Now let's get down to the root of the big 3 auto makers problems
By Arkie69
@Arkie69 (2156)
United States
December 6, 2008 1:47pm CST
The biggest problem the auto makers have is the price of their cars. But the big question is why are the cars so expensive? Grant you the Union demanding high wages for the workers is part of it. But, there are a lot of other things too that don't show on the surface. There are a lot of other company employees that are not even union members. Some of these draw huge wages. There is also an advertising budget you wouldn't even believe. A lot of money is just flat wasted in these companies. There are also a lot of other costs of doing business pay outs that I haven't even mentioned.
The bottom line is every cent the auto makers spend for anything is at some point passed down to the consumer. That's you and me any time we buy one of their cars. That includes the multimillion dollar jets the CEO's use, the millions they pay for a single 30 second spot during the super bowl game and the thousands of other ways they advertise. Every cent of this is passed down to the consumer.
Then our government is stupid enough to think that giving them a few billion will solve all these problems? No matter how much money you give them the forces that put them in this mess are all still in place untouched. They won't cut one wage or their advertising budget or do anything that will bring the cost of their cars down. They are doomed to crash and burn and they know it. Now they are just trying to milk ever dollar they can out of the tax payers. I say don't give them a single dollar.
1 response
@bunnybon7 (50973)
• Holiday, Florida
7 Dec 08
yes, you are right. my son is so mad about them kicking about haveing to lay people off. he says if he made 75 dollars an hr. like a lot of them do, he'd have enough money saved and in different cd's etc., he could retire comfortably and not worry about it.
@Arkie69 (2156)
• United States
7 Dec 08
Yes and now get this one. "IF" these people that are making $70 an hr get laid off they still draw 95% of their wages in unemployment for 2 years. That's $66.50 per hour, $532 a day, $2,660 per week. $10,640 a month. If they wind up with 75% of it after taxes that's still $7,980 a month take home pay. And we wonder why cars have gotten so high that we can't afford to buy a new one. All I can say is what we have been doing in this country IS NOT WORKING and it is time for some drastic changes.