Friday, January 9, 2009

UAW to strike ?

Today there were hints of the UAW striking at GM and Chrysler to protest cuts in their $75 an hour compensation.

Hasn't anyone warned the stubborn UAW that they are about to help push the hand that feeds them (and the arm and body attached to it) over a cliff!

I can reluctantly understand one Bailout/Loan for GM and Chrysler but I doubt there will be another. As for the shrinking CAW they say they won't accept a ban on Automotive sector strikes like there is in the USA as reported in the Calgary sun today.

The president of the Canadian Auto Workers says his union won’t accept a ban on strikes similar to one detailed in the U.S. as a condition of US$17.4 billion in loans to Chrysler and General Motors. Ken Lewenza said the CAW has not yet been
informed of any conditions attached to C$4 billion the federal and Ontario governments have agreed to lend to Chrysler and GM
Bans on strikes in tough economic times, and failing auto companies, sure make them Unions pout more then usual.

I believe that the Unions are tied at the ankles to GM and Chrysler and if they strike it will be suicide for UAW employees.

On the bright side there are new Toyota factories in Woodstock, Ontario and Texas, ready to ramp up to take over market share. They are ready to give the economy 7 jobs for every Automotive Job, all part of the reality of the free market system, and survival of the fittest.

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