**What killed Detroit... **
1/3 US GOVT
2/3 UAW
I guess it could go either way...
Don’t remember the Author, but there is a Book out titled “What would General Motors Be Without the UAW ... PROFITABLE”
I find it interesting that congress whines that the ripple effect of closing these plants would harm so many, yet they didn’t care about the ripple effect when they closed military bases all across America.
The typical UAW worker doesn't care if the seal he's putting in is supposed to last 5 years or costs $1 more and is supposed to last 15 years. The bean counter in the headquarters does and chose the cheaper part which will break sooner.
I would add that a passive management that was willing to live with an uncompetitive situation played a key role. For decades, everyone involved with the US auto industry has been perfectly well aware of the cost disadvantages that they have been opperating with. However, the management has been very willing to not rock the boat to fix the fundamental problem, but instead focus on the the higher profit margin models, and trade declining market share for short term profits. Each generation of executives has been willing to kick the can down the road for the next generation to deal with.
Aren’t we talking about cars made in Michigan? I understand car factories in the south are doing well.
the Big 3 is like another freddie mac. Privatized profits and socialized risks just doesn’t work.
Who kills or destroys most everything? GOVERNMENT!
No. There's a reason its called a collective bargaining agreement. The big three's sackless management agreed to the UAW's demands. They should have had the foresight to take care of this problem while they still had the means to ride out the inevitable strike.