Word: labor
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...before Dixie gets too smug, it should acknowledge a debt it owes Detroit, or rather Detroit's labor union, the United Autoworkers (UAW). The UAW has made the Big Three's labor force one of the world's best paid and protected - clout that is now a focus of what's wrong with Detroit. Still, the foreign automakers are in America in large part because, as their more fuel-efficient cars became popular in the U.S. in the 1980s and '90s, the UAW lobbied to get them to build production plants here...
...Perhaps. But labor advocates still fear for U.S. workers if the South's automotive industry supplants Detroit as the template. And it's not as if all is as shiny as a new Lexus in Dixie right now. The Mercedes plant in Vance recently had to cut back to a four-day workweek; and with even Japanese powerhouse Toyota facing U.S. sales slumps, the company this week said it's delaying the startup of a new plant in Mississippi that will make its Prius hybrid car. Even workers like Ray now feel that a union "would definitely benefit" Dixie autoworkers...
When President-elect Barack Obama tapped California Democrat Hilda Solis to be his administration's Labor Secretary, union leaders across the country rejoiced. The four-term Congresswoman has spent the better part of two decades championing workers' rights, including the Employee Free Choice Act, a new bill that would make it easier for workers to organize. But some Republicans have taken issue with her legislative approach, deriding her as an unyielding advocate of environmentalists and labor groups. Solis might very well agree with the "unyielding" part: she told the Los Angeles Times in 2000 that compromising "just to keep things...
Borrowing heavily from features of the failed House and Senate plans, the Treasury plan requires that labor costs be on par with those of the nonunionized automakers but gives the companies until the end of 2009. It eliminates the job bank and requires that half of the future payments to the retiree health-care trust, VEBA, be made with stock. Further, it requires that debt be cut by two-thirds through a debt-for-equity exchange. Though these are terms of the loan, they are described as "targets," meaning exceptions can be made if there is deemed...
...double the funding for it. "In an education landscape filled with strong and often sharply contrasting ideas, I believe that he will provide the leadership needed to bring diverse stakeholders together and break through the political gridlock," says California Representative George Miller, chairman of the House Education and Labor Committee...