See the problem is that while employees are being asked to bear greater and greater portions of the risk, they are not being rewarded along with it.  For example, you can reasonably argue that in a more flexible work force, it makes sense to move away from defined benefit pensions.  However, the alternative, 401k's are actually an inferior product.  Sure you get flexibility, and the potential to get better returns, but for the average person, they will have less money available for their retirement while living longer. 

If you changed the relationship between the big three and the unionized workers such that you exchanged flexibility for  a bigger stake in the company outcome, then maybe you'd have something.  As it is, when the company does well, the employees get to keep their jobs, and when the company does poorly, they don't.  So the UAW strategy has been mostly focused on mitigating the downsides, trying to make it as stable as possible

 

by sterno on 12/22/2008 06:42:51 PM EST

I wonder if you halved the total compensation package of the General Motors top 5 executives which totals in this year of near bankruptcy and the need for major concessions on the part of the workers a mere $65,684,326 how many of those bullshit jobs could you pay for?

Let's see at $30 and hour that's about $62,400 per year with benefits will round up to $100,000 that comes out to 328 jobs we could pay for and still give the top 5 over $32 million to split up between themselves.

No, what the fuck am I thinking, we wouldn't want to cut executive salaries, after all they might not be inspired to continue doing such a wonderful job.

"Although it is not true that all conservatives are stupid people, it is true that most stupid people are conservative." John Stuart Mill

by Hubble on 12/22/2008 10:28:54 PM EST

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