AD.COM - GM-UAW Cost Cuts an Industry Groundbreaker

[AutomotiveDigest]

Summary:

"GM's landmark deal with the UAW to cut healthcare costs by $1B will have ramifications for workers at all Detroit automakers. Ford and Chrysler will seek similar cost-savings plans, and workers and retirees could face higher healthcare costs in the future."

To view full Digest, visit: http://www.automotivedigest.com/view_art.asp?articlesID=17243

Please post your comments!

[Mr. Pebble]

Don't get too excited about the cost cuts. If you look at the Q3 Income statement and Balance Sheet, you will find that although GM is saving $2 Billion on health care, just the interest on its staggering debt has gone up by $4 million per quarter. Also note that the income from automotive operations for the nine months this year compared to last year dropped by nearly TEN BILLION DOLLARS!!! in just the one year. Cutting health care was something easy to do and was simply a takeaway from the workers. GM lacks the leadership to address the real problems without which it can not survive.

Mr. Pebble