Business Services Industry
Labor pains.(Opinion)(Delphi Corp)
Crain's Cleveland Business, April, 2006
The decision by Delphi Corp. to ask a Bankruptcy Court judge for permission to void its labor contracts could be the catalytic event that is necessary to trigger a much-needed change in the cost structure of the U.S. auto industry. We hope Delphi officials hold firm in their resolve to reduce their labor costs despite a warning by the United Auto Workers to inflict the pain of a strike upon the company should the auto parts maker walk away from those pacts.
It was nearly a year ago that we berated General Motors Corp. for failing to deal effectively with its burdensome health care and retiree costs. We said then, and still believe now, that GM needs to be willing to absorb a strike if the UAW won't work with the automaker to come up with a realistic...
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