Congress or Auto Industry Executives: Who's More Credible?
Senators Had Another Chance to Pick on General Motors, Ford and Chrysler
Chief executives from General Motors, Ford and Chrysler batted things around for six hours today with a Senate committee. The auto industry executives get to go to the House of Representatives on Friday. Then they can car-pool back to Detroit in their hybrids.
Two weeks ago, the CEO's from the formerly "Big Three" automakers made the political mistake of flying into D.C. on their lavish corporate jets. Members of Congress, none of whom ever have accepted a luxury perk (pause; stifle guffaw), beat up the auto industry executives big time. The fellows responded with their hybrid car pool, and the senators responded by making fun of them.
The auto industry executives mostly played it cool on Thursday, even though they no doubt felt similar to their usual adversary, United Auto Workers President Ron Gettelfinger. When the UAW agreed Wednesday to an array of contract concessions, Gettelfinger asked why Congress also has not pushed for givebacks from workers at places such as AIG and Citigroup.
"I know that we are somewhat paying attention here more so than we did with the others," admitted Tennessee Republican Sen. Bob Corker, somewhat dubiously. This is according to the Politico Web site.
Wall Street companies and firms are eligible for up to $700 billion in federal bailout funds, and Treasury Secretary Henry Paulson already has committed about 40 percent of the money. General Motors is seeking $12 billion, Ford $9 billion and Chrysler $7. All three automakers pledge to payback the money with interest.
Connecticut Democratic Senator Christopher Dodd, who chairs the Banking Committee, seemed to contradict himself during Thursday's six-hour exercise. Dodd complained that he felt his committee was not being granted proper oversight of Paulson's activities, but then he told the auto industry executives that they could qualify for funds without a vote in Congress. Indeed, Wall Street operations such as AIG and Citigroup did not need legislative votes, but the $700 billion bailout is intended only for Wall Street. General Motors, Ford and Chrysler would need separate pots of federal funds.
SOURCE
http://www.politico.com/blogs/thecrypt/1208/Its_Over_But_Now_The_Work_Begins.html?showall
Published by Michael Thompson
Michael Thompson is a retired newspaper reporter who lives in Saginaw, Michigan. Main topics are political and social justice issues, with occasional escapism into sports and so forth. View profile
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2 Comments
Post a CommentHm ... how about having the union -- which IMO has a huge chunk of responsibility here -- work with management to come up with a way of making the comapnies profitable again without loans? Until they do, only the workers get paid, but none of the execs or union bosses.
Don't trust either. One is lame duck, the other should get the ax. Restructure, get those blind morons in the top echelons of the car companies out of there, and give them the money. We've already given the biggest thieves in the nation $700 billion -- what's another $34 billion? By the way, the amount will rise as this goes along...