jacostang

I'm sure there are some folks here in the USA that would like a job...

http://redwhitebluenews.com/?p=14524

05GT-O.C.D.

Nice to know our tax dollars are being used to provide jobs for Americans.

crescent_wrench

This is in the plan for King Obama's Job Council.

Glenn

obanga, he's doing a good job running that car makin place....yea

houtex

Well, start asking for less money to do the job here*, and you get to keep the job here.*

/not that I could do that, but YOU can...
//*=anywhere you are but the job isn't going to stay.
///not terribly serious.
////also way old, like mid 2010 old, and for sure January 2011 old.

fdjizm

Sweet!!! glad my tax dollars are proving more jobs for mexicans, thanks for supporting your home GM you frikkin D students of the automotive world!

05GT-O.C.D.

Or instead of asking for less money, we could ask for less taxes so that it's cheaper to do business in the US. Domestic companies don't push jobs overseas because they like dealing w/ people who speak English as a 2nd language (if at all). There's a lot of expenses with doing business overseas or in another country, and the US could be viewed as more hospitable for business if we didn't have a punitive tax structure and president who demonizes corporations who turn a profit.

bob

Keep in mind that this is a business decision by GM, and as with all corporations in this time of globalism it is still beholden to making a profit or planned profit. As a corporate entity, GM is isn't interested in propping up the US economy by keeping jobs here. Its looking at maintaining its competitiveness against other car companies so like most every other corporation in the world. GM exploits labor markets where it can produce items cheaper with less than, equal to, or better productivity.

It sucks, but that's whats what the US did to Europe (specifically industrialized England) and that's what is happening to post industrialized America. Central and south america to a point where it is still economically feasible to open factories there and ship goods to the US at a competitive price and its happening in greater Asia in China where its extremely cheap to produce goods and ship them all over the world. Once Asia has been wrung dry then its on to some place like Africa where cheap labor will exist and can be easily exploited and then on to some place like Antarctica where they will set up penguin and baby seal sweat shops and so on.

BlueBeast

Strike 1: GM accepts a ba-zillion dollar government bailout.

Strike 2: GM creates more jobs in Mexico instead of the U.S.

Strike 3: http://money.cnn.com/2011/06/07/news....htm?hpt=hp_t2

Thanks GM! You were one of the main reasons that I just bought a new 2012 Kona Blue V6 Premium with the Pony Package.

AlsCobra

Wow guys. So it's ok for Ford to build a plant in china but everyone is pissed that GM is in Mexico. Really? I may have to revive a recent thread.

SoFlo Mustang

They will wind up here anyways

Also, once the price on transportation drastically rises (fron oil) we will see a lot more economic construction at home

Rather B.Blown

There's a slight difference, Ford is spending their own money. GM is spending ours.

bob

You can call it a bailout but Bob Lutz in an interview flatly stated that there wasn't even enough money in the US at that time to even enter GM into liquidity. The banks simply did not have the money to gut GM. The feds by dint of being able to order the money they needed were able to give GM time to at least sort itself out somewhat.

People need to keep in mind that the auto industry is very intertwined, GM failing wouldn't have been an isolated event like your neighbor's cat house going ti... err well going out of business. The entire industry would have felt some pain from it, and now seeing what has occured in Japan which would have compounded the issue. Oh man that would have been some real wrath of god stuff!

On the other hand, letting GM implode would have been an interesting experiment just to see if the outcome would have been as messy as the experts predicted.

jacostang

Exactly the point..........

cdynaco

I agree it is an intertwined industry. But I'm not understanding Lutz comment about the US/banks not having enough money. That's ridiculous.

If GM had filed a normal Chapter 11 banko - instead of Govt bailout/taxpayer ownership - their debts would have been mostly zeroed, and their ongoing cash flow from sales would have been positive day one. There would be no need for "US or bank cash" to "liquidate". C 11 is not a liquidation - its a "reorganization" that lets the company continue by wiping out most of its debts. Its the lenders, vendors, and suppliers that have to eat most of the bad debt - and then they write that off.

Naturally that would have caused numerous other 11's (the bailout did anyway) but as long as the consumer wants the products, there would have been a need to fill and the factories would have continued operations under the auspices of the bankruptcy court.

Banko sucks because it hurts so many lenders, vendors, and suppliers that are holding paper, but that's the risk they took. Banko is part of the Constitution so people will take risk to build the economy and country without having to risk their absolute last dime. They can file banko, start over and try again.

In contrast, Chrysler was an arrangement for loans - not a takeover of ownership through shares like GM. As a taxpayer I can justify making a loan to an important industry in a dire situation. But stealing from the taxpayer like the Govt did with GM - then giving a huge chunk of shares to UAW - makes it a very difficult decision for many American taxpayers. But when US taxpayer money goes to pay wages in another Country, that's crossing the line.

Then to make matters worse, Treasury bailed by selling New GM shares prematurely which locked in a loss for the taxpayers - and told the market the shares weren't worth the IPO price. My opinion, once the taxpayer was in and the deal was done, they should have hung on for the long term until the taxpayer makes some money - or at the least breaks even.

***
I don't like government bailouts. But I also recognize this was such a huge and fast implosion that I understand the need for the government to be the ultimate backstop when extraordinary events threaten the entire economy. Frankly, Paulson should have bailed out Lehman IMO. The whole economy would have been held together by duct tape (which it is anyway), but we would not have fallen so deep in the dang basement. Lehman was way more intertwined than GM.

Flagstang

BOOOO GM


YAAAAAAY ford

SoFlo Mustang

This. Mustang sales would boom with camaro out of way, IMO

fdjizm

^this.

AlsCobra

It was never really ours. And how does this justify the Chinese deal. I'm all about ford chevy and Chrysler doing well. You guys are sounding more and more racist by every "pro ford only" post. Ford alone is just not gonna cut it. I guess haters gonna hate huh.

cdynaco

Well if you don't stand up for your tax dollar, no one else will.

You know when you're self emloyed you have to write a check to pay your taxes. Too bad employees don't have to go through that same painful experience. Its a wake-up call.