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Originally Posted by bchgirl  Actually if those CEO's gave up just a teensy portion of their salaries...it would help.
I do understand if the big 3 go under....all the jobs that will be affected and the businesses...including my own.
I just don't know when this bailout stuff is gonna stop...
Actually the auto makers don't have to get a bail out...they could file for reorganization... |
The CEO's salary isn't the problem, although I agree that if you run your company into the ground you shouldn't get a big bonus. A size eleven to the glutes is more appropriate.
The problem is they have signed work agreements with unions that gave pension and health insurance to retirees that are not sustainable in todays economy. When GM sells a car the cost of retirees pension and healthcare coverage is greater than the cost of steel to build the car. This is just for people no longer working, they still have to pay the people working today.
It's a tough situation because the retired worker has been given a promise...but the company goes under the promise ends. If the promise is honored...the company goes under. The 25 billion $ bailout is little solace for an industry losing 50 billion per month. It's just a trial balloon to see if the idea will cause outrage from the people.