http://www.bloomberg.com/apps/news?pid=20601087&sid=a_g060XQ4R_4&refer=home
So what does this mean? It means that all of a sudden the union was to be charged with running the health care fund themselves and that GM would contribute only half the funds necessary in cash. That was part of the rescue plan by Washington. It was obvious where this would lead, the union would lose its ability to fund health care benefits.
Anyway, now that the UAW and GM have come to an impasse, THIS IS IT. GM will again come into the limelight and crippling health care costs will become the #1 issue discussed. This is THE chance for american business and public to take the health care crisis by the horns and to correct it.
This is a golden opportunity to fix one small part of America that desperately needs fixing. Get your phones ready and start talking about the alternatives to anyone interested.
Props to UAW for trying to make this a national issue instead of quietly dying away.
Feb. 14 (Bloomberg) -- The United Auto Workers union is objecting to proposals from General Motors Corp. and Chrysler LLC to modify a retiree health-care fund as required by the U.S. so the automakers can keep $17.4 billion in aid.
The UAW stopped negotiations with GM last night, a person familiar with the talks said. Chrysler still is talking to the union, though the talks havenât been substantive, said another person briefed on those discussions. A delay in the talks could risk the automakers missing a Feb. 17 deadline to show progress in a government-ordered plan to cut labor and debt costs. Itâs not clear what that would mean.
The terms of the Dec. 19 loan agreements from the U.S. Treasury require GM and Chrysler to convince the UAW to accept half of scheduled payments into a union-run retiree health-care fund next year in equity instead of cash. The automakers are also seeking to eliminate supplement unemployment pay and change plant work rules to trim labor expenses.
So what does this mean? It means that all of a sudden the union was to be charged with running the health care fund themselves and that GM would contribute only half the funds necessary in cash. That was part of the rescue plan by Washington. It was obvious where this would lead, the union would lose its ability to fund health care benefits.
Anyway, now that the UAW and GM have come to an impasse, THIS IS IT. GM will again come into the limelight and crippling health care costs will become the #1 issue discussed. This is THE chance for american business and public to take the health care crisis by the horns and to correct it.
This is a golden opportunity to fix one small part of America that desperately needs fixing. Get your phones ready and start talking about the alternatives to anyone interested.
Props to UAW for trying to make this a national issue instead of quietly dying away.