Auto bailout requires union concessions

Funny how concessions weren't required when we bailed out Wall Street. But then Wall Street isn't an evil, blue-collar union.

DETROIT -- The bailout agreement between General Motors Corp. and the federal government includes terms aimed at blocking the United Auto Workers from going on strike while the union negotiates wage and benefit cuts with the auto maker over the next few weeks.

The terms are part of the agreement GM and the U.S. Treasury Department hammered out in December. They surfaced late Wednesday in a regulatory filing by GM and surprised union leaders, including President Ron Gettelfinger, people familiar with the matter said.

Treasury spokeswoman Brookly McLaughlin said that the no-strike provision was "included as a taxpayer protection" and that it could be waived if the government determines that was appropriate. The chances of a UAW strike are small because both sides are under orders from the government to work quickly to cut costs to help GM get on the path to recovery. The company and the union have until Feb. 17 to negotiate cuts. If they do, GM could be in line for additional loans.

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This is so obvious

The question is how to generate enough outrage for people to hit the streets. Honestly. From Katrina and funneling the money to their pals to the bail out to this, if someone isn't greasing the palms of our "officials" then they get shafted and especially anything to do with the middle class gets the shaft.

To make matters worse, the AFL-CIO seems to think the new Labor secretary is the cats meow. They are nuts! She cosponsored the STRIVE act, which targets Professional workers for labor arbitrage! That is supposed an AFL-CIO issue yet magically someone pushing a corporate agenda through Congress is Pro Labor???? I don't think so!

After watching those CBO numbers I am more just so disgusted. They are determined to run the U.S. into plain bankruptcy and destroy it. Seriously, if this continues that is what is going to happen.

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I don't think the UAW is bound by this

If you have the legal right to do something (like go on strike), the right cannot be taken away from you by a contract between two other parties. The agreement between the Administration and GM does not have the force of law, it is just a contract.

At worst, there may be a provision by which GM forfeits the aid if the UAW goes on strike. Somehow I doubt such a provision, if crucial, would survive past January 20.

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you sure?

Because through contract law, corporations force workers to train their replacements or be denied severance and then do confidentiality agreements which have "injunction relief" if a workers squeals on this abusive treatment.

I don't know if any of these contracts have been challenged, they sure should be and odds are they are not challenged because so often anything revolving around employment/contractor law it seems no attorney will take the case, the EEOC will not unless it's "harassment" or "discrimination" (cough) and the award amount won't cover attorney fees.

It seems to me that use of contract law is done all of the time to circumvent employment law, at least in California.

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You're right, legally

It's obviously unenforceable, but I don't think that was the intent. To me it looks rather like a ham-handed attempt to give the upper hand to corporate management during the upcoming negotiations (and anyone is surprised?). But as is typical for this bunch of goof-balls, it's pointless and ineffective...rather much like most everything they've done. The UAW gains no leverage from a strike when the product they're manufacturing isn't selling. Seriously, what's the point of that? And if management tries to force some unpalatable negotiating positions on the UAW, all they need to do is wait until Feb 17.

While I agree that people need to get into the streets to do something about the rampant looting and pillaging of the treasury, this is one example where laughter and jeering are the most appropriate response.

As an afterthought, if they're trying to establish some bogus precedent for a future mal-administration (way too much forward thinking for this group), once Jan 20 rolls around, the Obama team should simply nullify the provision as illegal and presto, no precedent.

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Auto Alternative to another bailout

Auto Alternatives (Affordable, Safe & Reliable): There are smaller, more efficient auto manufacturers that can replace the Big-3. For every $1 Billion dollars the federal government gives or guarantees for the Big-2 (soon to be 3), BG Automotive Group, could build 40 assembly plants (located in 40 separate cities where employment is needed), hiring 12,000 employees, and producing 600,000- 100% electric vehicles. We can save the jobs and save us from our dependence on foreign oil. The latter figures are for EACH $1 Billion dollar allocation. We would also be requiring more batteries/battery packs than the North American battery industry could produce. We would also require 600,000 U.S. made motors, computer systems, etc. to operate the vehicles. 100% of our components under the hood, including the power system, is made in America and assembled by Americans.

We have a huge demand, domestic and foreign for our electric vehicles, but do not have the funds required for the production expansion to meet the overall demand. BGelectricCars.com

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EP rules

Normally any comment which tries to link to some product site is grounds for immediate banning and not ok.

I let this one slide because there are start-ups, small companies trying to manufacture alternative vehicles and they should get assistance.

The problem with this post is the United States does not really have advanced manufacturing battery technology to date. I believe there are funds in the Stimulus to jump start advanced battery technologies but start ups, small manufacturing should also be getting some attention here, especially anything to do with innovation or advanced manufacturing.

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One of my dream inventions

Which still needs some work: A vacation RV toilet that includes the proper bacteria and "fuel cell blades" for a 48-volt, 4 12 volt circuit system, 12 volts of which would be required to run the circulating pump and mixing blades to keep the bacteria alive. The fuel cell blades would be alternating Ammonia and Methane separators- tech that is already in existence in Japan.

The up side? I think you could actually run the electric needs of an RV or electric boat off the system, if you had enough people on board.

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Maximum jobs, not maximum profits.