GM is closing a parts plant in Indiana where unemployment is an Oregon-esque 10.2%. Another company is interested in buying it if the workforce will accept wage and benefits cuts that bring it into line with other companies in the sector. Current GM workers at the plant could stay on at the new lower wage and retain their union seniority as well as pocket up to a $35,000 bonus, or move to another GM plant at their current salary for 2 years with a "no-cut" guarantee. If the deal goes through it is projected that as many as 3 times the current number of workers would be employed in a region that badly needed jobs. So what did the union do? Yup - shut it down - no deal. Even other UAW members were outraged.
When Frank Borman, the Apollo astronaut, ran Eastern Airlines he knew that he had to slash its unionized labor costs or go under. He presented a proposal to the unions and said if they didn't accept it, he was shutting the airline down. The union bosses didn't believe him or didn't care because they refused. Bought a ticket on Eastern lately?
The same thing is happening today. Those who don't learn from history are doomed to repeat it and that is something that we cannot afford as a country in the deep economic ditch in which we find ourselves. So when you hear about politicians who support "card check" legislation and other laws designed to further entrench unions, just say "NO" on November 2.
townhall.com/columnists/VincentVernuccio/2010/09/29/united_auto_workers_local_costs_650_jobs_in_indiana
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