21 Votes

Should Obama Fix Ford's UAW Problem?

tundrahq submitted on 11/2/2009 Official Bell & Ross Timestamp: 10:48:14 AM

26 user comments | Category: Misc News | Source: | SOURCE: www.tundraheadquarters.com

Most news sources are reporting that the majority of Ford's UAW members have rejected a concession package that the UAW granted to GM and Chrysler earlier this year.

According to the Automotive News, many of Ford's UAW members believe that Ford is "financially stronger" than GM or Chrysler and therefore does not deserve any "give-backs."

Unfortunately, this is a far cry from the truth. While Ford isn't in imminent danger, the company still has billions of dollars in debt and higher overall costs. Unless the UAW grants Ford the same concessions that were granted to GM and Chrysler, Ford is at a competitive disadvantage.

Considering that President Obama was instrumental in forcing the UAW to work with GM and Chrysler, and considering that Ford is a direct competitor, doesn't it make sense for the Obama administration to intervene?

Do you think Obama should force Ford's UAW members to accept the same terms that were forced upon GM and Chrysler UAW members?

Click on the link to learn more about the suicidal nature of this move by the UAW.

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Looks like another job for The Rock Obama.
— topneuro (View Profile)

Posted on 11/2/2009 12:00:15 PM | reply to this comment | Votes: -1

Sure, Obama, overreach your authority, tell the executive to take pay cuts, and hand ownership of Ford to the UAW. Look how well that is working for GM.
— Invisible (View Profile)

Posted on 11/2/2009 12:10:20 PM | reply to this comment | Votes: 7

First of all, Ford knew their UAW relationship was going to come to this. The Obama Admin forced the UAW to work with GM and Chrysler b/c the 2 companies had filed Ch11 and the UAW had to concede or be completely pushed out. Now that Ford has posted a $1b quarterly profit, their in a much worse position at the negotiation table with the UAW.

Ford felt it was in a better financial situation and refused govt bailout aid. They were warned early on that b/c GM and Chrys agreed to be restructured with heavy govt interaction, they'd be able to command lower operating costs and force suppliers and unions to approve pay concessions. Ford raised its chin and started to gloat about not having to file for bankruptcy.

In reality, Ford should have quickly followed its cross-town competitors into bankruptcy and took as little govt funds as possible, if only just to pay it back a year later to get from under govt pay limitations. With that bankruptcy, they could tell the UAW to take the pay cuts and layoffs and not worry about a strike or slowdown (they'd be able to hire more non-union labor).
— dumpsty (View Profile)

Posted on 11/3/2009 12:45:52 PM | | Votes: 0

....oh...and no, the Obama Admin should just sit back and take not action on this one. They offered to help earlier this year, and was refused by Ford. Since the company refused govt funds, the govt really doesn't have a say in what Ford does or what happens to it.
— dumpsty (View Profile)

Posted on 11/3/2009 12:49:42 PM | | Votes: 2

'UAW members believe that Ford is "financially stronger" than GM or Chrysler and therefore does not deserve any "give-backs."'

LOL perfect, exactly what a union would think. Not "hey lets make our company stronger", more like "hey the companies not bankrupt yet! we obviously are getting ripped off."
— Joe_Limon (View Profile)

Posted on 11/2/2009 12:16:00 PM | reply to this comment | Votes: 10

Gotta love it!
— tundrahq (View Profile)

Posted on 11/2/2009 12:32:04 PM | | Votes: 6

After everything that has happened with GM and Chrysler, you would think the UAW would want to make sure Ford as a firm was as competitive as possible. Goes to show why organized labor is no longer relevant in a global marketplace. You can't have a workforce that is opposed to the strategic success of the firm.
— HSCenterconsole (View Profile)

Posted on 11/2/2009 1:21:10 PM | reply to this comment | Votes: 11

uaw members now own general motors so why would they put ford on the same playing field - they want people to buy GM products.. once they force ford to close their doors and reopen with uaw as owners (thanks to obama) they will happy to reduce their demands....
— davide (View Profile)

Posted on 11/2/2009 7:28:23 PM | | Votes: 0

Unions have too much power. When the workforce has heavy influence on business decisions it’s a recipe for disaster. Unions have destroyed plenty of companies. Now it looks like they are finalizing the destruction of the U.S Auto industry.

As for Obama fixing Ford's UAW problem? The only way he could do that is to get rid of the UAW altogether. Reagan anyone?

But really… if we haven’t learned by now that Obama is nothing more than an Average Politian, and is incapable (doesn’t have the balls) to pass any type of legislation then we are a sorry bunch. I spit out the Obama Cool-Aid a long time ago. Obama isn’t Jackie Robinson or MLK. He’s far from it.
— LexSucks (View Profile)

Posted on 11/2/2009 1:37:27 PM | reply to this comment | Votes: 9

With the national unemployment rate at 9.8% and the Michigan rate at 14.8%, I don't think Ford would have a hard time replacing any UAW worker whose mindset is still in the 1950's. Too bad our current laws don't allow companies to dismiss union members who demand compensation completely unrelated to market demands.
— HSCenterconsole (View Profile)

Posted on 11/2/2009 1:49:57 PM | | Votes: 11

Obama should immediately knock down these incompetent sluggards and parasites called the UAW.

Any worker in any company should be offered the same basic right and privileges. Workers in companies infected by the UAW permanently break this rule by overrunning their limits. To make it even more ridiculous, you get more not basing on merits and competences but by joining the UAW or not.

Workers unions always were the relic of socialism and communism. They always lacked any business insight and perspective thinking, only trying to exploit the employer on daily basis, as much as possible, without thinking about the future for a single second.

Ford is the only strong American car maker that also happens to undertake right steps. They have an excellent hybrid technology, import a very good, efficient, affordable and beautiful new Fiesta, came up with the new Taurus - tons of good vehicle for little money and have respected, solid position in Europe. Undermining them with union parasites would be the idiocy of century.

Sadly, Obama won't do anything. He's a socialist and as such, will never harm a purely socialist organization.
— downtoearth (View Profile)

Posted on 11/2/2009 1:43:02 PM | reply to this comment | Votes: 6

problem is, the SEIU was Obama's only experience. Obama is a total union guy. The union owns Obama.
— Enforcement (View Profile)

Posted on 11/2/2009 8:33:46 PM | | Votes: 2

Why not? It's just money. Besides this generation has nothing to worry about. I say pay the UAW more today and tax the hell out of their grandchildren tomorrow.

Simply put, capitalism today, communism tomorrow.
— 100tnega (View Profile)

Posted on 11/2/2009 2:08:33 PM | reply to this comment | Votes: -1

What a selfish thing to do. Obama wont do anything, and I applaud ford for being in the stable profit situation they are in now. I used to hate ford (found on road dead, etc.) but now I actually like it.
— lexusrox123 (View Profile)

Posted on 11/2/2009 3:07:44 PM | | Votes: 4

For now.

But the UAW problem plays like a broken record. This may not be the case at the momnent, but give it a few years. Are you prepared to support another bailout? It's not like you have a say it in anyways.

If so, then great. Let's keep the mud-slinging and free money circulating. If not, then unions, specifically the UAW need to be done away with entirely.

— 100tnega (View Profile)

Posted on 11/2/2009 3:42:04 PM | | Votes: 4

Is it me, or has the quality of discourse on this site improved dramatically in the last year? These are a bunch of well-reasoned comments from mostly smart people. Awesome.
— tundrahq (View Profile)

Posted on 11/2/2009 3:38:28 PM | reply to this comment | Votes: 3

poopy tits?
— GeorgeWJoke (View Profile)

Posted on 11/2/2009 3:48:18 PM | | Votes: -4

That's only because "Badgewhore" hasn't commented yet.
— MBCLS07 (View Profile)

Posted on 11/2/2009 6:39:43 PM | | Votes: 3

Well, Obama seems to want to get involved with everything else so why not get involved with this issue. Obama has stated in that past that he highly supports the UAW so he probably wouldn't defend Ford.
— ChevyFan100 (View Profile)

Posted on 11/2/2009 6:39:12 PM | reply to this comment | Votes: 3

If I was a worker at the union I might be more inclined to taking cuts if I knew all of the execs were taking the same cuts.
— truckman (View Profile)

Posted on 11/2/2009 6:41:36 PM | reply to this comment | Votes: 2

That's a very common sentiment among workers, and on the surface it makes sense. However, from a big picture perspective, the salaries of a handful of executives don't influence overall costs nearly as much as the salaries of tens of thousands of union workers (as I'm sure you know).

It's important to note that in this particular instance, the UAW isn't even being asked to take a cut in pay. Instead, they're just being asked to accept some more flexible work rules and a wage freeze for new hires.

At the end of the day, this moves seems like proof that a union is only as smart as it's dumbest members.
— tundrahq (View Profile)

Posted on 11/2/2009 8:25:16 PM | | Votes: 4

truckman: I agree with you, I do not think that UAW are totaly wrong, but it could be very interesting to see what knind of "Sacrifice" is doing the Administration of the company.
— Yonder7 (View Profile)

Posted on 11/2/2009 7:00:40 PM | reply to this comment | Votes: 5

Aren't the presidents holding $1 a year salaries?
— Joe_Limon (View Profile)

Posted on 11/2/2009 8:09:33 PM | | Votes: 2

I will ask one question and I know one of you ver smart guys will know this.

When building a car what percentage of the cost is directly labor related?
— 1UAW (View Profile)

Posted on 11/3/2009 12:31:34 AM | reply to this comment | Votes: 0

Man this is one smart board of people. It is clearly the Unions fault that these car companies are having major problems regardless of what auto workers make in Germany, Japan or any other country for that matter. The bottom line is not to make a good living at a job it is to make the company stronger and more competitive. The UAW yokels need to get with it. They should agree to 50% pay cuts immediately then over the next three years get their salaries down below the Chinese so our country and our companies can be the strongest most profitable companies in the world. I know that is what all the smart people on this board are doing. Going to the bosses day in and day out saying cut my pay and benefits so we can make our company stronger... .I sure do everyday.
— valhallakey (View Profile)

Posted on 11/3/2009 7:46:05 AM | reply to this comment | Votes: 1

It is a free market. Ford is free to let them all go at the end of the contract. Put all it's factories, engineers, middle managers etc... in China and India or wherever they can get the cheapest labor that makes the company stronger.
— valhallakey (View Profile)

Posted on 11/3/2009 7:48:23 AM | reply to this comment | Votes: 1

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Should Obama Fix Ford's UAW Problem?

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