Yes - Ford does not need a bail out , not yet anyway ?
No - GM and Chrysler are NOT asking for a bail out - they are asking for a low interest Loan . Two reason the credit market is still frozen and if they could get a bank loan it would be at a much higher interest rate then what they could get direct from the Feds
Of course, what this really is.....is a UAW bailout. Hyundai, Toyota, BMW and others have factories in the US and build cars. They're not up on Capitol Hill with their tin cups. Why?
because they're foreign companies, perhaps.
Tight credit, economic worries and high gasoline prices combined to crush the sales of U.S. and foreign automakers alike last month, with Ford, Toyota, Chrysler and Nissan all posting drops of more than 30 percent. Honda reported a 24 percent drop.
bad decision are bad decision even when Toyota is making them.
But some missteps along the way mean the economic slump is hitting Toyota harder than its Asian rival Honda. Part of it is a timing issue. Seeing a hole in its lineup, Toyota rolled out the full-size Tundra pickup in 2007, just as gasoline prices started skyrocketing and U.S. consumers started abandoning trucks and SUVs in favor of more fuel efficient cars.
Now that the economy is on the skids, the company's breakneck expansion of its U.S. operations isn't looking all that smart, either. The soaring value of the yen hasn't helped, because it's made Japanese exports less competitive and undercuts the value of earnings made in American and elsewhere.
Loc: Pinellas Park, Florida
The UAW really isn't the problem that it is perceived to be. If you're going on the report that auto workers' average pay is $75 per hour, you're using cooked data. In reality, the average wage is $18 per hour. Still, that's pretty good, but that is an average, meaning that there are many who are making less than that and many who are making more. Seriously, if you were making $75 per hour, would you be living hand to mouth?
Right foreign car makers match their counter parts in pay and some benes , thats how they keep the unions out . Example GM pays laid off workers 90% of their wage "wtf" you don't find that anywhere else
Yes thats the thing with Japanese companies they tend to use "attrition" as a way to scale down as oppose to lay offs . Simply if someone quits or retires they don't hire a replacement , that used to work not sure what about next year ?
Xplain's use of MacNews, AppleCentral and AppleExpo are not affiliated with Apple, Inc. MacTech is a registered trademark of Xplain Corporation. AppleCentral, MacNews, Xplain, "The journal of Apple technology", Apple Expo, Explain It, MacDev, MacDev-1, THINK Reference, NetProfessional, MacTech Central, MacTech Domains, MacForge, and the MacTutorMan are trademarks or service marks of Xplain Corp. Sprocket is a registered trademark of eSprocket Corp. Other trademarks and copyrights appearing in this printing or software remain the property of their respective holders.
All contents are Copyright 1984-2010 by Xplain Corporation. All rights reserved. Theme designed by Icreon.