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GM & USA Perfect Together

Updated on April 2, 2011

General Motors started in 1908. While Ford was stamping out teeth chattering cheap boxes, William Durant had a different vision. He saw the automobile as more than transportation. He envisioned the style and comfort that became the hallmark of the industry.

General Motors had something for everyone. The comfort and class of Buick, the sportiness and fun of Pontiac, the statement of Cadillac, the timelessness Oldsmobile, and the working man’s car of Chevrolet. General Motors survived the depression my manufacturing diesel trains for America’s railroads. They were the first company to make one million dollars and the first to sell one million cars in China within one year.

How could a thriving auto maker with millions of cars and trucks on the road fail faster than an exploding supernova?

For every automobile General Motors makes it has to deal with 75,000 pages of government regulations, an average cost of $72.00 per hour per employee, and a union contract costing $2,500 per car. For every car sold GM loses $1,200.

In contrast, Toyota makes $2000 per car.

In its Oklahoma plant, GM is forced to pay 2,300 workers for doing nothing when they had to close the plant. During work hours they would watch TV, play games, and shoot the breeze.

If the UAW wasn’t happy with something GM did, they would have most of their membership not show up work, stop working, or slow down production. It was these circumstances that caused poor quality vehicles to roll off assembly lines.

These are just a few instances of UAW shenanigans. The UAW has been at odds with GM on every issue for a long time.

Under normal circumstances a business would fire employees for insubordination and being unproductive and replace them with ones who are willing to. GM has no such power.

Since 1935 the National Labor Relations Act has made it illegal for companies to rid themselves of bad unions.

The UAW has been buying politicians to the tune of $25,000,000 since 1990. That adds up to a lot of political favors and legislation not for GM, not for union members, but for special interest. Shouldn’t this money benefit the membership?

The UAW has been desperately trying to get into the plants own by foreign manufactures. Each attempt has been voted down. And with good reason. Toyota, Nissan, and others have watched the UAW rip apart their competition. They know that once the UAW is in – they will be unable to get it out.

The Obama Administration and congress are guilty on all counts. The Fifth Amendment has been totally disregarded. The Government has moved in and forced GM, (Chrysler, and Ford) to operate under dire circumstances for years. Government then broke shareholder, vendor, and investor contracts and then gave the UAW part ownership of the company.

GM’s woes stage the perfect opportunity for the government to gain even more control. For years the Democratic Congress refused access to our rich oil and gas reserves. With control over GM and Chrysler the Government further solidifies its position in energy consumption.

It’s more than likely that GM will now produce even more expensive smaller cars requiring more expensive servicing.

Recently GM introduced their 60-day satisfaction guarantee. Under this new policy you can drive a new GM for 60 days or 4,000 miles. If you don’t like it you can return it and you will be refunded your money less any rebates and (get this)taxes. That’s right, the government wants their taxes. And you thought you weren’t going to get screwed!

This is a desperate attempt to step up sales and even if it is half successful there are going to be a lot of used and devalued cars in dealer lots. How can and business afford such a policy? It’s easy when it’s not GM’s money. Government has tons of taxpayer money.

Don’t expect the Government to give up control any time soon. When GM continues to fail, more and more taxpayer money will be thrown at the problem. If GM happens to make a profit, don’t expect a dividend check because government will keep the money to increase its power and control.

Either way GM will succeed because Government has the power of law behind it. Either way you lose.

As GM shareholders, shouldn’t we all get a new GM of our choice to drive?

Government's Pet Poodle Screws Taxpayers

February, 2011 Update.

General Motors alias Government Motors is at it again with their kickback program. General Motors just can’t kick the habit that put them in bankruptcy with over $80 million in losses.

General Motors was handed a bailout of $49.5 billion courtesy of the US taxpayers and has only repaid $23 billion. GM still owes taxpayers $26.4 billion.

According to company documents GM showed a profit of $4.2 billion for the first tree quarters of 2010 and is expected to post a profit of $5.3 billion. Obviously this is trickery and lip service. How can a business show a true profit with $26.4 billion in the red?

Despite its huge debt to society and instead of repaying it’s debt to the taxpayers, General Motors decided to fall back on its own past regressions that brought the company to its knees. General Motors will dish out over $400 million in bonuses to the General Motors country club members. Most GM employees already make $100,000 per year plus benefits.


Screwing the taxpayer has become common practice these days while the government isn't too keen on recovering recovering taxpayer money.

One is never accountable for free money.

GM - A lost Cause

March 2011 Update

According to a news item in the Washington Post General Motors will cost the taxpayers up to $85 million in free money and tax breaks. You can read the story here.

When government and corporations get cozy together you loose!

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    • escritor profile image

      escritor 

      8 years ago

      You paint an unfortunate but true picture. Where will it end?

    working

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