Blaming Republicans, defending unions

by Eugene on December 20, 2008

in Economy

Rose Ann DeMoro of the Huffington Post comes out swinging at the Senate Republicans, specifically their leader Mitch McConnell, in the matter of helping the auto industry. Funny title for an article: The Mitch Who Stole Christmas — just in time for the holidays. Too bad she lacks the holiday spirit, calling Sen. McConnell “mean-spirited,” “vilifying unions,” and “cynical”…

Ms. DeMoro is upset over the Republicans’ demand for “parity pay structure,” or cutting wages and benefits for UAW laborers. She doesn’t think it has anything to do with what’s wrong with Detroit. Well, she’s partially right — unions share the blame with the clueless auto executives. Japanese automakers don’t have to deal with excessive union contracts like G.M. has to, so naturally they can sell their cars cheaper than their American competitors. It’s not about “punishing workers” as DeMoro argued, but rather staying competitive in the marketplace. And in the long run, allowing the employer to survive so the workers can still work. After all, nobody benefits from G.M. closing shop.
Being the liberal that she is, of course this has to tie into universal health care:

Or helping employers, as well as the people who work for them, by shifting healthcare coverage costs from employers to a national system like Medicare. It’s one major reason why car producers have lower costs in other industrial countries which have national healthcare systems. It would also guarantee healthcare coverage for the millions of Americans who have lost, or are losing their jobs or employer-coverage in this recession, or were already uninsured.

Instead of cutting health care benefits, why not offload the obligation to a nationalized system like Medicare or some other universal health care plan. (I’m guessing she voted for Obama.) That actually sounds like a reasonable argument, but deep down it only means burdening taxpayers (including the workers) with UAW’s health care bill.
No, thank you! Everybody is suffering in this recession, not just the auto workers.
But she concludes with a decent point:

During the last major Depression, we experienced a wave of union growth. A direct result was the full flowering of economic prosperity for American families and an unprecedented economic boom in the 1950s and ’60s. The erosion of that dream and the shocking wealth chasm in our nation has coincided directly with the decline in union membership and the relentless attack on unions during the Bush-McConnell reign.

But let’s just say that the unions of today is very different than those of the last Depression. There’s nothing wrong with labor unions. In fact, it is indeed a good way for workers to organize and protect each other against injustices in the work place. However, mega-unions like the UAW, National Education Association, and American Federation of Teachers, have morphed into something sinister, something resembling political parties. And that stems from union leaders cozying up to Washington, particularly the Democrats, to stay in power and further their own agendas.

It is a shame that the UAW is getting so much negative attention in light of Detroit’s troubles. Unfortunately, UAW leaders brought this unto themselves and their union colleagues for taking advantage of their employers and being a hard-headed cry-baby all these years…
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