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Author Topic: Massive Ford restructuring cuts at St. Thomas, Ont.
Hephaestion
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posted 24 January 2006 08:18 AM      Profile for Hephaestion   Author's Homepage        Edit/Delete Post  Reply With Quote 
quote:
(Toronto) The future of Ford Motor Co.'s assembly plant in St. Thomas, Ont., is uncertain after the automaker revealed changes Monday that will cut about 1,200 workers there.

"Clearly, in the wake of today's announcement, the long-run future of the St. Thomas assembly plant is in jeopardy," said Buzz Hargrove, president of the Canadian Auto Workers.

The St. Thomas plant makes the Crown Victoria and Grand Marquis large rear-wheel-drive sedans, which haven't been selling well lately.

Ford said Monday it is going to reduce the plant, which has 2,300 hourly workers, from two shifts to one next year.

Hargrove called that announcement "a very negative and surprising development."

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Tommy_Paine
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posted 24 January 2006 08:28 AM      Profile for Tommy_Paine     Send New Private Message      Edit/Delete Post  Reply With Quote 
My brother and my niece work at that facility. My brother is safe untill his retirement, but my niece's job is in doubt.

Personal worries aside, most disturbing was Bill Ford's recipe for the future, which is to trott out new models, and new innovations.

What they need to do is focus on evolving cars, fixing the things that are wrong with models that are basically sound in the market.

Now more than ever, Ford needs to think inside the box.


From: The Alley, Behind Montgomery's Tavern | Registered: Apr 2001  |  IP: Logged
lagatta
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posted 24 January 2006 08:38 AM      Profile for lagatta     Send New Private Message      Edit/Delete Post  Reply With Quote 
Indeed. I was afraid your plant had shut down! (A good friend of mine worked for many years in the GM plant here, which as you know shut down a few years ago). But I do see that it has affected your family.

It would make more sense for them to listen to people on the plant floor! They keep churning out big cars that don't sell any more (fortunately)...

Of course, as you know I'd rather they produced trams and buses, for cities anyway, but I guess that remains a pipe dream, especially with the bloody ReformaTories at the helm.

But it is shocking how stupid management is, even though we've seen so many examples of its obtuse choices over the decades!


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Boom Boom
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posted 24 January 2006 08:41 AM      Profile for Boom Boom     Send New Private Message      Edit/Delete Post  Reply With Quote 
CBC carried about ten minutes so I didn't hear nearly the whole thing. One of the pundits (called an 'independent auto market analyst' in his intro on CBC) afterwards said one part of the problem at Ford had been blackmail by the unions in forcing Ford to accept contracts the company could not afford. I'd like to see how CAW and others respond to that.
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Hephaestion
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posted 24 January 2006 08:43 AM      Profile for Hephaestion   Author's Homepage        Edit/Delete Post  Reply With Quote 
quote:
Originally posted by lagatta:

But it is shocking how stupid management is...



Not to mention the Senator in Waiting... and waiting... and waiting...

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Cougyr
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posted 24 January 2006 06:37 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
Jim Hightower discusses the American side of this. Much of his piece applies here in Canada.

quote:
Middle-class working families are people who've had a slice of the American pie -- and for them to be told now that their slice will be taken from them and their children is not merely to shred the social contract and throw it in their faces, but to dissolve the social glue that holds our big, sprawling, brawling country together. It's the betrayal of the middle class. And, as Robert Paulk put it, "This is the thing that revolutions are made of." The elites who are so smugly dismissing middle-class wages and benefits as "excessive" will not be able to build walls and gates high enough to stem the tide of anger coming at them.

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Tommy_Paine
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posted 24 January 2006 07:51 PM      Profile for Tommy_Paine     Send New Private Message      Edit/Delete Post  Reply With Quote 
No one believes me, of course, but I'll tell you, the anger is there.

Everytime something goes wrong--or someone just wants more money--, the answer to the powers that be is to take it out on the working person, either through higher prices, lower wages or job cuts.

We are the ones held accountable for the mistakes of a class of priveleged elites who have perverted the democratic process to insulate themselves from responsibility.

Like I pointed out all over this board in the past few weeks, no political party in North America is even willing to mention putting even the smallest brake on this process.

It's not even on the table to discuss.


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Cougyr
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posted 24 January 2006 08:05 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Tommy_Paine:
It's not even on the table to discuss.

No; and we just elected a government that won't discuss it. In Europe, they're beginning to wonder if they will have to backtrack on some of their programs, particularly two-tier health care. In South America, country after country is rejecting US style globalism. India and China have big restrictions on free trade. Just about everywhere has serious doubts about Reaganomics, but the US is charging full bore into the abyss and Canada is hanging onto its coattails.


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Tommy_Paine
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posted 24 January 2006 08:14 PM      Profile for Tommy_Paine     Send New Private Message      Edit/Delete Post  Reply With Quote 
If I remember my grade ten history, a revolution needs a pissed off proletariate with a disenfranchised middle class to lead it, and eventually, betray it.

Which is okay with me, as long as I get a good seat for the riegn of terror.

The problem is that there is no leadership on the left with a coherent view of the ultimate way out.


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abnormal
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posted 24 January 2006 08:17 PM      Profile for abnormal   Author's Homepage     Send New Private Message      Edit/Delete Post  Reply With Quote 
posted by Tommy:
quote:
the answer to the powers that be is to take it out on the working person, either through higher prices, lower wages or job cuts.

Then what's the answer? Keep making cars that no-one wants? Stop making the cars but keep paying people to not make cars?

I won't even try to argue that Ford et al haven't screwed up over decades. But the reality is, the company is where the company is. How do you propose they dig themselves out of the hole they're in?


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Cougyr
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posted 24 January 2006 08:48 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Tommy_Paine:
The problem is that there is no leadership on the left with a coherent view of the ultimate way out.

I don't believe that. The problem is the contrary: the religious right and the neo-cons (or neo-libs) are leading the charge and the sheep are following.

quote:
Originally posted by abnormal:Then what's the answer? Keep making cars that no-one wants? Stop making the cars but keep paying people to not make cars?

The answer has been staring Ford in the face for years: make better cars. I worked for a multinational. It is easier to start a new company than to get an old one to change direction. (Funny how conservatives point at government as overly bureaucratic.)


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abnormal
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posted 24 January 2006 09:54 PM      Profile for abnormal   Author's Homepage     Send New Private Message      Edit/Delete Post  Reply With Quote 
posted by Cougyr:
quote:
The answer has been staring Ford in the face for years: make better cars.

Agreed. And they should have started years ago. The first step in implementing this plan today is what? No way that the company can possibly (1) design new cars, (2) retool the assembly lines, and (3) bring them to market without seriously disrupting the existing manufacturing system. Add to that the fact that it will take a while, several years in fact, for the public to decide the new improved cars are worth buying. So the first step would seem to be retool select plants to produce the new cars and close all the rest? The others can be brought out of mothballs several years from now as new capacity is needed.


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Boom Boom
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posted 24 January 2006 11:33 PM      Profile for Boom Boom     Send New Private Message      Edit/Delete Post  Reply With Quote 
I heard Bill Ford say that Ford is going to be really aggressive with more hybrids and other 'greener' technology, building on the success of the innovative Ford Escape hybrid, AND chopping their SUV production. And, the Windstar will be replaced with something much more modern. And, there are smaller and smarter cars coming from Ford, and soon.
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scooter
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posted 25 January 2006 12:07 AM      Profile for scooter     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Boom Boom:
I heard Bill Ford say that Ford is going to be really aggressive with more hybrids...

That is dumb.

The cost to consumers for hybrids is terribly expensive. Case in point, the City of Calgary looked at a fleet purchase of hybrids and decided against it due to high cost of purchase and unknown long term maintenance costs. This is coming from the same group that has their public tranist train system running on wind power.


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Boom Boom
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posted 25 January 2006 12:44 AM      Profile for Boom Boom     Send New Private Message      Edit/Delete Post  Reply With Quote 
Well, Ford IS getting imaginative. Problem is, they may very well have to imagine up all the customers for these vehicles.
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Cougyr
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posted 25 January 2006 01:37 AM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
One of the most damaging problems for North American business is the 90 day balance sheet. My experience in a big company was that 90 days was what mattered. All activities were subservient to the end of the quarter. A whole year was like a lifetime to management. People who could not show a profit in 90 days got the axe. With constraints like that, how can a North American company compete with Asian companies with their 5, 10, 15 and 20 year plans. I bet Toyota knows what kind of cars it will be building in 2020. Does Ford? I'm not talking about fantasizing here; I think Toyota really knows and is making plans for 2020. Ford is so busy putting out fires that it doesn't have time or resources to plan.
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StrawCat
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posted 25 January 2006 07:01 AM      Profile for StrawCat     Send New Private Message      Edit/Delete Post  Reply With Quote 
In a recent article in the LA Times, Ford's new executive vice president in charge of the company's North American operations, Mark Fields, stated flat out that Ford has to either change, or die.
He's right about that. They're such a big company that they won't disappear (Studebaker is still around, under another name, I think, and is the manufacturer of STP oil treatment) and there'll always be a market for Jaguars and Volvos, but unless Ford starts to meet or beat Honda and Toyota, the 30,000 layoffs will be just the first.
With recent developments in applying naontechnology discoveries to Lithium Ion and other battery technologies, we will be seeing more electric cars on the road very soon. Look up the Maya 100 , ZENN, and Tango electric vehicles, and Firefly Energy, a nanocarbon and lead battery developer. This last one, even though it promises a 5-fold improvement in lead-acid batteries, may already be obsolete if an ultra-light solid state ceramic nanobattery I've just heard about proves to be as good as people are saying.
And I think it is, but we'll see before year's end.
Even if they are slightly more expensive, the fact you can charge up the new batteries in 3-4 minutes (this is proven) will impress a lot of people. That's less time than it takes to fill up and pay for a tank of gasoline or diesel. And you will be able to do it at home.
As for being gutless... how does 170 KPH sound??

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Ross J. Peterson
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posted 25 January 2006 07:24 AM      Profile for Ross J. Peterson     Send New Private Message      Edit/Delete Post  Reply With Quote 
** Some rambling comments **
Political Parties do not address the plant closures. Well where do the politicos find a forum to even speculate on alternatives?
Maybe in the think-tanks? Maybe through academic appointments where models are examined in the ivory tower, which serves as a conduit to industry management and government?
These mileux are rife with the notion that adjustment alternatives to economic shifts and decline in No Amer mnfctg should not be politicized but are the domain of social planners and econometric analysis. Nobody in these echelons of policymaking is so stupid that they can't smell the coffee. But concensus is that the alternatives are above politics. Any socialist who swallows that is not a socialist but a neoliberal, a form of capitalist intellectually.
Speaking about public transportation. Tons of busses and mobile trailers are assembled in and around Montreal. How frequent are model changes in this sector? Yet Bombardier is always, supposedly, competing in highspeed trains at the cutting edge of technology where the watchword is change+change+change and they consistently bomb out in the attempt to make the latest thing actually work. What do we see at Bombardier? In the next few years most of production will be shifted to Mexico.
I'll bet they are still assembling those yellow schoolbusses in St-Hyacinthe and St-Eustache long after the hightech assembly has gone south of the border.
* * * just rambling thoughts

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Cougyr
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posted 25 January 2006 11:20 AM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Ross J. Peterson:
I'll bet they are still assembling those yellow schoolbusses in St-Hyacinthe and St-Eustache long after the hightech assembly has gone south of the border.

The issue with school buses is law. Construction of those things is buried in regulation, much of which has to do with keeping them cheap. What they need most is some form of air conditioning. The air in a fully loaded school bus with the windows up (all winter) is un-healthy to the extreme. One of the school districts in Northern BC did tests and found the air to be absolutely foul. We only do this to our kids.


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Ross J. Peterson
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posted 25 January 2006 01:19 PM      Profile for Ross J. Peterson     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Cougyr:
air in a fully loaded school bus with the windows up (all winter) is un-healthy to the extreme

Not to mention the air quality inside the school rooms. Schools are newly built or already sit on sites where particulate pollution levels are at their highest. Traffic, industry, catch zones of polluted air from central cities.

This bad air should be tested, then abated or other sites for schools should be chosen.

Good point on the downside of low-tech transportation.


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scooter
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posted 25 January 2006 01:50 PM      Profile for scooter     Send New Private Message      Edit/Delete Post  Reply With Quote 
And what does that have to do with Ford closing plants and laying off people in Canada?
From: High River | Registered: Apr 2004  |  IP: Logged
Fidel
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posted 25 January 2006 03:10 PM      Profile for Fidel     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
"We're not looking for a bailout," cried William Ford, the CEO whose company bears his great grandfather's name, but, as reported in the Washington Post, he and his company, as well as General Motors, are looking for a package of bailouts from Washington. At least one, a request that the Japanese revalue their currency to make their products more expensive, is silly. "We can compete with Toyota, but we can't compete with Japan," quoth Ford, ...

America's domestic auto industry, or what's left of it, is also asking for help in dealing with its pension obligations and healthcare costs for its workers and retirees. There is a certain irony in these calls for assistance from the business world, which for years fought against "socialized medicine." If they had supported it then, many companies would not be in the fix they are in now.


The Nation - December


From: Viva La Revolución | Registered: Apr 2004  |  IP: Logged
Cougyr
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posted 25 January 2006 03:13 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by scooter:
And what does that have to do with Ford closing plants and laying off people in Canada?

Nothing. We got sidelined. It does demonstrate, though, that people and organizations continue doing the same thing year after year, even when it becomes obvious that it's not working.


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Ross J. Peterson
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posted 26 January 2006 10:02 AM      Profile for Ross J. Peterson     Send New Private Message      Edit/Delete Post  Reply With Quote 
Originally posted by Cougyr:
quote:
We got sidelined

Don't throw the baby out with the bathwater. Spurious model changes, lifestyle marketing of consumer durables, engineered obsolescence and letting our kids go to schools next to highway interchanges and industrial park has everything to do with the decline of auto in North America.

And we don't need more cars. We need busses and safe seats in anything that can get us from point a to point b without polluting the environment.

**.startloop "everything has to do with "endloop


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lagatta
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posted 26 January 2006 10:41 AM      Profile for lagatta     Send New Private Message      Edit/Delete Post  Reply With Quote 
Yes, but car workers can and must build those buses (and above all, trams! - I love trams... ) They sure as hell converted car assembly lines quickly enough to build military vehicles for the Second World War...

How can we protect workers' rights and jobs against such obtuse, shortsighted management decisions?


From: Se non ora, quando? | Registered: Apr 2002  |  IP: Logged
Boom Boom
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posted 26 January 2006 11:00 AM      Profile for Boom Boom     Send New Private Message      Edit/Delete Post  Reply With Quote 
Originally posted by lagatta:

How can we protect workers' rights and jobs against such obtuse, shortsighted management decisions?

Oh, I'm totally in agreement. But consider the situation we are now in, in Canada: despite a minority Parliament, the two main conservative parties (CPC and LPC) control 227 of 308 seats, versus 29 for the NDP. We're drifting ('rushing headlong' is more like it) even more to the right, and I suspect we'll see, unless union management and Canadian voters can see what is happening and respond accordingly, an emphasis to favour even more lean corporate rights and ignore those of workers. At least that's how it looks from here. Forgive me for feeling so pessimistic this morning. Anyone got a Valium?


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Cougyr
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posted 26 January 2006 12:24 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by lagatta:
How can we protect workers' rights and jobs against such obtuse, shortsighted management decisions?

Well, first we have to understand that most
managers have very little power and are in the same boat as the rest of the workers, struggling to keep afloat. The main decisions are made at the boardroom level.

Crucial to understand: those who buy the cars, trucks and buses are not the customers for the Board of Directors of Ford. The end product is never important at the boardroom level. No, for them, the share holders are the customers. Keeping stock price up, each and every quarter, is job one. (Remember the 90 day balance sheet.) Making vehicles is very much a minor sideline to those who make the big decisions. These guys are allocating obscene amounts of capital; moving it here, removing it there.

In this environment, the engineers who know what has to be done, don't get the budget to do it. Managers who want to make progressive changes get fired.


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lagatta
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posted 26 January 2006 12:36 PM      Profile for lagatta     Send New Private Message      Edit/Delete Post  Reply With Quote 
Cougyr, I was using "management" in the old trade-union sense, labour vs management. Not just middle-managers, certainly the boardroom and major stockholders exercise far more power.

I could talk about "great capital" if you prefer.


From: Se non ora, quando? | Registered: Apr 2002  |  IP: Logged
Cougyr
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posted 26 January 2006 12:46 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by lagatta:
Cougyr, I was using "management" in the old trade-union sense, labour vs management. Not just middle-managers, certainly the boardroom and major stockholders exercise far more power.

I could talk about "great capital" if you prefer.


Yeah, I know. Unfortunately, "great capital" makes the great decisions. From a worker position, it is hard to realize that the CEO is a pawn; an expensive one, admittedly, but a pawn nevertheless. When "great capital" moves, the CEO is out on his ass.

Right now, GM & Ford are pleading poverty in North America, but are investing billions in China. "Great capital" is moving.


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scooter
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posted 26 January 2006 05:50 PM      Profile for scooter     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Boom Boom:
Originally posted by lagatta:
How can we protect workers' rights and jobs against such obtuse, shortsighted management decisions?


And short sighted unions. Don't forget that most of these auto plants bid on the right to produce vehicles and their parts. I don't remember hearing any auto union demanding to build more environmentally friendly cars or to stop building SUVs?

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Fidel
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posted 27 January 2006 01:10 AM      Profile for Fidel     Send New Private Message      Edit/Delete Post  Reply With Quote 
Ya but it's my neighbors and everyone who looks them. Mr neighbor sits his lone ass down in this four wheel drive SUV each morn' and hauls his bad self 80 kliks round-trip everyday. And I know he doesn't car pool. Was it the union who held a blow dryer to his head and forced him to drive that monstrosity of a gas guzzler ?. Hmm-muh ?.
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Boom Boom
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posted 27 January 2006 09:00 AM      Profile for Boom Boom     Send New Private Message      Edit/Delete Post  Reply With Quote 
Quote: Was it the union who held a blow dryer to his head and forced him to drive that monstrosity of a gas guzzler ?

Fidel:


From: Make the rich pay! | Registered: Dec 2004  |  IP: Logged
TCD
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posted 27 January 2006 11:43 AM      Profile for TCD     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by Ross J. Peterson:
** Some rambling comments **
Political Parties do not address the plant closures. Well where do the politicos find a forum to even speculate on alternatives?
* * * just rambling thoughts

Well, part of the reason that no one addressed the problems at Ford was that Buzz and the CAW leadership insisted they wouldn't happen in Canada.

Just like they insisted they wouldn't happen at GM.

Until they did.

I'd be interested in hearing from Tommy or any other CAW members about their thoughts on the CAW's strategy throughout. I know elsewhere some folks
are raising questions about the CAW strategy of kissing Liberal ass to get public subsidies for automakers (including non-union automakers) who then turn around and fire CAW members - or in the case of Toyota, replace CAW members jobs.

This seems dumb to me but I'm watching at a distance and my views are tainted by my overall contempt for Hargrove.


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skeptikool
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posted 27 January 2006 12:01 PM      Profile for skeptikool        Edit/Delete Post  Reply With Quote 
Auto workers are little different from others in that they are victims of the increasing assault on organized workers' job security, wages and benefits. While I feel for these workers, the U.S. auto industry, that would have us all drive Hummer-like vehicles, is largely the author of it own problems since most innovation has come from offshore.
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Cougyr
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posted 27 January 2006 12:17 PM      Profile for Cougyr     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by skeptikool:
. . . since most innovation has come from offshore.

Large North American corporations do not innovate. The 90 day balance sheet discourages innovation. Thus, these corporations are forced to buy innovation. It happens frequently as big companies buy up smaller, more creative ones.


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Ross J. Peterson
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posted 30 January 2006 01:22 PM      Profile for Ross J. Peterson     Send New Private Message      Edit/Delete Post  Reply With Quote 
TCD posted most intelligently on this thread:
. . -- == --
quote:
CAW demands . . . public subsidies for automakers (including non-union automakers) who then turn around and fire CAW members

. . -- == -- . .

Ever since auto won bargaining rights in exchange for no-strike during war(s) and other trade-offs the same picture has emerged, Buzz Hargrove or no.

What this country needs is a good synergy, between a political party for social democracy and unions that have the rankandfile guts to dump their leaders real fast when it matters and they need to elect new ones.

Is it not obvious - first that we are nowhere near some syndicalist dream and - second, that it is too late for most manufacturing in North America? Maybe the only near-hemisphere in bluecollar rest with Mexico.

Anyhow, if a company renegs on a govt guaranteed loan the union plus the political electoral party should punish said company. This is starting to sound utopian, I know, but that is the honest truth. Some of you may think this sounds revolutionary, like the end of Capitalism. That is BS. It could and should be accomplished in our present ecolo crisis. Recognition of class struggle and a party based on class interests is not revolutionary. Doesn't mean it has to be pure appeasement for the Fords of the world either.

I apologize for the straw man of 'revolutionary'. I'm a holdover from the 60s but just want to make clear that I didn't burn out all my braincells.


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radiorahim
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posted 30 January 2006 08:08 PM      Profile for radiorahim     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
And short sighted unions. Don't forget that most of these auto plants bid on the right to produce vehicles and their parts. I don't remember hearing any auto union demanding to build more environmentally friendly cars or to stop building SUVs?

I recall CAW Local 303 which used to represent workers at the Scarborough GM Van Plant (now closed) doing a campaign to try to get an environmentally-friendly vehicle put into their plant back in the early 1990's.

I recall reading about the UAW back in the late 1940's campaigning to try to get the big U.S. auto companies to build smaller cars...at the time the market "threat" was coming from Europe.

It might be true that these kinds of campaigns haven't been consistent...but it would be wrong to say the unions haven't raised these issues.


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Ross J. Peterson
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posted 30 January 2006 11:04 PM      Profile for Ross J. Peterson     Send New Private Message      Edit/Delete Post  Reply With Quote 
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radiorahim says:
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quote:
(maybe) these kinds of campaigns haven't been consistent...but it would be wrong to say the unions haven't raised these issues


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If there is some leverage to open these issues inside the unions, I foresee that this will become increasingly crucial ground for the future of Canadian jobs. The more initiative the unions take toward retooling Canadian manufacturing the better. But, of course, it could all be framed as neoliberal and / or protectionist if all the signals come from on high.

Something tells me that we are going to see a new proposal for nearly the opposite of the NAFTA. A form of internationalised grouping of labour zones. Free Labour could have bad connotations if it meant free of trade unions, but if it meant free of borders between high and dirt-cheap wages and working conditions, it might gain some traction. Organized around retooling to save the environment and save jobs. North and South. I would go for it.


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TCD
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posted 31 January 2006 09:55 AM      Profile for TCD     Send New Private Message      Edit/Delete Post  Reply With Quote 
I think the CAW and the NDP were on this kick with the Green Car Strategy. It's good - but it kind of seemed to go nowhere. I don't think it got pushed in barganing, or when the CAW went out to push for subsidies. The fact that Liberals in Ottawa and Queen's Park ignored it entirely hasn't dulled Buzz's endorsement of them.
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