The UAW today said it is pleased that the Bush administration approved bridge loans to prop up General Motors Corp. and Chrysler during the economic downturn but is concerned that the restructuring conditions outlined in the terms of the loan unfairly single out hourly workers, and said it will work with the Obama administration to remove conditions it views as unfair.
"All stakeholders – management, directors, bondholders, suppliers, dealers, workers – will have to participate in shared sacrifices to help the industry move forward," UAW President Ron Gettelfinger said in a statement, noting that UAW members have already made substantial sacrifices to help make the domestic auto
companies more competitive.
“We are disappointed that," President Bush, "has added unfair conditions singling out workers," Gettelfinger said. “We will work with the Obama administration and the new Congress to ensure that these unfair conditions are removed, as we join in the coming months with all stakeholders to create a viable
future for the U.S. auto industry."
As part of the conditions of as much as $17.4 billion in federal loans approved for GM and Chrysler, the White House has called for the automakers to make one-half of the approximately $21 billion owed to a UAW retiree health-care trust in stock instead of cash; eliminate the controversial jobs bank program that provides nearly full pay to union workers on long-term layoff; make wages competitive with those of foreign automakers operating in the United States by the end of 2009; and establish work rules that are competitive with those so-called "transplant" automakers by the end of 2009.
http://www.freep.com/article/20081219/BUSINESS01/81219062