To almost no one's surprise, the Senate couldn't agree on a compromise plan to provide $14 billion dollars in loans to GM and Chrysler. The Upper House voted 52-35 to bring the measure for a vote, but that was 8 short of the 60 needed to move the bill forward. As was the case in the financial bailout, it was Republicans turning on their own president that doomed this bill. Bush managed a compromise with Senate Democrats, but in the end, the GOP wouldn't go for it.
At issue was the demand by Republicans that the United Auto Workers agree to what's called "parity pay" with non union plants operated by foreign carmakers. The UAW agree, but by no means should the blame for not getting this done be put on them. From the very beginning there were Republican senators who balked at help Detroit because they had foreign car plants in their states. Don't think for a moment those carmakers didn't have lobbyists on Capitol Hill fighting for their interests.
Now the question is, how bad will the fallout from not getting this done be? Even though it's still possible negotiations could get jump started somehow, it's not likely. GM in particular says it doesn't have the cash to operate much longer. Even if you oppose the bailout on principle, the collapse of one or two of the Big Three can't be an appetizing prospect.
It's almost as if members of the current lame duck Congress want to leave as large a mess as possible for the next one to clean up. Of course, the new president will also have that task. On top of all the other bad economic news, bankruptcy for GM and Chrysler could well turn a recession into something no one wants to contemplate.
Could we be using the "D" word sometime in 2009? You tell me.
Subscribe to:
Post Comments (Atom)
Posts
2 comments:
General Motors had offered buyouts to all of its 74,000 U.S. hourly employees. [5] Those workers could have elected to take a lump-sum payment of $45,000 or $62,500, depending on their job description, and retire with full benefits. [6]
Republican Sen. George V. Voinovich of Ohio, a strong bailout supporter, said the UAW was willing to make the cuts - but not until 2011.
http://nomedals.blogspot.com
is were citations are posted
Hello Mr. Mark Riley,
This is my best chance at mail. As a daughter of a mailman,to son of another mailman, I suggest a pobox. They are great. Tom Dent, the playwright author, friend, had one in NOLA, the same box, for well over 30years. I have mine since 1985 and hope I can continue...
And re the missed voice:
My guess was confirmed by IGByrd on air last night.
Wishing you good health and continued good spirits. You and spouse are the happiest people I've ever seen/heard. I am one of many many many who eagerly await your next blogspot and air spot. Nobody does politics like you do.
Post a Comment