August 2006 Weddings
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Zoe/others: auto industry mergers

Hey did you see the latest turn of events in the Chrysler debacle? They're now saying Chrysler will be sold in pieces to various manufacturers including Nissan and GM and "others" unlisted.

http://news.yahoo.com/s/ap/20081022/ap_on_bi_ge/chrysler

Re: Zoe/others: auto industry mergers

  • A girl on my local says Cerberus would prefer to sell Chrysler as one, but it looks like that's not happening, so now it's on to break and buy. I don't know why GM would buy a piece or two when it only needs Chrysler for its cash. Then again I don't know why they would want Chrysler at all so I shouldn't be surprised at anything anymore.

    My local is depressed.

  • imagezoegirlTX:
    imagecaden:

    My local is depressed.

    Urgh..I'm sorry! i can't even imagine how tough this is for everybody.  Do most of the retirees live/stay up there or do they go away?  Are they worried they are going to get their pensions cut?

    Most of the retirees I know now either live in FL or AZ or are "snowbirds" and have homes down south & in MI. The salaried retirees are probably nervous b/c they're not unionized and already had their gold star health benefits cut. The union retirees though have a contract. I think once the UAW controls their health benefits they will also be cut, but not yet. GM kept the retirees from spin-offs like Delphi so maybe those people would be dropped first and actual GMers last. I don't know though.

    I tried to google how many retirees were salaried and how many were UAW. I couldn't find those numbers (one site said 2.5 retirees for every current worker but no breakdown) but I did find the following gem of a story, which pissed me off. It's from 2005 about a GM/UAW negotiation in which UAW retiree health benefits were renegotiated from platinum to gold star.

    A quote from a worker, "I figured I dedicated my life to GM all those years, and now all they're doing is taking, taking, taking."

    Want to know what a UAW worker considers "taking taking taking?"

    "The GM health-benefits agreement would provide for a maximum expense on services for retirees of $370 a year for individuals and $752 per family, which includes newly increased deductibles. In addition, retirees would continue to have drug co-payments."

    OMG $370 a year?! The horror! Later in the article - reason 5379012571759 I hate the UAW:

    "Hourly workers [UAW workers] pay 7 percent of their total health care bill, while GM's 38,000 salaried workers [non-UAW] pay about 27 percent."

    Yet we [salaried] never complain, and they go on strike. 

    http://www.washingtonpost.com/wp-dyn/content/article/2005/10/20/AR2005102002078.htm

    Sorry for the tangent. It just pissed me off and I had to get that out!

  • Thanks! They're not here today so I'm not really sure what's going on with that. I just want to stay in my foxhole and not come out til the coast is clear.
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