UAW Gives Union Workers At GM $7K Bonus!

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DrMaddVibe
Herf-A-Holic Topic Starter

14 years ago

UAW Gives Union Workers At GM $7K Bonus

GM books record annual profit; union workers due $7,000
February 16, 2012

DETROIT (AP) – General Motors earned its largest profit ever in 2011, two years after it nearly collapsed into financial ruin… The 103-year-old company made $7.6 billion in 2011, up 62% from 2010.

Mind you, since 27% of GM is still owned by the government, these figures are, in effect, coming from the Obama administration as well as the United Auto Workers. So they are probably as accurate as the current unemployment numbers.

GM also said Thursday that its 47,500 blue-collar workers in the U.S. will get $7,000 profit-sharing checks in March. The checks are based on North American performance and are a record for the company…

Meanwhile, as we have previously noted, the UAW is freezing the pay of its non-union workers, slashing their bonuses, and completely doing away with their pensions. The non-union workers don’t get to share in the profits.

This is social justice at work.

Strong sales in the U.S. and China helped the carmaker turn a record profit, beating its old record of $6.7 billion in 1997 during the pickup truck and SUV boom.

Clearly, we are in the middle of the ‘Chevy Volt boom.’

GM is a vastly different company than it was then. It’s smaller and has less debt, and its contract with the United Auto Workers is less costly…

Yes, the UAW’s pension fund was bailed out, and the union was given the company they destroyed, in exchange for a "less costly" contract. That is what is known as "fairness."

But it took a government bailout and a trip through bankruptcy protection in 2009 to cut its bloated costs. The restructured company wa [sic] able to make record profit last year, even though U.S. auto sales were near historic lows at 12.8 million cars and trucks…

Again, these profit reports are coming from the Obama administration. And who knows how much they have been ‘seasonally adjusted’ to give Obama something to crow about?

Also bear in mind that GM will not have to pay any federal taxes for the next ten years. (Which was another payback to the UAW for their loyal support of Obama and the Democrat party.)

So, even though General Motors has made the biggest profit in its history, it will pay less tax than Warren Buffet’s secretary. — Where is the outrage?

http://sweetness-light.com/archive/uaw-gives-union-workers-at-gm-7k-bonus?utm_source=twitterfeed&utm_medium=twitter&utm_campaign=Feed%3A+sweetness-light%2FsURR+%28Sweetness+%26+Light+-+Articles%29

Yeah...they needed a bailout! We wouldn't survive if we didn't give them the money.

You've been cheated!

Face the facts!

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snowwolf777
Herf-A-Holic

14 years ago

Since they still owe the tax payers on the bail out, just tax each of them $6,999 on their "profit sharing" and use it to reduce the amount owed.

#-o

They can each get a commemorative frame for the remaining dollar.

Edited by user 14 years ago | Reason: Not specified

snowwolf777
Herf-A-Holic

14 years ago

Or, they could get their $7,000 in "Obama Bux". Each one entitles you to another vote in the upcoming Presidential election.

🍺

Rclay
Herf-A-Holic

14 years ago

The Amero? any nibbles?

ZRX1200
Herf-A-Holic

14 years ago

WINNING!

rfenst
Herf-A-Holic

14 years ago

just hink about how much those $7,000 checks will stimulate the economy when the money gets spent.

snowwolf777
Herf-A-Holic

14 years ago

just hink about how much those $7,000 checks will stimulate the economy when the money gets spent.

rfenst wrote:

Yes, it took 4 years, but the tax money spent to bail out the failing auto makers is finally moving into the "stimulus" category. I'm sure beer, cigarette and lottery ticket sales are sky rocketing in the "D". I'm just proud as hell to be a Wolverine right now.

[frypan]

rfenst
Herf-A-Holic

14 years ago

snowwolf777 wrote:

I am a Wolverine at heart too.

Don't know if there was a timeline for bailout repayment, but I would expect the profitable auto-companies to remain or be ahead of schedule. There is a silver lining to the bailout of any company that survives and not only pays its employees what they bargained for, but also the $$ owed the the federal government.

Pheloniousmunk
Connoisseur

14 years ago

I wasn't for the bailout as it occurred however I did have grave concerns for the 70 or so thousand people who would have been directly affected by job loss(including suppliers) and all of the people with invalid warranties if GM was allowed to go teats up. That being said.......this story doesn't make any sense and it appears that a Twitter feed which co-mingles legitimate fact with hate mongering is the cited source.

Our local rag newspaper also published an Associated Press news item directly stating that the represented employees of GM would be receiving $1500 bonuses, not $7k bonuses, so who is telling the truth? The local rag printed the AP piece in it's apparent entirety, it looks like the author of the tweet interspersed his opinions and conjecture with material under an AP tagline?

Another point which makes me question the integrity of this tweet is that the UAW is not giving anyone a bonus, the bonus comes from GM. Undoubtedly the United Auto Workers union makes plenty of money from the rank and file union members, but they don't share their profits. Furthermore, the UAW doesn't control compensation of GM employees not represented by them as was alleged in the tweet, so what gives?

If you want to get really mad about details of the bailout, research where GM stands in the repayment plan and how those funds have been returned to use for the benefit of the American taxpayer. From what I've read, there is a special account that money is going into that is controlled by a few of Obama's Czars under the guise of economic development..........like Solindra.......but what's a half billion lost dollars in just one example, amongst friends?

BTW, I recall bigwigs at GM stating that although current and retiree benefits were onerous and challenging their ability to make a profit which would sustain good stock value, it was all the bad paper that GMAC held in subprime mortgages that nearly drove them under. Anyone else remember it like this?

ZRX1200
Herf-A-Holic

14 years ago

#10

Yeah the benefits were fine.

(Toilet flush sarcasm emoticon)

Bond holders got

F

U

C

*

E

D.

DrMaddVibe
Herf-A-Holic Topic Starter

14 years ago

#11

Our local rag newspaper also published an Associated Press news item directly stating that the represented employees of GM would be receiving $1500 bonuses, not $7k bonuses, so who is telling the truth? The local rag printed the AP piece in it's apparent entirety, it looks like the author of the tweet interspersed his opinions and conjecture with material under an AP tagline?

Pheloniousmunk wrote:

GM workers receive record bonuses
Updated: Friday, 17 Feb 2012, 12:24 PM EST
Published : Friday, 17 Feb 2012, 12:24 PM EST

TONAWANDA, N.Y. (WIVB) - Two years has made a huge difference for GM. The automaker is reporting a record profit for 2011.

Just two years after getting bailed out by the government, GM earned the highest profit in it's 103-year history and they're sharing their earnings with thousands of workers nationwide and locally at the Tonawanda engine plant.

GM earned a record $7.6 billion in 2011. Despite the record profit, critics say we shouldn't forget that just a couple of years ago about $50 billion of taxpayer money was spent to save GM from bankruptcy. Nearly half of the money has been recovered.

Thursday they announced, 47,500 blue collar workers, many who took pay cuts because of the bailout, would be getting a $7,000 profit sharing check.

Locally about 850 workers at the Tonawanda plant will receive the record bonus to share with their families.

“That has a tremendous impact on the economy. That turns into spending, that turns into additional purchases, that turns into people getting caught up on their bills,” said Tonawanda Engine Plant Manager Steve Finch.

Local 774 Chairman Bob Coleman said, “We've never expected to get this kind of money. The national parties put together a package and it shows this package really works and works for the economy. “

In the next few months the Tonawanda plant will also be reinstating 93 workers who had been laid off.

Copyright WIVB.com

http://www.wivb.com/dpp/news/local/gm-workers-receive-record-bonuses

AND...

http://www.freep.com/article/20120216/BUSINESS0101/120216003/1205/business01/GM-made-record-7-6-billion-2011

Edited by user 14 years ago | Reason: Not specified

JadeRose
Herf-A-Holic

14 years ago

#12

So..one of the biggest employers in North America is making enough profit to reward it's workers instead of just upper management? Those workers will then pump that money back into our economy that will help keep other Americans working?

Bastards

Stinkdyr
Herf-A-Holic

14 years ago

#13

Your tax $$ at waste!

🌫

JadeRose
Herf-A-Holic

14 years ago

#14

Your tax $$ at waste!

🌫

Stinkdyr wrote:

Well.....I would rather see my tax dollars going to support Americans than building roads in Afghanistan or rebuilding Iraq or propping up Israel, Pakistan, or most of Africa. I say we stop all THAT nonsense and use that money here at home to rebuild infrastructure and bring manufacturing back to the US.

Stinkdyr
Herf-A-Holic

14 years ago

#15

^^ tru dat!

DrMaddVibe
Herf-A-Holic Topic Starter

14 years ago

#16

I say we stop all THAT nonsense and use that money here at home to rebuild infrastructure and bring manufacturing back to the US.

JadeRose wrote:

Until we repeal NAFTA...THAT'S not going to happen!

Ever been in a GM shop?

That money is going to go right into the nearest "party store" to the plant for liquid lunches...blunts...and lotto.

This is criminal in my mind. GM can afford to "give" bonuses but cannot pay back the American taxpayer? Damn...why not just give every taxpayer in the US a discount on the car then and we'll call it even...matter of fact....GIVE us a car...we paid for it!

Then to go out and cry they made RECORD profits?

riiiight!

They're so epic that they're not giving salaried workers the same consideration that Joe Rivet gets. Think Joe Rivet could design the car he's building? If that's not bad enough...Salaried workers are getting the shaft with beneifts too! Yeah, I'm really proud we stepped up and GAVE them money to survive...oh, if we only had some sort of bankruptcy protection laws on the books that would save bond/shareholders...jobs...marketshare and enable them to get on their feet WITHOUT reprisal. We can dare to dream.

Pheloniousmunk
Connoisseur

14 years ago

#17

So if we accept that because of the record profit that GM made, the represented employees are getting $7k bonuses, why should we care and what can we do about that? The only reason I care is because ~ $50 billion taxpayers dollars saved the company and we haven't been fully paid back yet.

On the other hand, I will take a fairly certain guess that an enhanced profit sharing bonus was instrumental in negotiating lower wage and benefits packages for incumbent employees, hard costs regardless of productivity, the quality of the product, or revenue generated. Profit sharing gives the rank and file employee a more tangible sense of ownership in a company, and I'm for it. Some hardball negotiating and restructuring should have been mandated given the fact and magnitude of the government bailout of GM, but it doesn't appear those conditions were included in the check that our elected officials sent. I'm afraid that to be aware of every travesty commited by or caused by our government will drive a person mad.....just remember who was involved come election day.