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UAW seeking GM board seat in exchange for bailout concessions

12/09/2008, 1:16 PM

By Drew Johnson

The United Auto Workers union has made it clear that it is willing to give some concessions in order to secure low-interest bridge loans for the Big Three, but the UAW won’t exactly be giving in for free. In exchange for further concessions, the UAW has expressed that it expects a seat on General Motors’ board.

According to the Detroit Free Press, UAW Local 2404 – out of Charlotte, North Carolina – posted on its web site that “the UAW seeks an equity stake in the company most likely in the form of a seat on the board of directors.”

GM, along with the rest of the Big Three, is seeking up to $34 billion in government bailout loans, which will likely come with plenty of strings attached. It remains unclear if Congress will grant the UAW a seat on GM’s board, but the request isn’t totally unreasonable.

In order to help secure government funding, the UAW has already delayed the automakers’ payments into VEBA – a retiree healthcare trust – and suspended the use of job banks. In addition, the UAW expects more GM job cuts and buyouts next year.

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12/09, 1:19 PM

posted by:

Borat

Ridiculous. It is requesting bonus for completely butchered job.

12/09, 1:20 PM

posted by:

howsmydriving

Just say no to pigs.

12/09, 1:26 PM

posted by:

RaineMan

Oh hell no. That would destroy everything GM has left… you don’t want the union on your board of directors.

12/09, 2:10 PM

posted by:

DetroitWatcher

No freaking way… this would be a complete conflict of interest that would definitely lead to the company’s demise.

12/09, 2:50 PM

posted by:

yarddog82abn

LOL…..THAT IS FREAKING FUNNY!!!!!!!!!

AND MY ANSWER IS …NOOOOOOOOOooooooooooooooo……………….

12/09, 3:14 PM

posted by:

andy

wtf mate

12/09, 3:15 PM

posted by:

idrinorbarsaku

the hell with them. they are the ones who make the big three even worse. i want gm and ford to dominate foreign companies but the unions can not be the same as they are right now for them to succeed!

12/09, 3:16 PM

posted by:

procrastinate now

This is funny. The UAW still believes they have leverage to negotiate. I wonder if they realize they are one “NO” away from being unemployed… and, since they have no other skills, unemployable.

12/09, 3:22 PM

posted by:

HoosierHero

No, this would be great! Then when GM tanks no one can point the finger and b1tch about the other…

12/09, 3:23 PM

posted by:

footdoc67

How dare they demand anything as a concession to the tens of billions of dollars that they are requesting from around the world. The concessions are necessary as the unions have put such a choke hold on the industry. I once was a member of a union for a very large world wide corporation. Every time a contract dispute came up, it amounted to ‘pay me more, work me less, and don’t hold me accountable. If you do hold me accountable, pay me to not work’. The union bosses do not want anyone to be satisfied with their job and appreciate what they have, because if they did, it would reduce power and necessity. If the union won’t hold its own accountable when infraction are done, how can they be any better on the board of any corporation. What makes them so special and more important over other harder working Americans. They have dug their own grave.

12/09, 3:45 PM

posted by:

corvette

WTF they can eat $H!T they screwed them so hard and now they want to be rewarded for taking the necessary steps?

12/09, 4:00 PM

posted by:

procrastinate now

I’ve said it before, union auto workers should have to become non-union in order to keep their jobs. If they refuse, NO BAILOUT!.

12/09, 4:08 PM

posted by:

miket

F’em.

Greedy bastards just want whatever they can get.

When you make 40 bucks an hour or more putting “tab a into slot b,” you don’t get any say. You’re lucky they auto makers put up with you for so darn long.

12/09, 4:08 PM

posted by:

terk184

where is Ronald Regan when you need him??

12/09, 4:30 PM

posted by:

400horseSS

F*ck all of you, and ita 28.68 an hour dumbass.

12/09, 4:37 PM

posted by:

aesir

$28.68 an hour is $60,000 a year. That’s not bad for something someone can do without a college degree. Keep in mind the national average is about $46,000.

12/09, 4:38 PM

posted by:

aesir

In other words, I agree with everyone else. Union workers are well compensated and a seat on the board would lead to a conflict of interest at the most senior of levels.

12/09, 4:39 PM

posted by:

bigs4610

OMG….

this is the biggest crock of BULL$H!T ive ever heard in my life.

Ron Gettelfinger and the UAW need to go. end of story

12/09, 4:45 PM

posted by:

bigjimid

O M F G!!! Are they serious!? Having GM’s balls isn’t enough? Now they want to bend them over and rob them of their dignity while giving them something else…..

I like proctrastinate now’s idea, they should have to be willing to go non-union go keep their jobs.

Seriously, who are they kidding? I would laugh my a$$ off if congress gave GM the money as long as they put UAW on their board, and GM said “Nah, we’d rather declare bankruptcy and build the company back up from there.”

12/09, 5:02 PM

posted by:

Mutant@DCX

No seat. No concessions.

I’m feeling argumentative today.

12/09, 5:04 PM

posted by:

Mutant@DCX

/meaning, don’t want no seat, phuck concessions

12/09, 7:27 PM

posted by:

Borat

Having read everyone reaction, which is same as mine, let me explain to you what shall happen. Since it is UAW who delivered votes to respected Senators and Congressmen, they will get seat on the board along with congressmen and senators. And after sucking in 125-150 billions into deranged Detroit 2.6 we will see those companies go down in infamy, in about 3-4 years, just before next election.

12/09, 8:44 PM

posted by:

DetroitWatcher

@Borat: Sadly I agree. Though Ford might still have a chance… if they don’t take the money, perhaps they won’t have to take on a UAW (or Congressional) board member.

12/09, 9:30 PM

posted by:

1c3d0g

Hell no! The UAW should be disbanded for what they caused, most of this mess is their fault anyway.

12/09, 11:39 PM

posted by:

gogogodzilla

What’s wrong with the union having a member on the board of directors?

They have them at the Volkswagen group, and they seem to be able to turn a profit.

12/10, 9:54 AM

posted by:

Lau

@gogo

If you haven’t been following the AMERICAN uaw for the past couple years, then I’ll forgive that comment.

12/10, 11:29 AM

posted by:

caperdf

I believe in Germany, by law the union has a seat on the Board of directors. It seems to work well for them, and I always thought it seemed like a good idea. And I’m FAR from a union man or supporter. The union membership has as much or more at stake as the execs.

Maybe with the union presence, the company will be better focused on long term profitiblity, not quarterly bonus’ only. It may also help union attitude evolve to an organization that isn’t 50 years out of touch.

 
 
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