Detroit's Delusion

If we allow the automakers to fail it will not only be a blow to our employment but also a treat to the sercuity of this county. No one has mentioned the debt we owe the auto makers for basicly saving our butts in ww2 when they turned complete control of their vast resources to the war department . Gm alone produceced something like 12.5 billion dollars of war equipment not to mention the vast amout of military vec. produced by ford. I feel we can not allow this country to lose its ability to produce things of this nature on our own if the need should ever arise .
This being said any bailout should mean that the auto maker should have to keep the jobs in this country and also use domesticly produce parts for any further cars made in this country.

No bailout !!!!!,because this business is gone and done with,for the simple reason that everything we manufactor in this country cost to much money,we can not compete with the other overseas countries,they will be back for more money next year.It' not only the Auto industry that is effected but many other big companies like Boeing ,for years the labor unions have asked for higher and higher wages and this has stopt our industry dead on. You can bet on this that we will loose it all and that automobiles and aircrafts and many other equipment will all be made overseas were workers make 30-40 dollar a day and in many cases even less than that. If we don't lower our way of living here at home our industry is dead meat. and won't recover.This nation has to sacrafice for many years if we like to have a shot to come back in the competition.like was done in the Great depression years when I grew up.in the soup and bread line as a
young boy.,but it can be done again.

Dear Representatives and Senators:

The first thing you have to do with an addict, whether or not they think they have a problem, is to stop helping them do what they want to do. It's a heart wrenching, gut busting thing to do, but it forces a change in the dynamic. Giving them any money (whether its a loan or straight infusion) without conditions, new management and new boards is profoundly unwise. It's sad that an industry american's invented, produced and grew (so much so thier imitators are now the leaders) refused to learn and adapt to retain the pre-emminence they once had.

(Big 3 Management and UAW Leaders/Workers)
The first step is asking for help. The second is harder, because it's where change intersects with habits and comfort zones in particular, and usually hurts. You have to stop doing what you've been doing, change where you live, work, dump friends and activities and develop new ones. It's hard, hard stuff and the only reason you go through it is because your life depends on it. Every decision/choice has to be based on that sole criteria or your wasting time.

(Help & How this works)
Asking for help is a good, smart thing to do, but it may not be what, when or how you wanted it. Help is what keeps you alive and healthy. Alive and healthy are not necessarily comfortable or pleasing, either for management or the workers of the Big 3.

Colette, Denver, CO

Wallstreet does not make a tangible product that you can one can touch, smell and drive. They make the problems that we are ALL in today. Wallstreet didn't have to jump through any hoops to be given multiple FREE checks. They were given a bailout - not a loan. So, does this mean that Wallstreet runs this country?Not Main street???

Nobody wants the loan. Fine. Let's do what the Japaneese do? We can have the government subsidize.the auto industry. Oh, and while were at it,...we can make sure the Big 3 get free land for their plants and won't have to pay any taxes for at least 10 years. Any takers???

venus_shine - Many people do care about Detroit area. My brother lives there. I knocked on doors and worked the phones to get Obama elected. Hopefully times will get better but I reallly don't feel that the bailout is the answer.

I got the 100K buyout and 140K buyout I referenced from an autoworker. The 1 billion to pay the Olds dealerships off is from the New Yorker September 4, 2006.

NOOOOOOOOOOOOOOO bailout or Any loan for Any company !!! Our taxed public dollars must never be given away or ever loaned to failed companies-Tell the moochers to seek from private investers. If they fail -then too bad!!!!!! Competition Is what betters America.

I've got a good reason to LOAN the money to the Big 3. I got laid off TODAY. I work for the County in the Metro Detroit area. Because of this stupid economy (not caused by me), less people are buyings cars, lowing tax money we take in. Hence, I have NO JOB. I am 55 and single. What am I supposed to do? The rest of the country does not GIVE A CRAP about Michigan.

Thirty years of poor management, poor product and insular management cannot be resolved over a few quarters with a bunch of money. The mismanagement of the auto industry by the Detroit Three is only second to the historic meltdown on Wall Street. Then there is Bob Nardelli of Chrysler, who doesn't know a damn thing about the automotive business. Nor will I ever support taxpayer money being given to a private equity firm.

I am also a proud union member, AFL-CIO. But you can't loan bad business money. Please really research this and after you come to a conclusion, no matter what side you are on, please email your legislator.

teachabc1 - i agree we cannot let the big three fail but a bailout isn't the answer. GM wants/needs something like 11 billion to make it to the end of the year. They need to file bankruptcy and restructure their companies.

The problem is muc bigger that just the union contracts and retirees medical. But to add to your comment., the workers were getting 100K buyout. It is up to 140K. The leadership never adapted t the times. Email or write your congressman/woman

Here's the deal: The union has managed to finagle some of the most lucrative contracts for their employees than most any non-union worker could ever expect to get. So what needs to be done is all three automakers announce that they are filing chapter 11 bankruptcy, that all employees no longer have a job, that door number 3 is open for everyone to re-apply for a job at the auto plant, and all union contracts are null and void. On top of this all retirees must now get there own medical insurance coverage instead being covered by the automakers. This would be a good start in the car makers getting back on track and then, maybe then, they would be entitled to receiving a $34 million dollar get well handout that would be closely monitored by a totally independent entity that has no UAW connection or connection to the car company whatsoever.

The auto industry is going to have to drop/sell lines. GM has Chevrolet, Buick, GMC, Saturn, Hummer, SAAB and Cadillac. They dropped Oldsmobile a few years ago and it cost them 1 billion dollars to pay Oldsmobile dealerships off. A large number of dealerships will go out of business. The union workers will have to make serious concessions. Many of the small companies that make parts will be told that GM needs to start getting the parts from Mexico or overseas due to cost. This is happening today but will happen more rapidly. This will happen with or without a bailout. How happy is everyone going to be when your tax dollars paid for this major restructuring and job loss?
Back in the early 80s GM was told to consolidate and drop lines. They decided to go with what worked in the 50s.

What's worse than spending billions bailing out companies run by guys with the foresight of inchworms? Spending billions bailing out companies run by guys with the foresight of inchworms and then watching the companies go bankrupt anyway.

And ya gotta love GM's general manager, Wagoner. You remember, he's the "global warming is &*^&" guy. And then there was the wakeup call in 1973 when American car companies were caught with their pants down with few high mileage cars ready. HELLO! And world oil output forecast for several decades to peak about now with increasing demand (you know, declining supply plus increasing demand means higher gas prices...... uh, something called capitalism) HELLO!

Watching these companies over the last 35 years has generated in me a sense of vast disgust. The workers probably deserve some help but the management doesn't. They certainly won't need it with all their bonuses for driving their companies into ruin.

And now we may have to bail them out just so the rest of us won't go in the economic crapper.

Get a rope...

Remember when cars didn't all look the same? Hey GM! "Lightbulb" above head!

no no no, don't give them a penny. Demand that they resign and then help the next group to restructer.

Don't do it. When the big three cut a ton of jobs and start having even more parts made overseas the workman/woman and their children and their children-clildren will learn they tax dollars went to move our jobs overseas. The stockholders and execs win, not the worker. The big three cannot survive as is. Bankruptcy is the way to dramatically restructure their companies. We need manufacturing jobs in the US but a big bailout does get us there. Those that think it does explain it to me, please. I lost my manufacturing jobs (paper/pulp mill) and my tax dollars paid to help move the company overseas. Hey why are my tax dollars going to Airbus to make military refuelers??? Email you legislator!