Bush gave GM and Chrysler $13.4 billion in loans

LessisNevermore

tommyboy wrote: »

I'm sorry, I still don't see your logic. I doesn't matter how much any other company is paying employees, only if paying a certain amount will still create a profitable product.

Because people are so (wrongly) outraged that American autoworkers make so much "more" money, and believe that is the sole reason the big 3 have their **** in a wringer. The employees have no control over mismanagement. The current difference in pay is negligible, and not the issue the media seems to make of it.

tommyboy wrote: »

I'm not sure if the japanese companies are still making as much money now with the bad economy, but the fact is, they are not running to their governments for money cause they make a more efficient car and they sell. If your company is losing millions of dollars a year, it doesn't matter how well those companies are paying their employees, you can't afford it (and even with your lower estimates, its still MORE than the japanese companies, what does that tell you!),

No profit = no jobs = no cars

Everyone's sales are way down.(30-40%) The actual fact is: Japanese government DOES subsidize their companies here, namely the health care coverage. Hell, the state governments subsidize these companies with generous incentives for new plants.(no one seems to have a problem with that, though) The Swedes are bailing out Saab and Volvo. All companies are hurting right now, worldwide.

Those aren't MY estimates. (Like I pulled them out of the air?) Labor accounts for only 10% of the cost of a new vehicle, that is the fact. Parts and overhead (management & maintenance) account for the rest. So, now that labor costs are in line with foreigners, what's left?


If people would do their own research, they'd see that a lot of the big 3's problems are out of their control. Couple that with a LOT of mistakes by big 3 management, and here we are.

madmax

LessisNevermore wrote: »

If people would do their own research, they'd see that a lot of the big 3's problems are out of their control. Couple that with a LOT of mistakes by big 3 management, and here we are.

So what is out of their control?
madmax

ND13

madmax wrote: »

So what is out of their control?
madmax

The world economy, the weak dollar, consumer distrust of the whole economy, etc, etc.

Actually, I'm surprised with you tilt Chuck.