And The Big 3 Wonder Why They Are Insolvent

[AUTailgatingRules]

The UAW should be abolished yesterday

http://articles.moneycentral.msn.com/Investing/Extra/hey-gm-can-i-retire-at-48-too.aspx?page=1

[Tarheel]

The UAW should be abolished yesterday

http://articles.moneycentral.msn.com/Investing/Extra/hey-gm-can-i-retire-at-48-too.aspx?page=1

"Hope springs eternal."

This quote particularly struck me as insightful:

...
"I frankly don't see how we're going to meet the foreign competition," said Henry Ford II, then chairman and CEO of Ford Motor (F, news, msgs), on May 13, 1971, right after the annual shareholders' meeting.
...

Yeah, why don't you design something besides a fucking box on wheels.

[AUTailgatingRules]

"Hope springs eternal."

This quote particularly struck me as insightful:

Yeah, why don't you design something besides a fucking box on wheels.

Or how about pay the employees for the value of their service.  I would dare say that the guy taking my money at the local convenience store should be payed more than the guy who is responsible for screwing in the lugnuts for 8 hours a day. 

Could you imagine getting paid $75,000 a year for a skill that could be performed by a 12 year old.

[Tarheel]

Or how about pay the employees for the value of their service.  I would dare say that the guy taking my money at the local convenience store should be payed more than the guy who is responsible for screwing in the lugnuts for 8 hours a day. 

Could you imagine getting paid $75,000 a year for a skill that could be performed by a 12 year old.

I was just at an lunch presentation today on surviving the economic turmoil (I will make a longer post on that separately); but one question that came up was investing in Detroit (GM, Ford, Chrysler); the general consensus among the economic eggheads was that they should have gone bankrupt long ago.  Propping them up is only forestalling the inevitable; moreover they have got to come to terms with the overwhelming legacy cost burden which is just not sustainable anymore as is their business models.