Tuesday, 3 November 2009
UAW Members Reject Contract Changes
The union members at Ford are an interesting bunch. The economy is in the toilette. The car industry is looking at a slump the rest of this year and early next year. Especially after the cash for clunkers program distorting the market to get people who would be buying in the next 6 months to buy now. With such a poor outlook on the economy, what do the workers at Ford do? They reject an agreement between the union leaders and Ford. An agreement that will help Ford be more competitive in the market place.
I have to ask are these people stupid? Ford had a good quarter. Mainly due to the stupid cash for clunkers program, but when things go sour the rest of this year and early next year then what? Ford may have to do more downsizing. If they do, I wouldn't be surprised if Louisville ends up on the chopping block. It really defies logic.
But I know why they decided to vote against it. First Ford had a good quarter. The first time in a while, but it is a start in the right direction. I am sure the union members don't want to cut back when they see the company doing well. Secondly and probably the biggest reason they rejected the deal is because they saw what happened at GM. It was a company that was deemed "too big to fail". The union members there got a sweet deal out of the government bail out and I am sure the Ford employees are thinking the same thing will happen to them if Ford fails.
Personally, I think they are acting very shortsightedly in the decision. They are assuming that Ford will continue to have good quarters and they are assuming that the people of this country will bail them out if not. The next six months look bleak for Ford (and all car manufacturers for that matter) and I am not sure the people of this country will be as generous next time a company is deemed to big to fail. I hope it works out for these people. I don't want anyone to lose their jobs, but I have to wonder at their decision making skills.
I have to ask are these people stupid? Ford had a good quarter. Mainly due to the stupid cash for clunkers program, but when things go sour the rest of this year and early next year then what? Ford may have to do more downsizing. If they do, I wouldn't be surprised if Louisville ends up on the chopping block. It really defies logic.
But I know why they decided to vote against it. First Ford had a good quarter. The first time in a while, but it is a start in the right direction. I am sure the union members don't want to cut back when they see the company doing well. Secondly and probably the biggest reason they rejected the deal is because they saw what happened at GM. It was a company that was deemed "too big to fail". The union members there got a sweet deal out of the government bail out and I am sure the Ford employees are thinking the same thing will happen to them if Ford fails.
Personally, I think they are acting very shortsightedly in the decision. They are assuming that Ford will continue to have good quarters and they are assuming that the people of this country will bail them out if not. The next six months look bleak for Ford (and all car manufacturers for that matter) and I am not sure the people of this country will be as generous next time a company is deemed to big to fail. I hope it works out for these people. I don't want anyone to lose their jobs, but I have to wonder at their decision making skills.
Posted by at 9:18 PM in Louisville Politics
