18 May 09 03:55, Bob Ackley wrote to Bob Klahn:

 BK>>  Total labor cost is about $55/hr for GM, $49/hr for Toyota and
 BK>>  Honda. From what I have read GMs cost will drop over the term of
 BK>> the contract. Adjusted for inflation.

 BA> That includes the benefits paid to retired workers and the families
 BA> of retired workers?

With the benefits that UAW workers get, the hourly rate is closer to
$72/hour. Toyota doesn't offer that many bennies because they don't choose
to deal with a union. They'd rather close their plant first.

 BA> I don't think so.  Health care benefits alone for GM amounted to over
 BA> $1,300 of the price of every vehicle GM made - and that was several
 BA> years ago, it's probably more than that now.

 BA>>> full pay for not working isn't nonsense either.

 BK>>  Does that make it a good thing they do not get full pay for not
 BK>>  working? Should Toyota drop their no layoff policy?

Toyota in San Antonio has laid off workers and closed down certain parts
of their assembly plant. It seems that nobody wants to buy that ugly truck
they build. Anyway, the plant is on standby awaiting corporate decision on
whether to close and sell it or change the product assembled there.

 BA> Kawasaki has a no layoff policy, too.  Or at least they did.  During
 BA> a plant shutdown at their Lincoln NE plant they had some of their
 BA> otherwise idle work force assisting the city.

 BK>>  Believe it, GM is not going to give full pay for not working.

Especially now that the government is forcing them into bankruptcy
protection. If the UAW doesn't give GM concessions, they won't be working.

 BA>>> Auto workers in general, IMO, are grossly overpaid.

 BK>>  CEOs, in general, IMO, are grossly overpaid.

 BA> Depends on the CEO.  IMO most of them are.

 BK>>  Why do you object to autoworkers earning a middle class wage?

 BA> Because $40/hour plus benefits is too much to pay for what is
 BA> basically unskilled labor.

In fact, unskilled labor should be getting minimum wage.

 BA> Skilled craftsmen make less than that in most places.

Journeyman Tool & Die Makers don't make that much. Without them, there
woldn't be any mass production.

                R\%/itt


--- Twit(t) Filter v2.1 (C) 2000