Right Wing Echo Chamber

Last week the right wing thunk tank and taxpayer funded lobby group the Fraser Institute discovered corporate welfare. And sure enough their political lobby arm the Canadian Taxpayers Federation echos their masters voice;



Mr. Gaudet said the collapse of the auto industry remains inevitable despite this latest surge of public cash. "There is no evidence in the past that corporate welfare works," he said. This bailout will only lead other financially struggling companies and industries in this tough economic time to also expect a government shell-out, Mr. Gaudet warned. "The government can't bail them all out," he said. "It's hard to justify to a laid-off Nortel worker why his or her tax dollars should go to support artificially inflated salaries in the auto industry."



Which Nortel workers are those? The ones left working in China?

My goodness but this is funny to hear the CTF speak on behalf of workers. This political lobby of business types, who are not taxpayers, whose association does not speak for workers but a small self interested right wing business lobby, whose association is not democratic and has no elected officials simply employed self appointed spokesmen.

But as the article goes on to point out actually the last time Chrysler was bailed out they paid back their debt. However it seems ominous that this apologist for the capitalist class is telling us the Big 3 are doomed. Of course as usual they blame workers salaries and production costs for being uncompetitive. However as usual they never let the facts get in the way of their rhetoric. In Canada the wages and benefits paid to Toyota workers who are not unionized are competitive with CAW wages and benefits. Not less but competitive. Yet no one is telling Toyota workers to take a wage cut.

And like the Big 3 Toyota is cutting back on production as well. The crisis of overproduction has hit automakers around the globe, thanks of course to globalization.

We are facing a two fold crisis in capitalism, the fiancial market meltdown and the crisis of overproduction and underconsumption. Nothing new in that it is just the same old same old as Marx pointed out 150 years ago.

SEE

Bail Out Is Not Job Security

Chrysler Black Mail

There Is An Alternative To Capitalism

Auto Solution II

We Own GM

Auto Solution

tagsMGuinty, GM, concesssion bargaining, unions, trade union, Marx, Ontario, Corporate Welfare, Canada, cars, automobilie, production, taxes, tax credit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, KEN LEWENZA,,CAW, Big Three Auto,, libertarian socialism, automobile, Chrysler, Tony Clement, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada

Bail Out Is Not Job Security

And we got what for this?

And the $6-billion that the Big Three domestic automakers are now seeking from the federal and Ontario governments is on top of what Mike said is $752-million in financial assistance to the industry from the two governments since 2004, including $200-million for Ford, $200-million for GM and $125-million for Toyota.

Layoffs, new plants with shifts shut down, pension plan payments deferred, and let's not forget that auto industry in Canada does not pay for health care.

Committee Chairman Barney Frank (D-MA) pointed out that the only cost difference between operating in the U.S. and Canada “has got to be entirely on health care.”

And there is no asssurances that there will not be further layoffs even with a bail out and further worker concessions. Unlike equity investments past performance does predict future performance when it comes to the auto industry. There is no job security in the auto sector no matter how much money gets thrown at it. And of course we know the only solution to this crisis is socializing the auto sector under workers control. Anything else is a band aid trying to patch a gaping wound.

Canada's three struggling automakers must come clean on plans to cut jobs if they hope to win taxpayer support for the $6 billion in aid they're seeking, Premier Dalton McGuinty says. McGuinty's push for details followed days of criticism from opposition parties worried that an aid deal could be cut with taxpayers knowing nothing about the fate of thousands of auto jobs and how their money will be spent. McGuinty noted the automakers have made public far less information about their plans in Canada compared with their U.S. parent companies, leaving lawmakers here in a difficult position in trying to sell an aid plan to taxpayers already feeling the pinch of the economic downturn themselves.
Overall, GM is seeking $800 million by year's end and $1.6 billion later, Ford wants a "standby" line of credit worth $2 billion and Chrysler $1.6 billion. GM, which is Canada's largest automaker, has signalled it may need another $1 billion if the rapid vehicle sales decline continues.Chrysler has already warned its car assembly plant in Brampton and minivan plant in Windsor may not be able to survive without financial help soon.

General Motors of Canada Ltd. is seeking "painful" cost cuts from the Canadian Auto Workers, as the Canadian units of the Detroit Three ask for financial help from Ottawa and Ontario. "What GM said is, 'We must share in this pain together. And we've got to come up with cost savings, Ken, that may be painful,' " CAW president Ken Lewenza said he has been told. The GM Canada request did not specify what cuts it is seeking, Mr. Lewenza said yesterday, but a union source said the company wants overall hourly labour costs trimmed and workers to give up some of their paid time off. Lewenza's comments came after the United Auto Workers in the U.S. revealed it will revise contracts with GM, Ford and Chrysler to delay billions of dollars in payments to a union run health-care trust. Furthermore, UAW president Ron Gettelfinger said the union would modify a jobs bank in which members on layoff receive up to 95 per cent of their pay. The CAW does not have a similar health-care trust or jobs bank in Canada at the three automakers. But even if CAW members worked for free for an entire year, Chrysler, Ford Motor Co. and General Motors Corp. losses are so massive that the savings from that move would offset just 11 days of losses at the three companies, CAW economist Jim Stanford told the meeting.

SEE:
Chrysler Black Mail
On The Dole
There Is An Alternative To Capitalism
Auto Solution II
We Own GMAuto Solution


tags
MGuinty, GM, concesssion bargaining, unions, trade union, Marx, Ontario, Corporate Welfare, Canada, cars, automobilie, production, taxes, tax credit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, KEN LEWENZA,,CAW, Big Three Auto,, libertarian socialism, automobile, Chrysler, Tony Clement, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada

Chrysler Black Mail

Chrysler is blackmailing Canada.

In its submission to the federal government, Chrysler compared plants in Windsor and Brampton, Ont., with American facilities that could assemble the same models, and noted it had spare capacity in the United States - a comment that some in government saw as a veiled threat to shift production if Canada does not provide emergency assistance.

Meanwhile the Harpocrites offer no new solutions to the auto crisis instead they offer workers the same old same old;

Mr. Clement met with senior officials from the Canadian Auto Workers union, including its president, Ken Lewenza. Mr. Clement has urged the union to be "part of the solution" and has suggested they may need to take a cut in wages and benefits to keep jobs in Canada.


The solution to the auto crisis is not more concessions from workers nor bailing out the Big 3. It is to socialize them under workers control.


SEE
There Is An Alternative To Capitalism
Auto Solution II
We Own GM
Auto Solution

tags
MGuinty, GM, concesssion bargaining, unions, trade union, Marx, Ontario, Corporate Welfare, Canada, cars, automobilie, production, taxes, tax credit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, KEN LEWENZA,,CAW, Big Three Auto,, libertarian socialism, automobile, Chrysler, Tony Clement, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada

Auto Solution II

Up the road without a map
KEN LEWENZA
national president, Canadian Auto Workers union
November 20, 2008
Your editorial demands CAW concessions as part of any deal to restructure the North American auto industry (Keeping A Foot In The Car Door - Nov. 19).
The CAW was the first major player in the North American industry to respond pro-actively to the devastating effects of the financial crisis and credit crunch. Our new three-year contract freezes wages, suspends cost of living protection, and introduces, once fully implemented, savings totalling $300-million per year (or more than $10,000 per worker, per year) for Canadian auto makers.
Auto labour costs are significantly lower in Canada than in the U.S., Germany and Japan - yet our productivity is higher (at least 10 per cent better than in America).
We didn't write the free trade deals, we don't manage the companies, we don't design the vehicles - we just build them. The best thing we can do as auto workers is to keep building vehicles in the most efficient, high-quality plants in the hemisphere, at competitive costs.

CAW Ken Lewenza says; "We didn't write the free trade deals, we don't manage the companies, we don't design the vehicles - we just build them." And that's the problem. The solution to the auto crisis is not more concessions from the workers, thats been tried and it hasn't worked. Just as federal provincial aid have not helped because we lack a made in Canada Industrial strategy.

Jim Stanford, chief economist at the CAW, said newly signed contracts between the union and the Canadian arms of the Detroit automakers include several unprecedented givebacks, such as an 18-month suspension in cost-of-living increases.
A lack of policy attention from governments in both Canada and the United States have contributed to Detroit's collapse as much as anything else, he said.
"In Japan and Germany and Korea and now China, governments proactively nurture and support high-value export industries like autos. In North America, for the last two decades, we haven't bothered."

Rather the solution is right in front of all of us the workers should control auto manufacturing in Canada they should manage and design the cars not just 'build them'.

Ken if you don't want to discuss concessions then you better start talking about workers control of the means of production.

If there is to be a bailout, let it be for us, the workers. Who dare say we’re unqualified? In the 1920s Italian workers at Fiat and Alfa Romeo took over the plants, and they made cars without bosses. Even as we speak, workers in Venezuela are taking over plants and running them.

And I would add to that the Paris Revolution of 1968 and the Hot Autumn of 1969 when auto workers in France and Italy along with student radicals took over factories and universities and put them under worker control.

Capitalism is in a crisis it is time to socialize capital under workers control.

November 20, 2008
A suggestion for Big Three and UAW (updated)
Michael Nadler
My conceptual solution to the auto company bailout question is as follows:
The federal government makes a one-time only injection of the requested $25 billion into the Big Three in return for a proportionate ownership stake in the companies. Based on the current market capitalization of GM and Ford and my estimate of the market value of privately-held Chrysler, that would give the government about 80% ownership in the 3 companies. (A discount from the market price could be justified for such an investment, providing a higher ownership stake.)
The $25 billion cash injection is conditioned on the United Auto Workers (UAW) accepting a gift of the 80% (or higher) ownership stake from the government, giving the UAW absolute control of the 3 auto companies which will then be exempted from any anti-trust restrictions on consolidations, etc. The fate of the Big 3 and its workers will then be entirely in the hands of the UAW, which could strike the appropriate balance between compensation and competitiveness, as well as the many other issues that will determine the fate of the auto companies it now owns, the jobs they provide and the workers it represents. In that regard, the obligations of the PBGC might be limited as part of this grand bargain.


Workers' control of the means of production?
One of the most influential books on my political outlook when I was first getting politically aware was Geoff Hodgson's The Democratic Economy, published by Pelican Books in 1984. In it he advocated an economy predominantly consisting of worker-owned enterprises: market collectivism, to use a phrase of Jaroslav Vanek. In a Market Collectivist economy, argues Hodgson(p.177), "The workers are self-managed: they do not work under the direct or indirect control of a capitalist...the workers (collectively) own the product of their labour, which they bring to the market for sale."

SEE:
We Own GM
Auto Solution


tags
MGuinty, GM, concesssion bargaining, unions, trade union, Marx, Ontario, Corporate Welfare, Canada, cars, automobilie, production, taxes, tax credit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, KEN LEWENZA,,CAW, Big Three Auto,, libertarian socialism, automobile, Frank Stronach, Magna, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada

We Own GM

Since the Big Three have already accepted taxpayer bail outs over the past five years, and now are delinquint on thier pension payments for their workers, why bail them out, we already own them. Time to make them publicly owned under workers control.

As the Toronto Star reported Saturday, GM's actuaries estimated the pension plan for hourly workers would have been short $4.9 billion if the company had gone out of business at the end of November, 2007. But because the pension fund is heavily invested in stocks, the recent fall in stock markets would have left the fund short another $1.5 billion, assuming no other changes in the meantime.

Paul Duxbury, an actuary who has advised GM pensioners in the past, said yesterday that such a shortfall would cost Ontario's guarantee fund as much as $3 billion, if the province provided the money.

The General Motors of Canada Ltd. pension funds had a shortfall of $4.5-billion as of last November - before the stock market collapse - creating a massive financial headache for the Ontario government and pension cuts for retired employees if the company falls into bankruptcy protection.
Senior GM officials revealed the shortfall between the assets in the company's unionized and salaried plans and their liabilities in a meeting yesterday with the editorial board of The Globe and Mail. The shortfalls are measured on a solvency deficiency basis, which would apply if the plans have to be wound up in the event of bankruptcy.

SEE:
Auto Solution
Whiners and Losers
Business Unionism Offers No Solution To Capitalist Crisis
Concessions Don't Work
And Then There Was One
Pension Rip Off
Buzz Off
Unions=Competitiveness
McGuinty Corporate Welfare
Is Delphi the Oracle of things to come?
How Ford Screwed Up
What's good for GM is bad for Workers
Unions the State and Capital
Chrysler Made In Canada?



tags MGuinty, GM, concesssion bargaining, unions, trade union, Marx, Ontario, Corporate Welfare, Canada, cars, automobilie, production, taxes, taxcredit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, Buzz Hargrove,,CAW, Big Three Auto,, libertarian socialism, automobile, Frank Stronach, Magna, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada

Auto Solution

In the U.S. the debate over the failure of the big three automakers has devolved into an argument over bail-out or bankruptcy. As usual the Republicans arguing in favour of bankruptcy and opposing a bail out claim that part of the Big Three's failure is the high cost of production. They attack the UAW for being part of the problem with their retiree pension plans, healthcare costs and wage demands.

Make union pay cuts mandatory for auto aid

They claim that that Toyota and other import car manufactureres in the U.S. can produce cars cheaper then America's own. Well that is true. However the elephant in the room in this debate is the fact where Toyota and other import auto manufacturers set up shop is in Right To Work States, states which use right to work laws to ban unions.

As for Health Care costs this is the other elephant, in Canada and around the world the government provides health care except in two countries America and China. In the US the healthcare cost is a burden born by business and labour.

So what would a solution be do ya think? Hmm how about passing the the proposed first union contract law that was pending in the Senate; Employee Free Choice Act. You know the one that in the last days of the Presidential campaign became an issue for McCain.
And instead of either Clinton's of Obama's weak tea HealthCare reform, a universal healthcare program was adopted in the U.S. like it is in Canada.

Unionization of Toyota and other import car companies American workers would level the playing field as would creating a universal healthcare program.

While these would go a long way to really changing the auto industry in North America the only real solution is nationalization the auto industry under workers control. Something no one is talking about, including the UAW and CAW.

CAW President Ken Lewenza said the failure of even one of those companies would be a "devastating blow to the economy, a devastating blow to consumers out there and quite frankly devastating to our members."
Ontario, especially, would suffer, he told CTV Newsnet.
"It's not even imaginable what would happen in communities like Oshawa, Windsor, St. Catharines, Oakville. These communities are dominated by the auto industry."
Lewenza said the union has done its part to respond to the Detroit Three's shrinking market share, giving up hundreds of millions of dollars in concessions in collective bargaining.
However, Lewenza didn't blame management either, saying "nobody anticipated at the beginning of this business year we would be selling 12 to 13 million vehicles in the United States, when most people were anticipating 16 or 17."

Oh come on now quit apologizing for your bosses incompetence. What part of Climate Crisis did you miss? I mean for christ sakes the NDP proposes a Green Vehicle plan three years ago and what does CAW get fromall its politcal pull and lobbying? An investment in GM by the Ontario Government for a Camaro plant. Is that counter intuitive or what.

If we are going to produce green vehicles then it will take a complete restructuring of the industry based not on concession bargaining but on workers control and workers ownership.



SEE:
Whiners and Losers
Business Unionism Offers No Solution To Capitalist Crisis
Concessions Don't Work
And Then There Was One
October Surprise Was The Market Crash
No Austrians In Foxholes
Pension Rip Off


tags
MGuinty, GM, concesssion bargaining, unions, trade union, Marx, Ontario, Corporate Welfare, Canada, cars, automobilie, production, taxes, taxcredit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, Buzz Hargrove,,CAW, Big Three Auto,, libertarian socialism, automobile, Frank Stronach, Magna, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada

Whiners and Losers

This is the same line used by the provincial tories in Alberta since the days of King Klein; the government should not pick winners and lossers iin the capitalist marketplace. But of course it does, as we have seen with Alberta's support of privatiziation initiatives like K-Bro contracting outhospital laundry services, not to mention of course oil and gas development royalty and tax holidays, and dare I say investment in the mythical CO2 coal extraction process that will supposedly reduce methane gas.

Now the Feds are denying the obvious as Jim Flaherty explains about a pending bail out for the auto industry in Canada, with nary a recongition that yes he indeed just did pick winners and losers in Canada's auto industry. Canada: Government is open to selective industry support

Mr. Flaherty said most economists would consider a bailout unwise, since such a
package puts government in the dicey business of choosing winners and losers.
Rather, he said, he would be guided by which plants have the best chance of
remaining viable over the long term.
"So if General Motors is going to build a hybrid car in Oshawa, people can understand that that is a good investment for the longer term. Operating a large truck plant, pickup trucks - probably not a good investment of taxpayers' money," Mr. Flaherty said.
His top priority, however, is to ensure that banks are lending to each other, and that credit is
available to corporate and household borrowers at a decent price. A
well-functioning credit market, he said, will help the manufacturing sector as
much as any kind of direct aid.
David Paterson, vice-president of corporate and environmental affairs for
General Motors of Canada Ltd., said the largest auto maker in Canada has not
outlined specific proposals to Ottawa, but supports calls for both immediate
assistance and a longer-term Canadian program similar to an existing $25-billion
fund Washington created this year. That fund is supposed to help the industry
develop more environmentally friendly technologies.
Mr. Paterson said GM is in the midst of transforming its business in Canada
to meet the sustainability objective Mr. Flaherty has outlined.

There ya go Jim ya picked a winner. But of course this is not a real industrial policy, nor what is needed to create a Made In Canada Auto Industry. Which of course is workers control of production through 'workers cooperatives owning the factories. Now that would be worth taxpayers dollars. Anything is else is the same old same old neo-con crap; public funding of private capitalism.

SEE:

Concessions Don't Work

And Then There Was One

October Surprise Was The Market Crash

No Austrians In Foxholes

Pension Rip Off

Deja Vu

The Failure of Privatization



Find blog posts, photos, events and more off-site about:
US, Auto, GM, Delphi, UAW, Pensions, layoffs, workers, bankruptcy, Chapter11,MGuinty, GM, Buzz, Hargrove, Camaro, Oshawa, Ontario, CorporateWelfare, Canada, cars, automobilie, production, taxes, taxcredit, investment, environment, hybrid, self-valorization,, self-management,, workers control,, autoworkers,, Buzz Hargrove,,CAW, Big Three Auto,, libertarian socialism, automobile, Frank Stronach, Magna, business unions, auto parts, workers, layoffs, plant-closings, workers-control, unions, labour, Canada,
Great Depression, John McCain, market crash, free trade, Republicans, recession, asset-backed commercial paper ,, goldhomes, mortgages, housing, bubble, US, economy, oil prices, sub-prime mortgage, Wall Street, crash, recession,October Surprise, Inflation, Staglation, Stock-Market, US, Federal-Reserve-Chairman, Oil, gold, commoditiesSmoot-Hawley, protectionism, tariffs, Herbert Hoover, U.S., U.S. economy, Canada, Flaherty, tax cuts, corporate tax cuts, politics, Conservativestaxes, tax-credit, budget, economy, government, Conservatives, Flaherty, HarperSalaries, Canada, wages, Economy,

Buzz Off

In the true tradition of business unionism Canadian Autoworkers President Buzz Hargrove sold his members out for a bowl of pottage. Despite his pseudo-socialist bluster, which was really ghost written by Sam Gidden, and his so called political activist unionism, in the end like all other union bosses he sold out his workers for a contract today.

It makes one wonder why we need unions. Well actually the bosses need them more than the workers do, since they are used to curtail authentic class struggle, and to mediate on behalf of 'variable labour' with the owners of capital.

The recent record breaking settlement with the Big 3 auto companies was a sell out by Buzz as he prepares to retire.

In the latest round of talks, Mr. Hargrove managed to negotiate what is effectively a wage and benefits freeze.

While denouncing two tiered wage settlements agreed to by UAW and the Big 3 south of the border, Buzz agreed to a made in Canada two tier wage structure no different than those he was denouncing.

Economic provisions of the deals mirror those of the CAW's deal with Ford Motor Co., which was cemented May 4. New hires will be paid 70% of base wages during the first three years of employment before climbing into the full wage scale. The deal cuts a week's vacation in return for 3,500 Canadian dollar (US$3,485) one-time payments and increases to drug co-payments.

The sell out of principles began when Buzz and CAW agreed to a no strike deal with Magna.

The Magna-CAW deal struck last fall between Mr. Stronach and Mr. Hargrove is a good start: In return for a no-strike clause from the union, Magna agreed to stop resisting unionization.

He has now followed it up with a sweet heart deal with the Big 3 selling out autoworkers by tying them into a contract that does not assure them job security, but rather see's further lay offs and plant closures with a payout to the survivors.

The auto industry is bleeding and all Buzz got was a band aid, and he admitted it.

Major economic clauses for all three companies

Wage freeze for three years.

Elimination of cost-of-living adjustment until 2009.

Employee co-payments of 10 per cent on prescription drug costs, amounting to $250 in the first year and growing slightly in the next two years.

Newly hired employees receive 70 per cent of full wages and take three years to get to full level, compared to previous provision of 85 per cent and two-year growth to full wages.

Surrender of 40 hours of holidays a year in return for a one-time payment of $3,500 in 2009.

Chrysler

Etobicoke casting plant in Toronto kept open for 2½ years instead of being closed next year. Company and union will look for buyer or joint venture partner for Chrysler.

Confirmation that next generation of Chrysler's large sedans will be built at Brampton, Ont., plant.

Minivan plant in Windsor, Ont., will maintain three shifts as long as market stays healthy. Shift at St. Louis plant to be cut before any shifts in Windsor.

GM

New rear-wheel-drive car for Oshawa, Ont., to join Chevrolet Camaro.

Extension of Chevrolet Impala production at Oshawa plant to 2012.

New six-speed transmission for St. Catharines, Ont., pending government financial support.

New V8 engine for St. Catharines.

Retirement incentives up to $125,000 and a $35,000 vehicle voucher for workers at Windsor transmission plant, which will be closed in 2010.

Retention of second shift of workers at Oshawa Truck plant. Instead of layoffs, workers will go on two-week rotating shifts until September, 2009.

Ford

Adds new vehicle to Oakville, Ont., assembly plant beyond Ford Flex, which goes into production this year.

Extends life of St. Thomas, Ont., large-car assembly plant by three years from expected closing next year.

Autoworkers in Canada are marking time, as CAW rests on its laurels happy to have organized the Big 3 and now Magna. They have made little effort to take on the Japanese or Korean automakers in Canada who now outsell the Big 3.

Instead of organizing Toyota, Buzz cozied up to Toyota management and backed one of their VP's who was running for Liberal MP last election. Like his bargaining strategies his political strategy of strategic voting leads workers to a dead end.

It's a good thing he is finally retiring unfortunately while that will end the cult of personality in the CAW it will not end the entrenched bureaucracy of labour fakirs and pork choppers who dominate the organization.

CAW likes to claim to be a social union, a left leaning union, but it is in the end regardless of its ideological claims, a business union, structured to maintain capitalism.

As Marx pointed out years ago; Trade unions are not revolutionary organizations, but defense organizations of the working class. They call for a fair days wage instead of demanding the abolition of the wage system.

Trades Unions work well as centers of resistance against the encroachments of capital. They fail partially from an injudicious use of their power. The fail generally from limiting themselves to a guerilla war against the effects of the existing system, instead of simultaneously trying to change it, instead of using their organized forces as a lever for the final emancipation of the working class that is to say the ultimate abolition of the wages system.

Under the Fordist model of mass production and with the post War boom they became the hand maiden of capitalism, bargaining with the bosses to get crumbs off the table for their members.

They abandoned any pretense to being agents of social change, instead they became the cops on the shop floor, halting wildcats and job actions by workers. Building permanent corporate style organizations paid for by workers, and populated by professional permanent non-elected paid representatives, they have abandoned the revolutionary aims of workers self-organization; the control of the means of production, the take over and self management of factories by the workers themselves.

Instead they accept the day to day operations of capitalism as inevitable, not worth fighting over except to try and ameliorate its worse excesses, which keeps the bosses happy.

Workers since the beginning of capitalism have organized themselves, when unions were outlawed or banned, workers still created them and used them to strike against the bosses.

This self organization of workers is the dialectic of the conflict between labour and capital. When capitalism boomed it offered unions labour peace, a greater share of the pie, through out the sixties and seventies this was known as the social contract, and was reflected in a trilateral approach to State governance, the unions joined the politicians and capitalists at the table of civil society, determining how the welfare state would function.

Capitalism created the welfare state, in order to avoid a revolution at the end of WWII, and the labour leaders gleefully joined the bosses and their state glad to be accepted as equals. But they never were equals they were bought off, as the eighties and nineties proved when the bosses tore up the social contract and went on the offensive attacking union gains and calling for the privatization of the state.

The unions still slow to wake up, like the door mouse at Alice's Tea Party, thought this assault was an aberration, a few bad apples amongst their friends the bosses.
Instead it was a well planned and orchestrated assault on the State by capitalism which needed more capitals to expand, and saw public sector services as a waste of the that capital.

The class war had been declared when capital started calling for roll backs, give backs, started off shoring and contracting out, and creating two tiered wage structures. The unions gave up fighting back accepting Maggie Thatchers admonition that There Is No Alternative.

And we hear Maggie echoed in Buzz's departing deal with the Big 3.

The 64-year-old Mr. Hargrove described this year's set of talks as the toughest he has faced since he became president in 1992. He warned in an interview yesterday, however, that they will "look like a picnic" compared with what his successor will face in 2011 if Chrysler, Ford and GM continue to lose market share and are forced to continue slashing their Canadian and U.S. operations.

There is a solution to the problem, and it was shown by the Aluminum workers in Quebec, and by workers in Argentina, when capital abandons the factories the workers still make them run.

We can exist with out capitalism, with out hedge fund investments, workers self management of their factories, and of public services is the alternative. Unfortunately it is usually embraced after the fact, after capital has abandoned the factories and communities that surround those factories.

But it shows that workers can organize themselves to run things for themselves and for their communities, without capitalists.

It is the secret of capitalism, that without workers there is no capitalism, we create the beast which oppresses us. Our challenge is not to tame the beast but to end its existence by creating the conditions for real existing socialism.

For more critiques of the CAW deals see:

	Bruce Allen	Learning Some Lessons from Michigan's Auto Jobs Crisis
The evidence of manufacturing job loss on a massive scale in Ontario where the Canadian auto industry is concentrated is clear and undeniable. Nonetheless a question must be asked. Is it accurate to characterize what is taking place here as a “manufacturing crisis?” Or is it something else?

	Sam Gindin	The CAW and Panic Bargaining: Early Opening at the Big Three
In the face of a deteriorating economic climate and concerns about the ‘investment competitiveness’ of Canadian plants, the CAW leadership made a startling move this spring. It had an air of panic about it: the leadership quietly asked the Big Three – GM, Ford and Chrysler – to open their collective agreements early, offering a new ‘pragmatic’ settlement. ...

Sam Gindin	Two-tier Wages, Second-Class Workers
When Autoworker President Buzz Hargrove makes new pronouncements, they carry weight within and beyond the labour movement – even when, as has recently been the case, they seem to undermine what Canadian unions have always stood for...

	Herman Rosenfeld	MAGNA IS NOT CAMI
In Bob White’s October 30th Op-Ed piece in the Toronto Star, the retired CAW president refers to the current Magna deal as a form of "innovation", comparing it to the 1980s fight against concessions and the formation of the new Canadian auto union...
		Sam Gindin	The CAW and Magna: What if Magna Builds an Assembly Plant?
In the discussions of the proposed Magna-CAW (Canadian Auto Workers) ‘Framework of Fairness’ deal, the focus has been on Magna as a components company. But what if Magna opened an assembly plant? Under the language of the ‘Framework of Fairness’, it too would be part of the deal...

SP Labour Committee	Windsor Modules: The CAW-Magna Deal Delivers – Or Does it?
On November 7, 2007, the CAW made an historic announcement. The first collective agreement under the new CAW-Magna Framework of Fairness Agreement (FFA) was ratified at Windsor Modules, a plant of some 250 workers...

SEE:

Alcan Proves Marx Right

Workers Control vs Corporate Welfare

Find blog posts, photos, events and more off-site about:
self-valorization,, self-management,, workers control,, autoworkers,, Buzz Hargrove,,CAW, Big Three Auto,, libertarian socialism,

Tags
Canada
Buzz Hargrove
CAW

CEO Profits From Ford Failure

Once again a CEO makes off with filthy lucre while the company collapses. Though some speculate that he may have been rewarded for saving Bush.
Since he did nothing that saved jobs at Ford.

Ford CEO: $28M for 4 months work
Struggling Ford Motor Co., which posted a record $12.7 billion net loss in 2006, gave its new CEO Alan Mulally $28 million for four months on the job, according to the company's proxy statement filed with the Securities and Exchange Commission Thursday.The Ford (Charts) pay package for Mulally comes on top of the $7.4 million that aerospace company Boeing (Charts) had previously reported paying him for his eight months running that company's commercial aircraft unit before he made the move to Ford at the beginning of September. Mulally's pay package at Ford included a $7.5 million hiring bonus, as well as $11 million that Ford described as an offset for forfeited performance and stock option awards at Boeing. In addition he received $55,469 for relocation costs and temporary housing. The details of the compensation packages and costs come as Ford moves ahead with plans to close plants and cut more than 30,000 hourly positions from the company in an effort to stem losses.

The company had disclosed in a footnote buried on page 228 of an earlier filing with SEC that Mulally saw the value of his stock bonuses increase to $6 million from the originally agreed upon $5 million "after reviewing the company's 2006 performance results and Mr. Mulally's leadership role in progressing his key priorities."

Ford announced in March that all full-time staff would receive some form of modest bonus for 2006, as it attempted to improve morale in the middle of a downsizing. Most salaried workers and supervisors received between $300 to $800, depending on their location and rank in the company. Most union members received about $500. The company did not detail the overall cost of the bonus program, but the widespread bonuses cost the company at least $62 million, based on the 125,000 employees who were eligible for the payment.

See

Zero Sum Gain

Ford

CEO

Stock Options

Corporate Crime

White Collar Crime

Criminal Capitalism

Productivity

Wealth


Find blog posts, photos, events and more off-site about:
criminology, corporate-crime, white-collar-crime, sociology, accounting, scandal, criminal-capitalism, workers, employees,
automobiles, manufacturing, Ford, Big-Three, USA, Canada,CEO, pay, goldenparachutes, Corporations, fatcats, rich, superrich, America,