Tuesday, May 5, 2009

Auto companies and unions

Rush said from the beginning that Obama's mission is to "return the wealth of America to it's rightful owners."

I have dealt with auto companies and unions throughout my engineering career. I have seen first hand what the unions have done to the auto industry. What happens when the auto company wants to upgrade their technology to improve their competitiveness, possibly changing or erasing a union job role? The union workers will do anything, including sabotaging their own company, to prevent the advancement. And the auto company can't do anything to help themselves.

As I watch the demise of Chrysler unfold before our very eyes, encouraged by the Obama administration, I can't help but not be surprised. The irony is that the union was given a 55 percent stake in the company as part of the bankruptcy deals. Chrysler's creditors got 20 cents on the dollar for their risk. Rush was right again. Wealth was taken from the "rich," people who took risk in loaning money to the auto company, and given to the "poor," the auto workers who were "rightful owners."

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