Why do people blame unions for the US auto industry collapse? Ford seems to be doing ok...?

I would think it's the inability of GM and Chrysler executives to negotiate effectively on behalf of their companies that would be more suspect.

11 Answers

  • Anonymous
    9 years ago
    Best Answer

    You are entirely CORRECT . The unions don't make bad investments , nor pay their leaders billions of dollars ..The unions have no private jets at their beck and call , the CEO does . One of Ford's most successful divisions is in Europe which are far more heavily unionized AND regulated ...

  • Anonymous
    9 years ago

    Ford moved factories overseas long ago (as in "moving jobs overseas") so they were somewhat immune from the irresponsible collectivism of the unions. GM and Chrysler stayed too long in Detroit. Now they're following Ford's lead. GM is opening factories in China now, and Chinese are actually buy GM cars now. The unions just got in the way.

    Fortunately, the US auto industry didn't collapse, they will have a new day in Mexico, So. America, and Asia. It's the US unions that will collapse.

  • 9 years ago

    Ford is surviving because it cut 20% of it's union work force since 2006. Also it operates MORE plants outside the US than inside.

    Mexico, Malaysia, Vietnam, Argentina, England, Ontario, and Brazil..

  • Anonymous
    9 years ago

    Well lets see, there is:

    The auto industry

    The steel industry

    the Teaching profession

    Pretty much all government jobs



    Anything the Teamsters set their dirty hands on

    Geez, what other industries did they destroy? I think it was good that we got a 40 hour workweek, overtime rules, and weekends, but after that what the hell else do we need labor unions for?

    They are the reason why here in Jersey, property taxes are reaching 8-9 thousand dollars a year.

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  • Jason
    Lv 6
    9 years ago

    What's most suspect is the inability of the executives of domestic auto-makers to read consumer demand properly over the past decade.

    "Gas over $3.00/gal? Let's build some more Hummers!"

    Ultimately, this is one policy with which I disagreed with Obama: the auto bailout. We should have let domestic auto execs eat the sour fruits of their lacking labors.

    Source(s): UAW kid
  • 9 years ago

    Ford is doing Ok DESPITE the choke hold of the unions... They would've been doing EVEN BETTER, if it was not for the unions' monopoly on labor.

    Monopolies suck and are a danger to free market. If the US saw fit to block the merger of "Staples" with "Office Depot" -- for fear, that the resulting entity will have monopoly power in the market of office supplies -- why do we not only tolerate, but encourage monopolies in the markets as important as fire-fighting, law-enforcement, education, health care, infrastructure-building, transportation, and even the government itself?

  • 9 years ago

    Ford made half a billion in profit over the last four quarters. Unions aren't hurting them one bit.

    Sure, any company can make more by paying their employees less, but that's basically theft of labor.

  • 9 years ago

    Because they are fools… any company that signs a deal with anyone is libel for ‘that deal’ weather it works out for the best or the worst. (Sort of like a marriage)

    There is a company in Three Rivers MI (a U.A.W. Plant) who told it’s workers that they needed to make/take deep concessions in order for that plant to become profitable and competitive - the U.A.W. members of that plant voted to take them concessions in order to save their jobs (they thought) After the new contract was agreed upon and signed by all parties concerned, the C.E.O. was awarded a bonus equaling the cost of every one of them concessions the employees voted to take. - How did ‘that’ make that plant any more profitable and competitive?

    Source(s): Live, Love & Laugh
  • Anonymous
    9 years ago

    Fact: Ford is doing OK due to non-US sales, mostly in China.

  • Anonymous
    9 years ago

    Crap like this is what happens when you ask investors the best way to manage the economy. Sure enough; the resulting bias is very much in their favor.

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