what happened to uaw when gm went bankruptcy
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The GM Defalcation: How The UAW Got Its DealForbes ^ | six/1/2009 | Dan Fisher
Posted on 06/01/2009 8:33:39 PM PDT past bruinbirdman
A lawsuit arguably designed to be lost and friendly federal judges in Detroit led to a shredding of benefits for retirees.
The bankruptcy of Full general Motors delivers an unwanted present to the roughly 472,000 retirees and dependents who one time held some of the cushiest benefits in business concern.
When the automaker emerges from bankruptcy later this year, those retirees volition be the proud owners of a shriveled health care bundle and a 17.5% stake in the new General Motors (GM), their bounty for giving up a perk once estimated to be worth more $60 billion.
How it happened involves: an unusual lawsuit that arguably was designed to exist lost; and federal judges in Detroit unwilling to upset agreements meant to preserve as many union jobs as possible. In the process, those judges deftly maneuvered around a 1940 Supreme Courtroom civil-rights example that inspired the novel and flick A Raisin in the Sun.
Caught in the middle were retirees, many of whom agreed to get out their jobs earlier they were old enough to receive authorities Medicare coverage. In its first iteration, the and so-called Voluntary Employee Beneficiary Association was supposed to prepare up a $30 billion contained trust to pay their health intendance benefits regardless of what happened to the automakers. Every bit role of the defalcation filing Monday, the United Auto Workers wedlock agreed to forgive $20 billion GM owed the VEBA and take the 17.v% stake plus $6.v billion in preferred shares and a $two.v billion notation.
"This was a political try by (UAW President) Ron Gettelfinger to convince aging workers to have early retirement because 'your benefits will be secure for lxxx years,'" said Stephen Diamond, an acquaintance professor at the University of California Santa Clara who has written critically about how retirement benefits were restructured. "Instead of existence insulated
(Extract) Read more at forbes.com ...
TOPICS: Business/Economy; Crime/Corruption; Authorities; News/Current Events
KEYWORDS: automakers; generalmotors; uaw; unionvote
1 posted on 06/01/2009 8:33:39 PM PDT by bruinbirdman
To: bruinbirdman
At that place is no way to depict this to my eldest Son.
two posted on 06/01/2009 8:35:40 PM PDT by allmost
To: berdie
three posted on 06/01/2009 viii:36:16 PM PDT by berdie (Philosophies of the school room in one generation will reflect the government philosophy of the next)
To: bruinbirdman
four posted on 06/01/2009 eight:36:21 PM PDT past FlingWingFlyer (Gibbs needs to be "exceedingly careful" when threatening the American people.)
To: bruinbirdman
GM'south Defalcation — YOU Are The Biggest Loser
Past Peter Ferrara
Director of Entitlement and Budget Policy, Institute for Policy Innovation/General Counsel, American Civil Rights Marriage
With the federal regime emerging from the GM bailout owning threescore% of the visitor, the new GM will exist run by the politics of the Obama Administration, not economics. That means it will be run to serve the interests of the UAW and the environmentalist groups that are major players in Obama's political coalition, not consumers.
Taxpayers will just become the bill. And don't await that to end with the $fifty billion the Feds accept already committed to the visitor (apparently without legal authorization, Congress approved TARP funds for banks, recall?).
—————
Take good care of those big, powerful, luxurious cars you are driving now. They are going to exist worth a lot more than on the resale market than you thought.
[snip]
5 posted on 06/01/2009 8:38:57 PM PDT past blam
To: bruinbirdman
Good article. The parasites destroy the company, and then let their used up minions become downwardly with the sinking ship. They cling to THEIR life rafts waiting for their new ship ENABLER to scoop them out of the h2o. Quite the con game past these criminals.
half dozen posted on 06/01/2009 8:l:15 PM PDT by PGalt
To: PGalt; blam
The union owns the medical benefits packet.
Now, all they accept to do is concord on 'til The Obammunist nationalizes health care.
yitbos
vii posted on 06/01/2009 9:18:20 PM PDT by bruinbirdman ("Those who control linguistic communication control minds.")
To: bruinbirdman
"This was a political attempt by (UAW President) Ron Gettelfinger to convince aging workers to take early on retirement considering 'your benefits volition be secure for 80 years,'"
Me thinks Mr. Gettelfinger ameliorate have his caput on a swivel for the rest of his life.
8 posted on 06/01/2009 9:22:xx PM PDT past Lurker (The avalanche has begun. The pebbles no longer accept a vote.)
To: PGalt
They are mercenaries, screw them.
To: Shlomo_Limbaugh2
I will NEVER buy a GM automobile. Period. Sorry workers, you accept been hijacked past a hostile regime. I am not comfortable with this situation at all.
To: blam
"Take adept care of those big, powerful, luxurious cars you are driving now. They are going to be worth a lot more on the resale market than y'all idea."
And yous volition exist able to take very adept care of it, considering information technology will be safe in a garage, unable to be licensed to drive on the street. I remember that this is how the gov't will solve the "no one will buy these new pieces of s***" cars problem.
eleven posted on 06/01/2009 10:19:21 PM PDT by The Antiyuppie ("When small men cast long shadows, and so it is very belatedly in the twenty-four hours.")
To: The Antiyuppie
will they outlaw motorcycles?....because if I have to learn to drive ane, that is what I will do....
12 posted on 06/02/2009 1:32:10 AM PDT by cherry
To: FlingWingFlyer
"I Similar CHEVY RIDES And then MUCH, I BOUGHT THE Company"
"AND I DID Information technology WITH YOUR Money, FOOL!"
To: The Antiyuppie
"And you will exist able to accept very good care of it, because it will be prophylactic in a garage, unable to exist licensed to bulldoze on the street. I recall that this is how the gov't volition solve the "no one volition purchase these new pieces of s***" cars problem."
Exactamundo.
Either they will be completely illegal to license, or licenses will cost a fortune.
And since merely faithful servants of the Party will be permitted to accept wealth, they'll be the but ones able to afford the luxury of legacy "clunkers".
Either style, the days of prophylactic, comfortable cars in America are numbered for the masses.
To: TheClintons-STILLAnti-American
only faithful servants of the Party will exist permitted to have wealth
I like to call my buddy every now and and then and in a heavy Russian accent tell him how I promise to be able to join the Party, and at present I'm going to get rich, while he is still a peasant and a member of the Proletariat.
fifteen posted on 06/02/2009 7:48:08 AM PDT past Hardastarboard (I long for the days when advertisers didn't constantly ask about the health of my genital organs.)
To: my pocket-sized voice
Me either. I considered buying a Ford pickup, but declined because they're fabricated past UAW members.
I ended upwardly going with the Toyota Tundra.
What was that erstwhile song, "look for the Union Label?"
Well, if I see a Union Characterization, I brand sure to Non buy it.
16 posted on 06/02/2009 7:51:54 AM PDT past Boiling Pots (Barack Obama: The final turd George W. Bush-league laid on America)
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