Business Services Industry
GM blues II.(Opinion)(General Motors Corp. and United Automobile Workers)
Crain's Cleveland Business, November, 2005
Last week's announcement by troubled General Motors Corp. that it plans to close nine North American plants by 2008 may have been good for shock value, but it stands to provide little near-term relief for the money-losing automaker because of the structure of its current contract with the United Auto Workers.
And it's that contract and what it represents that causes us to say a pox on GM and the UAW, for they've sentenced themselves to live under terms of an agreement that continues to strangle both. GM desperately is trying to bring its production capacity in line with its sharply reduced market share in the United States. But as we stated last June in an editorial calling for the company to push the union hard to bring down its contractual health care and...
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