Auto Industry Bailout

[rjf]

Should the Federal Government bailout the three US Automakers?

Opinions?

[West]

Absolutely not, they need to renegotiate the union workers because they cant afford to pay them what's promised and continue to sell sub par vehicles.

Besides they already have government involvement to prevent them from bankruptcy why do they need money to mask the problem.

Let em burn and recover, its the only way.

This sums it up quite nicely.:
http://demotivationalblog.com/2008/0...ilboat-awaits/

[KrisNY]

I agree... I think they should not bail them out. It's like saying-- go ahead and overspend and not use your money wisely. We (government) will bail you out. Why not bailout every company- why the automakers?

[sfabobby03]

It is really a double edged sword. If they don't bail them out and they cannot reorganize and they go under, unemployment will skyrocket. The impact will shutdown every single dealer across the country. That being said the whole problem with the big 3 automakers is the unions.

[Florentin]

well, I would simply ask this question:

how come the OTHER auto makers do not need to be bailed out?
how come they can be profitable?

go figure...

[mRclARK2]

Originally Posted by West

Absolutely not, they need to renegotiate the union workers because they cant afford to pay them what's promised and continue to sell sub par vehicles.

Besides they already have government involvement to prevent them from bankruptcy why do they need money to mask the problem.

Let em burn and recover, its the only way.

This sums it up quite nicely.:
http://demotivationalblog.com/2008/0...ilboat-awaits/

Agreed. I was for bailing them out originally, but more and more I'm switching camps. Until they bring their companies into line (IE: Union problems, more marketable products etc.) it'll just be putting a band aid on a problem requiring more.

It's a tricky decision for sure though. So many factors to consider.

[bubble]

If we do go ahead and bail these guys out, who will be next on the list asking for bailout money? Nobody is helping me out as a small business owner.

Perhaps these companies should have had a bit of money put aside. I don't know if it were up to me I would let them go under, but then the honest working man will suffer with the job losses.

[rjf]

Originally Posted by bubble

If we do go ahead and bail these guys out, who will be next on the list asking for bailout money? Nobody is helping me out as a small business owner.

Same here, we don't get any help.

What no one seems to explain, why would reorganization under Chapter 11 be so bad? The airlines have done it and survived. I think the real reason is that it is being pushed because the bailout would save the unions. Under Chapter 11 the car companies could reorganize and renegotiate the union contracts. That would be bad? How? Only to the people who the unions supported in this past election.

[Kevin]

I feel the bailout should only take effect after the unions have crumbled. They served their purpose when the auto industry was new and growing, but the ridiculous wages being given to new low-skill assembly line workers is insanely high and unwarranted.

[TheCrazy88]

I'm with you on this Kevin, it's just crazy how people with little to no training, expect to have the same income as someone who went to college and got a career. Granted I may be a little cold, but I still don't see why WE should pay for the companies mistakes.

If anything, this could be an opportunity for new companies to form and begin making cheap, reliable, efficient automobiles in the U.S. When it comes down to it, I think people will realize they don't need a DVD player and 3 TV's in their car. (and if they don't then they deserve to pay that much for something so stupid.)

[patrol71]

If anything, this could be an opportunity for new companies to form and begin making cheap, reliable, efficient automobiles in the U.S. When it comes down to it, I think people will realize they don't need a DVD player and 3 TV's in their car. (and if they don't then they deserve to pay that much for something so stupid.)

Well said. Whatever happened to efficiency? Anyway, I think we've done enough bailouts already. Just look where they led to...company execs began wasting money on frivolous projects quicker than you can say the word "bailout".

[skatss]

I don't think there should be any bailouts at all, not for the Big 3 and not for the financial institutios either. But I heard this morning that that the White House has decided to bail out the auto industry. I still want to know when the taxpers will get their bailout.

[jamesb]

The problem of course is also that if they do not get bailed out then that could lead to them closing factories and many people could loose their jobs.