From CBS:
The nation’s automakers are preparing to ask for wage and benefits concessions from their workers in early January to meet the conditions of a $17.4 billion federal aid package, but labor officials say they will seek to renegotiate the terms of the bailout rather than make those sacrifices.
While I’m not an auto worker, and have never been in a union, I can sort of see the problem here. Most Americans are 3 months from bankruptcy, regardless of income (generally, I realize there are exceptions). We adjust our standard of living with each pay raise so that we continue living paycheck to paycheck at any level. I also realize that I wouldn’t want to take a 10 to 20% pay cut at this point in life. However, if it meant I’d still have a job, I would adjust.
Regardless of how the UAW feels, American auto workers have bloated salaries compared to those working for Japanese competitors. Until that’s adjusted, the Big 3 will suffer.
