I disagree the idea of bail out, reason? It will only delay the inevitable (Banikruptcy) and if we did bail out and they bankrupt, we all lose and it will be much worse than allow them file bankruptcv in the first place.
The problem is that even though the Union contracts last til 2012, and if automaker need to lay them off, then they are reqired to pay them regardless! I don't see any way out for automaker except bankruptcy court where they have power to cancel the union contract and abolish the unions. Unions = lower quality. Unions don't care about quality because they get paid, Union dont care about quality, they are protected from being fired if they did shoddy job.
On other hand, I find interesting, those japanse car plants in the USA fare far better than American car maker, they are NON-Unionized! No unions, yet makes better cars, it is no brainer, go figure!
Even though execs may make more money than Japanese, any million dollars different won't make any difference if you do a math, for every dime in pay raise for each employees cost company way over million dollars in just a year alone! So, this is to say, if we give each employee a dollar pay raise, then executive stand to lose over 10 million dollars. Then will a dollar raise in each employee help? I don't think so!
Its all unions that I am blaming on!
Those Unions never learn lesson, here is history, thanks to Union for destroying several steel companies. Speaking of where I was raised, there was 27 steel companies, all of them are unionized. That was during 70's, right now how many left? Seriously only 3! Over years, Unions have fought hard to get more money for all employees, resulting 24 Steel companies either gone bankruptcy or moved overseas for cheaper labor.
From my experience, Union is really a virus to any companies!
