Posted on 11/11/2008 1:42:51 PM PST by Fred
WASHINGTON -- House Speaker Nancy Pelosi said she will push legislation next week to help the ailing auto industry.
"I am confident Congress can consider emergency assistance legislation next week during a lame-duck session, and I hope the Bush Administration would support it," the California Democrat said in a statement.
Rep. Pelosi said she tapped House Financial Services Chairman Barney Frank (D., Mass.) to craft legislation that would give the industry "limited" assistance under the recently enacted Troubled Asset Relief Program.
"In order to prevent the failure of one or more of the major American automobile manufacturers, which would have a devastating impact on our economy, particularly on the men and women who work in that industry, Congress and the Bush Administration must take immediate action," she said.
The speaker added the assistance would be conditioned on limits on executive pay, rigorous independent oversight and other taxpayer protections "to ensure that any companies that benefit from this assistance -- and not the taxpayers -- bear the full burden of repaying any costs that are incurred."
The speaker's decision comes a few days after General Motors Corp. warned it is rapidly running out of cash, and Ford Motor Co. announced its situation was only slightly better.
The plight of the industry has drawn attention from the White House and the incoming Obama administration. Last week, President-elect Barack Obama prodded the Bush administration to do more to help the industry, and on Monday, he raised the issue with President George W. Bush in an Oval Office conversation meant to underscore a smooth transition of power.
Before adjourning for the elections, Congress passed legislation providing for $25 billion in government-backed loans to the auto makers to prod them to retool their factories to make more efficient vehicles.
(Excerpt) Read more at online.wsj.com ...
Tie it to a domestic energy and drilling bill. We have 4 times the Saudis reserves in the lower 48 in shale oil, coal diesel and oil in ND. Pelosi and the Dems winning Congress in 2006 wiped out the country and auto industry.
Also employees of bailed out companies take pay cuts or at least 10% until the money is paid back.
The UAW, that ran the US auto industry into the ground, is just reaping the reward of their tens of millions of campaign dollars given to the Democrats they bought for such a time as this.
Tell me what the wage and benefit package is for an auto worker....and I’ll tell you where the problem lies...
Why redirect any part of the $700 billion? Why not just create a new $700 billion?
$73.22 per hour; heard this yesterday morning on the radio
I will never buy a product from a bailout receiving company.
Bush hasn’t the balls or the will to veto, and blow the whistle.
Republicans should not show up.
How un-Free Market. Wall Street must be outraged. Or not.
Does Pelosi really think money grows on trees?
If so, I want one, too.
I have to agree. They should have skipped the first round. If McCain had he might have done better in this last election.
Noooo...they should just vote “present”...heheheheheh
“Tell me what the wage and benefit package is for an auto worker....and I’ll tell you where the problem lies...”
Sheesh...this union bashing is getting silly. Let’s look at the benefit packages of business owners, CEOs and bankers too! Looks like we know where the problems in this nation lie.
And getting a nice return on their investment.
NOTE TO BUSH: Go out with a bang! Veto this. We will have a far smaller UAW to campaign against us in 2010 and beyond, as GM is unlikely to make it to Jan. 20.
This is not what an employee makes, this is what it costs the company to employ a person per hour. You do realize that this is with all benefits, Social Security (company paid and personal), medicare, taxes, and other non-voluntary deductions, right?
Enough. The decision has just been made. My next, and for the first time, car purchase will NOT be any put together by the UAW. For 40 years and more, I’ve watched both the union and the democrats curse, vilify and slander every effort and product of the AMERICAN auto industry. Suddenly, the ship is sinking rapidly, and the rats who put the holes in the bottom of the ship, are running around in hysterical circles.
No, my next auto will NOT be from an AMERICAN company, but it will have been carefully and proudly assembled by AMERICAN workers.
The Auto Unions seem to have forgotten...the public now has a choice and it is saying,” you are fired.”
So we should enable further bad conduct just because others benefited?
There’s nothing that can be done for what’s already happened. We can only draw a line and say “no more.”
I predict that Congress will bail out the automakers 2 or 3 times and then will watch as they eventually go thru Chapter 11 reorganization.
I was listening to GM CEO, Porter Waggoner, as he talked yesterday. He said that if automakers go thru Chapter 11 they won’t be able to sell any cars. Well, I’ve got news for him...their car sales are already in the crapper.
Some of us came to this conclusion a long time ago and stopped enabling the unions. Oh well, better late than never.
I was going to say... how is “selling no cars” different than what they have now?
A spirited (!) discussion accompanies the chart.
I wish they would let GM sink or swim on its own. The arguments about all the jobs that would be lost if GM goes under are nonsense. People will still need to buy cars, and the companies who build them will need auto workers to build them.
ML/NJ
It is IMPOSSIBLE to imagine ANY house republicans supporting this, or GWB even trying to get them, after the massive setup on the financial bailout. Pelosi has a hell of a nerve with this crap. In fact, why would republicans even come back to Washington, come January its Pelosi/Obama’s economy, deficit , war, prisoners ,....
This is beyond comprehension. Even GWB wouldnt be that dumb, I hope!
So Barney Frank kills off the financial sector and Pelosi drives up gas prices so the car companies tank and Obamachev demands W act to bailout UAW retirees?
If I were W, I’d tell em to go pound sand.
Absolutely correct!!! If anyone loses under a Chapter 11 bankruptcy it will be the management (who stupidly agreed to the bad deals with the unions) and the union bosses (who have been actively destroying the automakers). The stockholders will take a hit too, but at today's low stock prices the hit won't be so bad...it'll be a capital loss tax write-off for most folks.
“This is beyond comprehension. Even GWB wouldnt be that dumb, I hope!”
Hey, look how much they have spent bailing out companies that don’t make anything. This auto deal is probably already a done deal.
Union Sundown ~ Bob Dylan
Well, my shoes, they come from Singapore,
My flashlight’s from Taiwan,
My tablecloth’s from Malaysia,
My belt buckle’s from the Amazon.
You know, this shirt I wear comes from the Philippines
And the car I drive is a Chevrolet,
It was put together down in Argentina
By a guy makin’ thirty cents a day.
Well, it’s sundown on the union
And what’s made in the U.S.A.
Sure was a good idea
‘Til greed got in the way.
Well, this silk dress is from Hong Kong
And the pearls are from Japan.
Well, the dog collar’s from India
And the flower pot’s from Pakistan.
All the furniture, it says “Made in Brazil”
Where a woman, she slaved for sure
Bringin’ home thirty cents a day to a family of twelve,
You know, that’s a lot of money to her.
Well, it’s sundown on the union
And what’s made in the U.S.A.
Sure was a good idea
‘Til greed got in the way.
Well, you know, lots of people complainin’ that there is no work.
I say, “Why you say that for
When nothin’ you got is U.S.-made?”
They don’t make nothin’ here no more,
You know, capitalism is above the law.
It say, “It don’t count ‘less it sells.”
When it costs too much to build it at home
You just build it cheaper someplace else.
Well, it’s sundown on the union
And what’s made in the U.S.A.
Sure was a good idea
‘Til greed got in the way.
Well, the job that you used to have,
They gave it to somebody down in El Salvador.
The unions are big business, friend,
And they’re goin’ out like a dinosaur.
They used to grow food in Kansas
Now they want to grow it on the moon and eat it raw.
I can see the day coming when even your home garden
Is gonna be against the law.
Well, it’s sundown on the union
And what’s made in the U.S.A.
Sure was a good idea
‘Til greed got in the way.
Democracy don’t rule the world,
You’d better get that in your head.
This world is ruled by violence
But I guess that’s better left unsaid.
From Broadway to the Milky Way,
That’s a lot of territory indeed
And a man’s gonna do what he has to do
When he’s got a hungry mouth to feed.
Well, it’s sundown on the union
And what’s made in the U.S.A.
Sure was a good idea
‘Til greed got in the way.
Copyright ©1983 Special Rider Music
On Average, GM, Ford, and Chrylser spend $2,400 more per vehicle than Toyota, Honda, or Nissan.
It’s a shame that Bob Dylan is totally incomprehensible when he sings or I could play this at union drones.
Veto! Veto! Veto!
Let’s see. I work for GM in management. The new hires get $14.00 per hour and no benefits. They stood in line for up to five days for these jobs in Ohio. 1100 of them are getting laid off as of now. GM is making a real push to retire /lay off the older workers who make more money. Any other questions? Oh, and starting next year the union will be responsible for benefits for current union workers and retirees. Any other questions?
They are going to bail out every single corporation that applies for it. With OUR MONEY.
Until our money is worthless.
Soon.
Right-well of course of government doesn’t subsidize GM as these other companies governments do. If Pres. Bush vetos a bailout for GM, the Repubs will lose the Midwest for a generation.
Just email Pelosi that you are never going to buy another American car or anything union. That way they don’t have to bail them out, the union workers will all be laid off. They didn’t care about the country when they voted Obama, why should we care about them now.
No they won't. You and I will be responsible for their benefits. Betcha.
How much do the guys in the job bank get per hour?
2-3 times the national averages.
If they cut wages to national average figures, the auto companies would be the most profitable big companies in America.
The unions sucked them dry & wrecked them - cut them in half, drove the remainder to bankruptcy - and now they want more.
Walk off a bridge...
No bailout, until after restructuring of deals with unions.
Are you saying that GM would amount to a subprime loan?
Now where have I heard about problems with subprime loans?
RE ‘This auto deal is probably already a done deal.’
You have reason to be bitter and expect the worst but the election with house republicans being tricked into the financial bailout losing seats tells me that democrats will have to go it alone this time. I would guess republicans are deeply bitter at democats, Bush and McCain, like WE have been for a while. I am saying we may have a smaller party but more principled, how much?? Time will tell.
If GM goes under - perhaps. The bridge loan does not require the government to cover pension or anything like that. GM merely wants a chance to survive the credit meltdown which those who have already been bailed out caused-in between taking their expensive trips and shafting their stock holders of course.
The treasury would turn a profit, bondholders would get hurt but no more than they already think they are, existing stockholders would be wiped out but the anyone brave enough to be a new one would be richly rewarded in the long run for helping save the American auto industry, and the UAW would only give up pipe dreams, while they'd all keep decent jobs paying a fair rather than an obscene wage.
I did say, if they were business-like. Expect them instead to just give $100 billion to the industry, which will just give it to the existing UAW vampires and let the companies die two years from now anyway.
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