Saturday, April 01, 2006

UAW Cuts Off Its Nose to Spite Its Face

The UAW is threatening a "long strike" in response to Delphi's announcement that it will slash 25,000 jobs and close or sell 2/3 of its plants.

The strike is likely to not only hurt Delphi, but drive fragile GM into bankruptcy. The UAW seems willing to hasten the demise of the American Auto Industry in its attempt to make a point.

Talk about cutting off your nose to spite your face.

Although it seems like a sudden development, the troubles at Delphi and GM are the result of decades of poor management and greedy union demands. If the companies and unions had concentrated on developing a harmonious relationship instead of an "us versus them" antagonism, things might be different.

Instead, unions focus on squeezing companies for every last penny. Companies, on the other hand, focus on maximizing quarterly profits, “shareholder value” and management bonuses, at the expense of long-term planning.

Let’s hope other unions and companies are paying attention to what’s happening at Delphi and GM. There may be enough time for them to do the right thing, so American manufacturing will be around for our children and grand-children.

Links to my previous posts about unions:
Generous Motors
Tis Unions Killed Detroit

1 Comments:

At 9:01 PM, Anonymous Anonymous said...

"American manufacturing"?! Are you kidding me? that one's quickly becoming another one of those "jobs Americans won't do"... At least we can always rely on Information Technology jobs... Oh wait, those are all being done in Bombay and New Delhi.

Maybe all those unemployed UAW guys can become lawyers and sue GM for going out of business...

 

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