on the fence on RA and First Robin. I don't know how but they both have it right.

 

[Popbigguy]

New numbers posted this week show the average cost of a GM line employee was $81.18 in 2006. In February 2008 after their offer to buyout 74,000 employees, that number dropped to $78.21 per hour overall cost.

I agree that number does not represent take home wages - it does reflect Their total benefit package though and its cost to GM. When passed on to the consumer, they estimate it adds $1,600 to the price of each automobile.

In today's world, $30 an hour is a very livable wage for some person who stands on a line plugging in bolts, plugs, screws, etc. The average assembly line job does not require a colllege degree and as such should not pay any more than 25-45% above the minimum wage even in a union environment. The wages paid to UAW members is nothing less than criminal.

Minimum education = minimum wage unless you possess splinter skills others do not have. If that is the case, the free market should dictate your wage.

On the other side is Toyota, whose non-union american employees earn a total of $35 an hour, which calculates out to about $600 per car passed to the consumer - giving Toyota a $1,000 advantage from the gitgo.

I been thinking about these numbers,,,,,,, Maybe I got it wrong, but I wouldnt want to work for Toyota!! From all the other posts, it's been said that GM workers get roughly $30/hr. and with benefits it cost GM $1,600 per car. Quoted here, Toyota workers get $35/hr ( more wages, good for them) but it costs Toyota only $600 per car. Where's the $1,000 per car difference fit in? Benefits? Pity the "poor" Toyota workers, they must get no benefits! How else can you get a $1,000/car cost difference while the Toyota workers getting paid more?

Could you imagine in this day and age having no health insurance, no retirement, no 401K matching funds, no holidays,buying your own safety equipment, or worse yet, no safety on the job, being fired because of the herina operation you were off work too long, having to work during your spouse, child, parents funeral because they'll fire you if you miss work, being force to work 10, 12 or even 16 hour days and 6 or 7 day work weeks, NO VACATIONS (that's part of the cost too)!!! I'm rattling on here,,, I could do more.


P.S.
You know, a lot of these benefits I just listed, are here for everybody, white and blue collar workers, because of unions.

 

[standby-V]

Poppsy,
You got it right. I've been a union man for darn near all my life, except for a few ventures on my own and I still make a darn good living at it. When I couldn't climb poles and towers anymore my union came to my aid and fixed me up with what turned out to be a gravy job I have now.............Do I deserve it? Yes, I'm being paid for what I know now, not for what I do. I don't make $81.00 which include bennies, but I get darn close and when I work nights I get double time............again because of what I know.
A lot of companies wouldn't be where they are today if it wasn't for the unions. Anyone that bashes the union hasn't worked for them or had one of those crappy unions like law enforcement has and I could name many more that aren't worth paying dues for.
The unions came into exsistance when their was no safety in the work place, health benefits, decent days wage, sick leave, holidays off with pay, vacations.................Some people are just jealous and wish they had a good paying job which wasn't available back in the early 1900's. Lineman had a death rate of over 90 per cent until a man (wish I could remember his name) got tired of seeing his buddies die because they had no safety gear and started a union. These men used to wear felt caps which burn pretty quick when you stick your head into live wires.
Im done and I'm taking my soap box with me in case I need it again.

 

[mswaim]

There is no evidence that the Toyota employees receive fewer benefits. The costs listed by GM cover thousands of retired and current employees collecting over-the-top benefits even when idled. The single largest draw on GM right now is funding the retirement plans they foolishly agreed to in good times.

Toyota on the other hand pays a reasonable wage with great benefits and comes out on top.

Also - while GM, Ford and Chrysler lay off their workforce, Toyota is not and is not planning on doing so. In fact, Toyota spends the down time providing training and career development classes to their workforce. They use the time to conduct PM on their plants, do cleanup - even do community cleanup projects. Anything to keep their workers active and focused.

 

[Deluxe]

No matter how your dollars are scaled, the only thing that reliably and permanently affects living standards is productivity. The more efficient a company or an individual becomes, the higher standard of living they can enjoy.

 

[First Robin]

No matter how your dollars are scaled, the only thing that reliably and permanently affects living standards is productivity. The more efficient a company or an individual becomes, the higher standard of living they can enjoy.

How true that is!!!!! First Robin