Posted on 07/05/2009 7:07:12 PM PDT by reaganaut1
When it was deciding where to build its new compact car, General Motors Corp. made a point of saying it would push politics aside and use strictly commercial criteria.
So Tennessee's three top officials were astonished last month, in a meeting with GM, when they were told the first two criteria were "community impact" and "carbon footprint" -- or how the choice would affect unemployment rates and carbon-dioxide emissions.
"Those didn't strike us as business criteria at all," said Tennessee Sen. Lamar Alexander, who was joined in the meeting by fellow Republican Sen. Bob Corker and the state's Democratic governor, Phil Bredesen. Those factors, Mr. Alexander said, "seemed odd for a company struggling to get back on its feet."
On June 26, after a monthlong competition, GM tapped an existing factory in Orion, Mich., pushing aside competing plants in Spring Hill, Tenn., and Janesville, Wis.
All the sites had merits, but the Michigan plant had additional attractions. It is embedded in a struggling state that is a Democratic stronghold. The Orion site, 35 miles from GM's Detroit headquarters, is also close to tens of thousands of current and former United Auto Workers union employees, whose pressure previously helped persuade GM to scrap plans to build the car overseas.
The area has one of the region's highest unemployment rates, at 12.4%, though the Wisconsin site's was even higher, at 12.9%. Janesville, by contrast, offered a less-expensive labor pool, according to people briefed on the plan. In Spring Hill, GM has a new, $225 million paint shop. The Orion plant's paint shop needs to be replaced.
Set to emerge from bankruptcy within weeks, GM declined to disclose the factors it weighed in picking Orion, but said the process was free of political meddling.
(Excerpt) Read more at online.wsj.com ...
It’s going to be a cold day at Algore’s house before I ever buy a GM or Chrysler product again.
Amazing to me that so few see the real implications of what is underway.
So find some way for the state to take the Spring Hill plant by emminent domain and sell it to someone who wants to make cars without the UAW and the federal government.
If this kind of decision making is going to be the norm at the ‘new’ GM, I would advise the UAW to sell its shares ASAP.
Two words -
Jennifer
Granholm
The UAW will want GM to be owned by it and the government precisely so that it can keep more jobs in UAW strongholds like Michigan.
...a policy which will actually cost the UAW jobs.
Good to see that GM has learned from its struggles. Wait, what?
I'm with you on this.
I really like my Equanox, but it will be my last GM and UAW vehicle.
“said the process was free of political meddling”
Uh, yeah. Sure. What-ever.
Hopefully some serious automakers will move to them areas and take advantage of good craftsmanship and a solid work ethic.(try finding that in a Union shop)
Does that include when Al runs the air conditioning at full blast, consuming a disproportionate amount of electricity?
Obama told them to pick Michigan. End of story. Hard to do as WI Gov Doyle is like a tapeworm up Obama’s butt. Granholm is a prettier liberal face.
Wouldn’t it be a strange turn of events if Conservatives shunned GM and Chrysler vehicles and only liberals bought the PC cars built by American legacy brands. Maybe then NBC would have to rig some foreign cars to explode with a pyrotechnic device. Previously I’ve bought Four Chevys, Two Buicks, a Dodge, and a Jeep, all used. It will be a major betrayal of allegiance to become a Ford or import guy. I hope some smaller innovative US alternative manufacturers spring up. What will I do with my “I’d rather push a Chevy than drive a Ford” T-shirt, and my “On a quiet night you can hear a Ford rust” front tag, or my “Heartbeat of America, Yesterday’s Chevelle” front tag?
Government Motors Corp is using POLITICAL assessments to make its decisions, not economic factors!
Yeah, it wasn't a meddle, it was an outright directive.
Same here, Amen.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.