Ron Gettelfinger the President of the UAW, claims that the Republican senators that are blocking this bill are from states that gave major concessions to foreign car maker Toyota.
The Corker plan says the UAW must agree to drop wages of the autoworkers which reduces health care, retiree pensions, wages and other benefits. The Corker Plan made wages the primary goal of the auto loan and the concessions must be made by a certain date.
The Republican minority favor Toyota as it sits poised to take over of auto market if the big three all declare bankruptcy. Senator Richard Shelby the US Senator from Alabama has been the major stumbling block in his opposition to the auto loan. Shelby has Toyota money in his state of Alabama since 2001 and Toyota’s investment of 500 million dollars in a plant that employees over 891 employees.
Mr. Shelby is trying to break the UAW union and turning his back on the auto workers who are the American manufacturing base for the economy. In 1980 Shelby also voted against the Chrysler loan which was repaid back to the government and Chrysler survived for the following 28 years providing jobs to American autoworkers.
Toyota in his state received bonuses for the plant to be located in Alabama, free land, free labor to build the plant, major tax concessions, and much more. Mercedes has also located in Alabama which was also given major concessions to locate in the state of Alabama.
US Treasury has to step up to the plate and loan Main Street this vital loan. The Senate GOP caucus has defeated the bill which will collapse the economy and they are bent on defeating the loan package which includes concessions by the UAW.
The 112 billion given to AIG could be used to loan the automakers but that has not been an idea anyone has picked up on, since those funds are sitting in banks and not being loaned out. The Financial services sector receives their bailout without question Bob Corker, another Republican from Tennessee opposes the loan and it is strange that the Republican minority are blocking US jobs in favor of foreign automakers.
A retired engineer from General Motors has launched a new website to boycott Alabama at: http://www.boycottalabamanow.com/
Millions of jobs in every state are at risk if the emergency loans are scuttled. The Whitehouse is expected to act thorough the Treasury to assist at this last minute emergency created by the Republican minority. Previous warnings from the Bush administration to Republican senators has failed to pass the bill last night. It is up to the Whitehouse to proceed with a Tarp fund loan to prevent the collapse of the auto industry.
The failure of this administration to act would severely weaken an already destabilized economy.
TAGS: Richard Shelby, General Motors, UAW, boycott Alabama, Toyota, GM, Senate, Senator Shelby, Chrysler, Bob Corker, Ron Gettelfinger, Mercedes Benz.