Comments on: GM’s Bankruptcy and the Logistics Industry http://logisticsviewpoints.com/2009/06/01/gms-bankruptcy-and-the-logistics-industry/ Providing logistics professionals with clear and concise analyses of Logistics Trends, Technologies, and Services Wed, 16 May 2012 10:07:14 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: dandershem http://logisticsviewpoints.com/2009/06/01/gms-bankruptcy-and-the-logistics-industry/comment-page-1/#comment-43 dandershem Mon, 01 Jun 2009 19:22:13 +0000 http://logisticsviewpoints.com/?p=1088#comment-43 I continue to be amazed on how the entire discussion/arguement on the Domestic auto industry is centered around the wages and benefits of the unionized worker. I grew up watching my father work through the first wake-up call to the American automotive industry in the late 70's and early 80's. He often came home frustrated with the labor negotiations being centered around how much the cost was per hour. As fellow Logisticians we all understand that success or failure is around production per unit of cost. It doesn't matter if our hourly costs are 20% higher if our productivity is 25% higher. The real issue is the lack of flexibility and productivity that has historically been driven by the union agreements. I continue to be amazed on how the entire discussion/arguement on the Domestic auto industry is centered around the wages and benefits of the unionized worker. I grew up watching my father work through the first wake-up call to the American automotive industry in the late 70′s and early 80′s. He often came home frustrated with the labor negotiations being centered around how much the cost was per hour. As fellow Logisticians we all understand that success or failure is around production per unit of cost. It doesn’t matter if our hourly costs are 20% higher if our productivity is 25% higher. The real issue is the lack of flexibility and productivity that has historically been driven by the union agreements.

]]> By: Giles Taylor http://logisticsviewpoints.com/2009/06/01/gms-bankruptcy-and-the-logistics-industry/comment-page-1/#comment-42 Giles Taylor Mon, 01 Jun 2009 17:36:33 +0000 http://logisticsviewpoints.com/?p=1088#comment-42 Adrian, I wonder how much the union conceded. From what I have read, it appears bond holders are taking a bigger hit and getting less equity than labor. If so, I say that bodes well for EFCA, and badly for business. The public for years has been told the benefits to retires is the noose around the automakers neck. If that isn't adjusted through the bankruptcy, either it was not the noose, or it's a temporary fix. Giles Taylor Trans-solutions, Inc. Adrian,

I wonder how much the union conceded. From what I have read, it appears bond holders are taking a bigger hit and getting less equity than labor. If so, I say that bodes well for EFCA, and badly for business.

The public for years has been told the benefits to retires is the noose around the automakers neck. If that isn’t adjusted through the bankruptcy, either it was not the noose, or it’s a temporary fix.

Giles Taylor
Trans-solutions, Inc.

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