I am by no means a fan of the UAW or modern unions in general, but the management deserves 100% of the “credit” for ruining the company. Without them agreeing to ridiculous union contracts, many of the things we point to as completely assinine and wrong with the union and union workers wouldn’t exist. Does this mean that I think the union did a wonderful job for the employees of GM, et. al.? Hardly, but the buck stops with the company management. And, my main point was that the management that caused this mess is not having to suffer any of the repurcussions from their decisions. They seem to be completely isolated from the mess that they’ve created. At least the union bosses are having their livelihood threatened as well in the form of reduced union membership and, therefore, total dues coming into the union, despite increased dues per member.

My lifeboat is made from duct tape and particle board.If I end up with 50% of my hourly pension I think she will be seaworthy.

If GM croaks Oshawa will make Flint look like a booming economy,and I mean no disrespect to the good people of Flint.

Ususally thought of as a description of the stages through which people pass in dealing with great personal loss, such as unemployment or terminal disease, the Kübler-Ross Model might provide some lessons for the automakers formerly known as the “Big Three”, and the suppliers.

Those steps are denial, anger, bargaining, depression, and acceptance.

I suspect the management of these companies is still in the denial stage, whereas their employees have clearly progressed to anger.

The Delphi fiasco is just one part of the long saga of the Decline and Fall of General Motors.

Ok. Management deserves lumps. Does the UAW share any responsibility? 1 percent? 10 percent?!?

gamper:
There is an old steel mill in Detroit called McLouth Steel that filed in 1996. I have seen the pension earnings from these retired workers through my employment and would say that the benefit is roughly 50% or less of what they would have had if the company had remained solvent. I think there are a number factors that determine what the benefit is. You still get hosed, its just a matter of degree.

Cadillac pensions are dead. Welcome to 2008 America.

There was a similar shakeout when Bethlehem went Tango-Uniform years ago. The local media was full of sob stories on pension cuts for ‘poor steel workers’. A co-worker of mine, while sitting in our (non-union) companies’ break room, used to yell, “Steelworkers are NOT poor.”

I don’t know what my co-worker hated more: His drunk old man or unions.

http://www.kokomotribune.com/local/local_story_231091717.html

Revenues for Delphi were $5B in 2007. Projected revenues for 2008 was $4.8B; actual is $4.3B. Most of the revenue reduction was due to GM truck sales tanking.

Current Delphi North America salary head count is about 3200, with a bit over 2000 here in Kokomo. President Jeff Owens indicated that 600 salaried employees will separate by the end of this year. All salary employees will be notified of their employment status by August 29th. Separations will begin October 1st. Voluntary separations (i.e. retirements) should occur first; Mr. Owens indicated voluntary separations will not be enough, and involuntary separations must take place.

About two months ago, one of our managers indicated that Delphi had too many executives. About 20% of the executives had separated from Delphi; most were retirement age. Mr. Owens said that more executives separations will occur.

Tough times ahead.

There is an old steel mill in Detroit called McLouth Steel that filed in 1996. I have seen the pension earnings from these retired workers through my employment and would say that the benefit is roughly 50% or less of what they would have had if the company had remained solvent. I think there are a number factors that determine what the benefit is. You still get hosed, its just a matter of degree.

Speculation is that they are preparing for chapter 7 by the end of the year.

By the way, the pensions are frozen in that if my brother-in-law left for another job, he would almost certainly lose the entire pension from 20+ years of working for GM then Delphi. Of course, if he stays, he also likely loses any retirement money as well. Not exactly the golden parachutes given to the people who destroyed the once proud and powerful GM.

I have nothing but disgust, and possibly down right hatred, of the upper management for these two companies that are destroying homes and families while ensuring they get to keep their mansions and opulent life styles. They are like banana republic dictators living in complete luxury while their subjects starve and die in the streets.

What does that mean?

Does that mean the pension no longer accepts new members? It will never accept new members? There are no contributions being made? There are no benefits being paid?

And what was the “previous promise”? Did they promise to grant new pension benefits after BK?

I can see where they refuse to add new members to the pension fund. They can’t even pay for the ones they have now. Besides, I think you can count on one hand the number of US companies that offer pensions any more. They have all switched over to 401k’s.