Another $25 billion handout for the Big Three?
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We’re talking about a legally binding contract here; the guy probably chipped in, too.
And now, this guy — typically in his 60s and beyond his working days — is going to be “asked” to accept either a reduction in the benefits he signed on for as a condition of his employment — or a “buy out” that works out to pennies on the dollar?
Meanwhile, Mulally gets $30 mil?
For a year’s “work”?
It is truly amazing that we haven’t had a revolucion
THE THING IS, GM’s — and Ford’s and Chrysler’s — problems have next to nothing to do with so-called “legacy costs.” Or even the CEO pay packages, as such.
The broader problem is that CEOs are reflexively rewarded (or more precisely, not punished) for failure. For making bad decisions.
Let me give you an example.
Toyota has been selling its Prius hybrid for a full ten years now — anticipating the gas crunch by, oh, eight years. Not one of the domestics had a hybrid in production until after the gas crisis hit — and even then, their versions were (and still are) primitive in comparison. GM’s Volt hybrid electric car won’t get here for another year, at least.
Want another? How about Chrysler sitting on its hands, allowing its once dominant position as seller of minivans to fade away into near-nothingness. Or its failure to build a successor for the Dodge Neon — in the 1990s, one of the best-selling economy compacts on the road. Instead, Chrysler threw development money at the pretty but pretty useless Challenger muscle car — a 12 mpg gas guzzler as unsuited for the post-crash era as its ancestor was back in 1973 during the last bout of economic ruin. Ditto the crop of Commanders and Calibers, Aspens and Patriots — models that Chrysler can’t get rid of even with “two for one” desperation tactics deployed.
GM? It didn’t produce a small car competitive with the imports until about four years ago, when the Chevy Cobalt replaced the obsolescent and embarrassing Cavalier. It, too, poured R&D money into a retro muscle car — the pending Chevy Camaro — when it should have been pouring the coals to a Chevy competitor for the Camry and Corolla. Then there’s the Aztek fiasco; the GTO. The SSR. Hummer. Six full line divisions divvying up a 22 percent market share.
Is someone on the pipe up there?
A man of faith in a godless age is hitting Americans where it hurts.
Mr. and Mrs. American Spectator Reader, let P.J. O’Rourke talk sense to your kids.
In Britain, defending your property can get you life.
The debacle of this president’s administration is both a cause and a symptom of the decline of American values. Unless Congress impeaches him, that decline will go on unchecked. An eminent jurist surveys the damage and assesses the chances for the recovery of our culture.
It won’t take long for conservatives to scratch this presidential wannabe off their 2008 scorecard.
The American Christmas, like the songs that celebrate it, makes room for everybody under the rainbow. Is that why so many people seem to be hostile to it?
Was the President done in by the economy, or by the politics of the economy?