US Big 3 ask for $34bn dollars...

Great, we're forking over money to GM and WHERE is it going? I noticed even with the bailout, GM is shedding more jobs

 

It is not a good situation. GM is trying to become "viable" to a government committee. GM is shooting at a moving target.

 

In an ironic twist, I have received word that I am elegible to bid on some of these proposed massive infrastructure projects proposed under various Stimulus provisions.

A sure sign we are headed to the same situation that Iceland now finds itself in

 

There is nothing wrong with Chrysler and GM that can't be fixed by bankruptcy proceedings. Tell your Representatives and Senators not to waste time and money bailing them out.

 

Shouldn't you be dancing in the streets Jayman? GM turned down the Canadian Government's offer of a $3 billion dollar aid package.

http://www.motorauthority.com/canada-approves-conditional-28-billion-industry-aid-plan.html

Yes, GM is shedding jobs. They will continue to shed jobs until their workforce matches the requirement for their market share. The US Government's loans are intended to prevent the collapse of the company, not prevent the companies from downsizing their workforce. If GM is not allowed to restructure to match workforce to production they will never be viable.

 

The car makers in Canada receive PLENTY of "hidden" aid and subsidies already. I'm pretty sure I provided that link in a much earlier thread, but here is the link in case you have forgotten

http://www.fraserinstitute.org/COMMERCE.WEB/product_files/corporatewelfare.pdf

A more important question to ask, sir, is *why* GM turned down what is, in essence, "free" money.

Even though I am COMPLETELY AGAINST the latest spending orgy contained in the compromise Conservative budget (It's nothing more than nice person kissing to Ignatief and the Liberal Party to keep the minority Conservatives afloat a wee bit longer), there actually are very strict policies in place for the various funds

Eg: there are requirements to maintain employment, maintain manufacturing presence (Not use the money to expand in a foreign market. That's what the Export Development Corp is for!), and limit exec pay

In other words, everything that SHOULD have been in TARP and other packages, but oddly enough, were not.

Answered your question?

 

So? Do a Chapter 11, ditch the union agreements, ESPECIALLY that Job Bank, and emerge leaner and meaner.

Oops, wait a minute. Came across this

http://www.thetruthaboutcars.com/bailout-watch-360-why-gm-refused-a-3b-canadian-bailout/

How could I have forgotten the Cdn currency is no longer favorable to support GM being in Canada? Hell, better make all those POS in Mexico or Brasil

 

GM to end jobs bank Monday | www.tennessean.com | The Tennessean

 

GM will not take the bait on condition not to shut down the Canadian factories.

Bailout Watch 360: Why GM Refused a $3b Canadian Bailout | The Truth About Cars

 

We already went over governments giving tax incentives and building roads, utilities and other infrastructure to win jobs. I think a couple pages is enough on what Canada has already sunk into the auto industry.

The UAW Jobs Bank is already dead, at least until 2012. They have until Feb 17th to reach a deal to match UAW labor rates to the transplants. GM looks ready to drop half their brands in the US. It looks like the restructuring is moving along fine without scaring all their customers away with a Chapter 11.

In my opinion you are dead right on why GM turned down Canada's aid package. I'm sure it had requirements to keep employment and manufacturing in Canada. It would really piss off the US Federal government if GM chose to keep open plants in Canada instead of the US. Since The US loaned them $13.4 billion and Canada was only offering $3 billion it isn't had to predict who gets to keep jobs.

I don't see GM opening new plants in Latin America for products to be shipped to the US. They will continue to expand manufacturing for local consumption though.

 

There is something very wrong with semi-skilled or unskilled laborers expecting +$40 an hour, 70-90% of their salary while laid off, and a work environment that for a long time had a "who gives a s***?" attitude

It doesn't work that way in the Real World. Maybe in some Socialist dream that simply isn't sustainable - but not in the Real World

Let's not give a pass to blunders and incompetence by middle and upper management. If you're Captain of a large ship that hits a reef and sinks, it's pretty hard to convince a court that you're blameless