I do not find myself altogether surprised at the vote on this last evening.
Republicans have thumbed their noses at President Bush, probably for the last time, in voting against the bailout.
There are 3 words that are the supposed sticking point - it has to do with wages. UAW wages are higher than those of other auto workers - for those of you who read my post earlier this month, you will recall that the hourly wage difference is about $30 when factoring in health insurance costs. According to news reports, The Big Three are now talking with bankruptcy attorneys. Frankly, I still believe that this is the best route to completely restructure the companies. According to a CBS news report this morning, "Despite Coming Within "About 3 Words" Of A Deal, Republicans Block $14B Package Over UAW Refusal To Accept Pay Cuts"
This is a failure of management of colossal proportions - the UAW is to blame - for essentially creating a welfare culture amongst its members. They expect exhorbitant wages for a product that is neither particularly desired by many Americans, nor is it particularly affordable, and of utmost consideration - not gas friendly.
I was most interested to listen to the mayor of Lansing, Michigan, mayor Virg Bernero. - Lansing is the home of some 6,000 auto workers. He was interviewed in the same news program that I referenced earlier about the three words - he thinks that congress should be forced to take a paycut and work based on merit.....shouldn't we all work and be paid based on merit? He is furious that the bailout has not passed and thinks that Wall Street and Congress are to blame - what a ridiculous assertation - The honorable mayor is in Washington and stumping on national news shows to advocate for his city - I appreciate his efforts on behalf of those who elected him - that is after all his job, but I think he is misguided. I don't feel sorry for the UAW or The Big Three - they have brought this misery on themselves and now it is time for them to get serious about how they do business, much like many other companies around the country and the world are doing lately.
In other words - It's NOT the economy, stupid.