If employees of General Motors (NYSE: GM) are sitting back waiting for buyout packages to arrive in the mail, they better keep that champagne on ice. UAW officials warned last week that there won't be a quick announcement on employee buyout packages or early retirement offers coming any time soon.UAW Vice President Carl Rapson said, "We've not come to any kind of agreement, and it sure as heck isn't going to happen in a week." This was in response to GM's Troy Clarke saying that information on a round of employee buyouts would be happening "within a week." Yes, when GM and the UAW get together to mince words, a turbo-powered margarita blender couldn't produce better fodder than these two organizations.
When and if new GM employee buyout offers come, they will cover employees in the assembly, powertrain and engineering facilities where GM has UAW-covered workers. Rapson did indicate that "meaningful discussions" are continuing between the automaker and the union, but it's "just not accurate" to believe an agreement will be reached so soon. As of this morning, there is no agreement in place. GM workers waiting on a nice, fat check: you'll have to wait a little longer.











Reader Comments (Page 1 of 1)
1-25-2008 @ 8:56AM
Carl said...
If the issue isn't to save money then what is it?
If you think the foreign cars are of better quality then what the American Car Companys now produce you need to investigate the reports published in leading magazines and the opinions of owners that drive American made vehicles. In most cases the quality is as good or better then the competition. So why are these people buying vehicles that cost more then the American made vehicles? America needs to wake up and support the American people and its economy. Not just in the purchase of vehicles but in everything you buy.
If its as good as the competition and the cost is comparable, why not buy American? Even if it costs a little more its worth it to keep America strong.
1-23-2008 @ 5:28PM
john anderson said...
People need to remember its where the profits go that makes the differance.I know some people think if its made in Canada or Mexico they are not american,but they are.Canada and mexico and the United States are very good trading partners and we are all of north America.Its a mutually equal partnership,but as I said its where the profits go thats important.Japan has a closed market and same for china and Korea,the only way our companys can do bussiness there is to form a partnership with companys of those countrys we should make them do the same
1-24-2008 @ 8:39PM
mike said...
the whole foundation for being american is freedom. freedom of speech, religion, and pursuit of happiness. we have a market of choice. the basis of our economy is choice and competition. to say someone is un-american because they exercise their right to choose where they spend their money is ridiculous. i have own 6 new honda accords solely based on they fact that they are dependable cars of high value. Honda is known for quality where as GM has made a public apology for its lack of quality. am i unpatriotic for being conscious of how i spend my money. try doing what americans claim they stand for by being a little tolerant of my choices. i will try to respect yours. God bless America, thank God its not unpatriotic to still believe.
1-24-2008 @ 4:13AM
Dave said...
There's two important things affecting the sale of GM built cars, going on in this country. Its not the quality of their cars, there as good as if not better than Toyota or Honda. First thing is the styling of their vehicles, it totally sucks. There's a few exceptions, but very very few. They need to realize also, that not everybody wants a 4 door sedan. To alot of people owning a 4 door sedan, stands for old age. It has to be cheaper to build a 2 door car, rather than a 4 door.
The second thing really affecting GM, is dealership greed. GM in Detriot offers incentives to buy, and most dealerships take almost the same amount of the incentive off the value of your trade-in. So in reality the only one gaining from the incentives offered, is the dealership. Most dealerships don't even want to offer you wholesale value for your trade-in. They offer what they think is a fair auction price for your trade-in. But when they put it on their lot to re-sale its top dollar then. Alot of times people get upset and go to Toyota or Honda and will get $2500 to $3000 more for their trade in. Thats what cost GM market share in this country, dealership greed.
1-24-2008 @ 4:38AM
Gumby said...
If you buy a car from a money losing car maker, you would question the warranty coverage of your car. A profitable car maker can service your warranty needs better than a money losing car maker. GM and Ford understand this now and UAW understand this , too. They meet together and talk about what they have to do for carbuyers as well as shareholders. They understand that they cant go alone by themselves anymore. It is that simple. Now, some is talking about making instant profits on GM and Ford stock if they soar this year or next. I am talking about the decades to come and I expect GM and Ford stocks to return to high values. I am tellin you all that GM and Ford can do it. I will buy GM and Ford products always. Japan cars can be bought as a curiousity by anyone once or twice in their lifetime. GM and Ford is here to stay! It doesnt mean that we have to pamper GM and Ford management and employees. I know that they are dead serious about restoring GM and Ford to greatness!!
1-25-2008 @ 4:17PM
sidney shakinis said...
Remember that because it is built in the U.S.A. does not mean the majority of the money stays in the U.S.(when a car is sold) Employees are earning good money working at these transplant company's such as (Honda) but the vast dollar amount earned, leave's this country,and go's to the home country the corporation is based in. Why not strenghten our own U.S.of A.
1-27-2008 @ 6:11PM
jpdr1100 said...
Really? So when car companies report their profits, which typically run around 10%, you consider that to be the "vast dollar amount??" What about the other 90%.
Statements such as yours are never backed up with facts. Ever wonder why?
1-28-2008 @ 6:12PM
DSP68 said...
I have never purchased a foreign car. I just want to get that out up front. I am also a big supporter of the Us and all things American.
However, some of the above comments are so off that i feel i must reply.
Do you realize that the majority of the vehicles sold in North America, regardless of brand, are assembled in North America by parts manufactured in North America?
Now i say 'North America' as opposed to the US simply because the tier supplier network and automaker network is so intermingled between the US, Canada and Mexico now that there is no point in saying 'American' anymore.
Also note that i saw 'assembled'. the Detroit-3 do NOT manufacture cars. They assemble cars. 90+% of the parts used in the assembly of a Detroit-3 vehicle are manufactured by other companies. The Detroit-3 got out of the manufacturing business for the most part a long time ago.
The problems the Detroit-3 are facing now are a cumulation of decades of mis-management by both the Detroit-3 and the UAW. You really cannot blame one side or the other solely for these problems.
On the Detroit-3 side of the coin, upper management has, for decades, taken a very American attitude to its expansion programs. When they would decide to come out with a new model, rather then take an older plant, one that was currently assembling a model that's sales were waning, and retool it to assemble the new model, they would decide to invest $1+
billion on a brand new plant. In addition, they were, all 3, very slow to adopt 'flexible manufacturing' philosophies that the foreign automakers, especially the Asian automakers, use. For those unfamiliar with the concept, flexible manufacturing is when the automaker is capable of assembling multiple models on a single production line. For the most part, the Detroit-3 were late, or did not utilize that philospohy.
The result: an insane number of operational plants that they have not been able to support as the market has balanced out now that the foreign automakers have balanced out the marketplace.
Look at the facts: the number of plants that GM and Ford have already announced they will close is MORE then the total number of plants Toyota operates. Thats an amazing fact. And it shows how overgrown and fat the Detroit-3 have become over the years.
These plants have to close. They cannot be supported. The result will be a loss of jobs. That is unfortunate. But it has to happen.
The UAW side of the coin is that they have helped maneuver the Detroit-3 into the perilous situation they are now facing. Some of the pay scales and benefits that the UAW has won over the years are insane.
The jobs bank is a prime example of totally unnecessary waste within the automotive industry. While it is a greart thing for the worker, it has helped kill the industry.
The bottom line is all the rhetoric and chest thumping about buying 'American' will not change the fact that both sides of this, the Detroit-3 and the UAW, have played a major role in the downfall of the American automotive industry. 2008 will be the year that Toyota take firm control on the #1 slot and in all honesty, i don't see any way one of the Detroit-3 will be able to wrestle that from them anytime in the near future.
If you think the Detroit-3 have been going through tough times for the last few years, pay close attention to the next 5. Its going to get worse.
1-30-2008 @ 7:46PM
tim cary said...
Be American, buy American. I don't care what ethnic
background you are, if you are living in this great
country, speaks it's language, respect what this
country stands for.
1-22-2008 @ 10:20AM
warren said...
I might have the wrong idea but all over you see things that say how much americans love there country and how patriotic they are do not get me wrong we canadians are the same you look around and see all the japanese and korean and what ever other countries cars there are on our streets. Well then you should say to yourself no wonder the north american auto manufacturers are in so much trouble and then ask yourself how patriotic are we
1-22-2008 @ 11:52AM
vcs745 said...
How right you are Warren. It is a shame! People talk a good game of being so-called patriotic, but when it comes down to anything in the end, they sell out their country and buy Asian or German, even to save a couple bucks. Guess a couple bucks either way is all it takes to be "Un-patriotic".........I really get a laugh on these candidates running fro office(s).....Outsourcing is now "un-cool"....yet these jerks were the loons who helped get these jobs (with legislation) moved off shore.......This is what is called....hypocrisy my friend!
1-23-2008 @ 2:24AM
john said...
Just take alook at what these employees have done for this company. Back in the 50s these companies where called sweat shops and was a very bad place to work but people had to feed there familys so they had to work. When they had the big set down strike thats when america changed for the good for ALL WORKERS in this great country. This is when the unions started making gains for ALL workers in every job. All compaines were making good money and we, I mean everyperson that worked in this country made these compaines very rich. We made these compaines what they are today and they give there big bonus to the top dogs that do not even know what it was like back in the 50 so why give back to the people that made them what they are today. Now they have this thing called free trade what a joke. So now they tell us if we cant compete with the sweat shop countries that have no rights for there worker and pay 10 to 19 cent an hour we will ship the work to them. Hell our familys somewhere back in the 40 and 50 got rid of the sweat shops here that had no rts and now they are finding them else where since this nafta shit. I cant believe the people that went over seas to fight for our freedom and seen many and I mean many of there military brothers killed for our freedom now drive them cars and truck from the same poeple that we had to fight. How in the hell could they sleep at night . And we wonder why are country is in so bad a shape. It because the U.S. people are not loyal to this country anymore. They will wake up soon to find out that we belong to some other country and it will be to late then so we better wake up NOW and try to recover.
1-25-2008 @ 2:30AM
Jerry said...
GMi sa smart as ever I worked at the GM OKC plant for over 28 years until they closed it now I sit home with 85% of my pay< GM made us an offer last week take pre-retirement at $2850.00 a month or transfer and get $67000.00 and keep working for $28.75 per hr. Now one would think if they want to get us off the pay roll as thet said they do the offer would have been take $67000.00 and takr the retirement so it looks like OKC people will keep on working at another plant. Maybe someday GM will wake up if they really want us to retire so they can replace us for $14.00 per hr.
1-22-2008 @ 6:53PM
jpdr1100 said...
If you think people are buying Japanese or German cars to save money, you don't understand the issue. To begin with, most of those cars sell for MORE than their American counterparts.
BTW, GM's best selling car in the US isn't built in the US. Does that make them unpatriotic?
1-22-2008 @ 10:19PM
c. sommerville said...
GM,s best seller is made in Lansing, MI. Car of the year.