[Others aren't so sanguine.] How do U.S. firms compete in the global economy? ... If the only way to compete is with $10 wages, we have a problem that is much larger than just Delphi. We're looking at a society where people exit rather than enter the middle class. |
A lot will depend on who's the first company up. You may almost have an insipid auction taking place among the companies trying to be first. |
Bankruptcy is allowing airlines to emerge with a clean slate, but it's bad news for workers. Pensions will be affected, and it will mean lower wages and probably fewer jobs. |
Because they (Delphi) have considerable leverage at a moment of bankruptcy is not the same as saying the UAW is out of the game, |
Because they (Delphi) have considerable leverage at a moment of bankruptcy is not the same as saying the UAW is out of the game. |
Both sides have an interest in settling this. Nobody wants a strike. |
Caterpillar is a powerful symbol of this process. It dominates its field. It is one of America's largest exporters, and it is very profitable. If there ever was a company that could bring back the social contract of the mid-20th century, it is Caterpillar. But it chooses not to. |
Delphi has essentially said: 'We need competitive wages.' Those wages currently are being set in China, not Flint, (Michigan). |
Economic growth in the United States in the 20th century was based on building entrances to the middle class, from Henry Ford in 1913 to strong unions in the '50s and '60s. |
Everyone on the picket line who thought they could be out of a job for good will be out of a job for good. |
Everyone on the picket line who thought they could be out of a job for good will be out of a job for good, |
For a plant closing of this magnitude, the overall impact is somewhere between traumatic and devastating. |
For Chavez, Fox is a surrogate of the United States in Latin America. For Fox, coming on against Chavez is low-cost, since he's in his last year (in office), weakened at home ... . Standing firm on anything offers him possible gains. |
Fox and Chavez are both serving important domestic political purposes for each other. |
GM is sending signals about its priorities. The 2007 negotiations are going to be tough. |