• Apr 23, 2006

Thursday, former secretary of labor and current NPR Marketplace contributor Robert Reich claimed in an American Prospect Online article that he had been approached by a General Motors' public relations representative with a monetary offering, in exchange for the financial pundit's endorsement of GM's employee buyout plan. Richard Strauss, head of Strauss Radio Strategies (the PR firm in question), denies Reich's claim, referring to it as "an honest misunderstanding". Read into those last three words what you will; some would say that translates into "my lawyer thinks there's nothing here that will hold up in court".

As it relates to the buyout offer itself, Reich doesn't seem quite sure what to think of it, other than that it's probably a good deal for the workers who accept it if indeed GM goes bankrupt (the ol' a-bird-in-the-hand-beats-two-in-the-bush thing, basically).

[Sources: American Prospect, Detroit News]



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  • 28 Comments
      • 8 Years Ago
      "At least the little runt didn't sell out."

      Yeah, like Rastus Owens, I mean, Terrell Owens, that sell out.


      " Afterall, nobody likes being taken to the cleaners...and that's exactly what happens when you buy a GM car/truck. I know, I have one."

      Damn, if only you were taken to the cleaners enough such that you had to hock your computer. We could only wish.



      "Anyone...ANYONE with an Economics background truely has a distaste for buying 3rd-rate crap all to support some BS ides of "Patriotism"."

      Anyone...ANYONE with a brain should be able to observe that ALL super economies are NOT, I repeat, NOT SERVICE oriented but manufacturers. It is important to keep that going to keep the super cconomy going. Add services to it (and not just services) and you are in great shape. BUT have foreignors own the manufactering at home and your country is as economically great as say, Singapore and Malaysia who don't do their "own" manufacturing. Anyone...ANYONE should be able to observe that.


      "Economics abides by the philosophy that the best product for the best price wins the customers...PLAIN AND SIMPLE."

      In a perfect situation then AT&T and Standard Oil EARNED the right to be monopolies and should still have us pay whatever price they wanted to this day since THEY apparently (unquestionably) had the best product for years. Extremes of anything is bad.

      You are talking perfection and nothing is perfect. If the U.S. was perfectly effecient ATLEAST 50% of all jobs would be gone. There IS perfection in imperfection.

      Next time you think Patriotism is not important watch the History Channel's shows about the fall of Rome (and how the U.S. is compared to Rome). Terrell Owens -ism is basically the reason. The U.S. is a super power for 60 years and starting to do all of Romes failures already, at least THEY were smart enough to last as a super power for many, many times longer than the U.S.
      • 8 Years Ago
      Uh, why would I keep paying advertising dollars to a media outlet that is critical of my products and my executive staff? GM was right to pull their ads, that doesn't mean up to that point they've been paying for good press.

      But concerning Reich, what pisses me off is that this "relationship" between public figures, corporations, PR agencies and the media is nothing new... Incidents like Bush and Armstrong are just bringing them to the spotlight, but Reich is playing dumb:

      "But if weve got to the point in this country when big corporations feel free to offer what are essentially bribes to columnists and commentators, were really in trouble."

      A man with such a long list of journalistic accomplishment can't be this naive!! Sorry, not sure where he's been living but Freedom of The Press was traded for ratings and publication sales a long time ago....
      • 8 Years Ago
      At least the little runt didn't sell out. My guess is Robert Reich despises GM as much as any other level-headed, hard-working American. Afterall, nobody likes being taken to the cleaners...and that's exactly what happens when you buy a GM car/truck. I know, I have one.

      Anyone...ANYONE with an Economics background truely has a distaste for buying 3rd-rate crap all to support some BS ides of "Patriotism". Economics abides by the philosophy that the best product for the best price wins the customers...PLAIN AND SIMPLE.

      Go shove your green lucre up your bung hole, you filthy swine.
      • 8 Years Ago
      Yeah, they probably did make payoffs. And so? It's not illegal or anything, this isn't the government. They decide what to do with their money. If you don't like it, don't buy their stock.

      To the MUCH later poster, the 3800 V6 came about in about 1987 or something like that. It already had fuel injection. There was a 3.8 before that, but it wasn't called the "3800". The 3800 you lambast had distributorless ignition in 1987. Honda didn't put this on their cars for another 5 years.

      The 3800 is on Ward's 10 Best engines of the 20th Century list. So I don't know why you crap on it so badly. It's smooth and reliable, that's a pretty good combo. The HP output isn't particularly high for the displacement, true. But then again displacement is a pretty lousy way to compare engines. It only measures the air going through the motor in two cranks of the crankshaft. It doesn't measure engine size or weight like some people seem to believe.
      • 8 Years Ago
      "Can they build a car 30% cheaper due to technology, than say Toyota? No, they can not."

      Toyota is like that company that jacks the price up just before a sale. I mean, GM sells most products in each segment cheaper than Toyota. So Toyota's 30% reduction would be getting them more in line with some of their competition (I say would be because the customer won't see 30% savings anytime soon).


      "GM doens't invest...their latest "investment" is the newest, latest, and greates gas hog called Tahoe and Suburban."

      Relatively speaking, for their size, they aren't gas hogs. Toyota SUVs of similar size get worse gas mileage. Oh, yeah, if NOT investing equals over $1Billion dollars in Hydrogen technology investing then math must not be your forte.


      "You can still buy GM's ubiquitous 3800 V6 which has been in production for nearly 30 years"

      Yes, the Beetle was in production for longer. It just so happens that the 3800 is one hell of a reliable engine (call Pat Goss of MotorWeek one weekend during his radio show and ask him) so it is still produced. Mr. Goss has stated on his radio show that he has seen 3800's with over 400K miles on them. I'd produce them for another 30 years with that fact in mind. Just today Mr. Goss was also mentioning that EVERYDAY his shops see a Camry with throttle body problems too.


      "EV-1? Why isn't there an EV-2 or an EV-3?"
      I know this is a hard concept but look at a company like Motorola. Up until a few years ago they made phones no one could match. Reducing the size, making flips out of them, etc. All their batteries were made in Japan. What this obviously states is that Japan dominates battery technology (I mean, here is a company like Motorola which can make the best in the world but still relies on Japan for batteries). So, JaPanasonic made the last iteration of EV-1 batteries. Now Toyota owns 60% of JaPanasonic EV division. The better question is why, Toyota, now owning a majority of JPanasonic EV and supposedly being ahead of GM, doesn't Toyota have an EV-2, EV-3, or hell, an EV-12 since they are so f'ing great?

      (source: http://www.greencarcongress.com/2005/12/toyota_pushing_.html)



      "The competion is breathing down their necks, they are surrounded on their own home turff, and they roll over and play dead."

      No, America rolled over and played dead. We suck at everything.


      "Where is the MacArthur-style leadership? No where to be found. And that's the sad truth."

      MacArthur? Personally I like Patton a ton more. MacArthur probably would have bent over for the Germans.
      • 8 Years Ago
      Hard to believe they'd be so stupid.

      But then the Bush administration was paying people to write good stuff about some of its programs (No Child Left Behind, if memory serves), so who knows?
      • 8 Years Ago
      Hard to believe they'd be so stupid.

      But then the Bush administration was paying people to write good stuff about some of its programs (No Child Left Behind, if memory serves), so who knows?
      • 8 Years Ago
      GM Has a PR Department? With all the bad press, I didn't believe they had anyone.

      Now if GM is going to bribe somebody, they need to bribe Consumer Reports. Although it'd have to be a pretty big bribe considering the government of Japan OWNS them.
      • 8 Years Ago
      Cripes! Ok...I honestly cant take GM's BS anymore. I used to be all for them. I know they had issues but they just are digging their own hole deeper.
      • 8 Years Ago
      Huh? Unless it's a Corvette or a Mustang, Car and Driver poop on GM all the time.

      I don't read Motor Trend, so I dunno what they do.
      • 8 Years Ago
      #17 Lithous you are so lascivious! If you are so inclined to screw your neighbors on your street for money, you should consider your own personal morals than to speak about Robert Reich!

      You speak of Americans as "they"! What are you? Foreigners have no business with American problems. What Robert Reich says is between him and us Americans who "don't have common sense". You stay out of this.

      That said, doesn't Robert look just splendid in that picture? I hope Mr. Reich and GM make up by next week. Is Mr. Reich married? He can marry someone from GM's PR department.
      • 8 Years Ago
      Trying to bribe the people is a foolish thing to do in USA as if it comes to the media then it becomes a PR disaster for any company. The PR people in the big companies should be more careful.
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