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General Motors And Ford Motor Company

General Motors And Ford Motor Co. as well as Chrysler are in Washington begging for money that they so desperately need. For more than a week we’ve been hearing them say that they will not last very long without the money.
If the three auto makers go belly up and close their doors, it will cause about two million jobs within the United States. That would be the nail in the coffin in this country’ economy and send us closer to a depression.
From where I sit, I see three companies that have been dragging their feet for the last three decades. We knew in the 1970’s that they needed to build a better fuel efficient vehicle and they along with the government’s protection, have been keeping the standards and the vehicles being as efficient as they were then.
Yes, the Ford Expedition, the Hummer as well as the GMC Yukon look and drive great, but that is nowhere near being a wise choice to saving our dependence on foreign oil. None of these companies wanted to build the smaller cars in fear that no one would buy them. Guess what guys, no one is buy the one that you did build and that’s why you’re on your knees in Washington.
The big three auto makers have the unions that are not helping the matter either. UAW (Union of Auto Workers) have been strong arming the companies for so long that it’s excepted has how it’s suppose to be. The union have been making more money of the workers than the auto maker are.
BMW, Toyota and Honda all have plants here in America and employ Americans to build their vehicles. There are no unions in any of the facilities and their won’t ever be. They offer their employees great benefits as well as great pay. The average worker in these plants make $40-$48 per hour and don’t have to pay any union dues. They are not forced to work extended hours for the same amount of money per hour. They have the option to contribute to their 401K plan and make their own decision for the retirement.The days of slave labor in manufacturing plants in America are over,and these workers are protected from that type of employment.
Let’s look at the big three, their average worker make $78 per hour and have to pay a ton of union dues to help them keep their jobs. They are also protected from slave labor, but there are labor laws in this country that do that already. What about their retirement? They are enrolled in the companies pension plan. which is covered with all the other dues they pay. The problem is that the three auto makers can’t even pay for the pensions that are out there already. Their pension payout keeps growing with no end in site.
Giving the big three auto makers this money is more like throwing it away. These guys have been helped out in the past and will continue needing the assistance of the American tax payer to save their rear end. This is a capitalist country so let’s let capitalism work it way through.
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  1. 40th Money Hacks Carnival | Steadfast Finances - [...] from Beat The Stock Market shares his thoughts and opinions on General Motors And Ford Motor Company and their…

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