It is simple math. The UAW claims to have saved GN with their conssesions.
Yet the new contract takes us to even higher wages than in the past .
While there has been a few changes at GM in operations this will not save them in a downturn.
It is largely business as usual with little or no profit coming from autos.
7 of the top selling 7 cars are foreign.
Now imagine the effect of eliminating the Second Tier in this last contact.
Better yet imagine paying a reasonable wage of top out 20 and hour x 40 k workers on profit.
Eventually history will repeat.
Unless they survive long enough to negoiate a real substainable contract with the UAW..
It is pretty simple . The high UAW wages. The bulk of profits were earned under the two Tier wage system and wage concessions gained during the bankruptcy.
The two tier is now gone. A gigantic bonus was paid.
As sales slow or any hiccups happen the Street knows we will return to yesterday.
You simply cannot pay UAW wages for a commodity product.
7 of the tops 7 selling cars are foreign.
GM makes little profit from the cars they do sell.
Still way to many companies selling cars.
No lessons learned from the past.
Imagine the profits lost with these new wages.
THE UAW themselves EXPLAIN we saved GM with out wage concessions , so how will history not repeat since the concessions are now gone ?
THE UAW contract which I warned you over and over about .
They will blame it on Europe but if the UAW was being paid a fair wage of top out of 20 after 5 years ,profits would continue to come into Ford.
Now the repeat of history is beginning. Ford un der 13
And here we go
not be around because theyc ould care less about the stock price as they don`t own any stock.
There just at Ford to bleed the company dry as they are doing with the lastest conteracr. Ford close rto below 12
Of course the about UAW shills told us Ford would be fine paying outragous amounts of money to the UAW
When profits start falling due to the higher wages and slower sales ?
We are at 12 and change.
Tell us again Questionater, flying, Jeff, love,Mo, and the Gang of UAW shills how labor costs do not mean anythig.
We shall see you at contract time when F is trading around 7 .