• Dec 1, 2008
As you read this, there are about 3,000 unionized workers -- down from about 15,000 two years ago -- employed by the Detroit 3 getting paid, despite the fact that they aren't working. While it's nice for America's automakers to have access to a talent-pool of available workers, it's also a major financial drain on an industry that's already reeling from a distinct lack of profits. And with new cutbacks and layoffs being announced almost daily, these "job banks" are increasingly tough to justify, even for the UAW. It's always been a bit of a competitive disadvantage, at least on paper, as non-UAW competitors like Honda, Toyota, Nissan and Hyundai do not keep such job banks. To ease Detroit's transition from bloated, money-losing corporations to lean "right-sized" competitors, UAW Prez. Ron Gettelfinger has brought up the job banks and their possible elimination. Will this be a part of the overall plan to become competitive that the Detroit 3 bring to Congress? We'll find out soon enough.
[Source: Wall Street Journal]


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  • 33 Comments
      • 6 Years Ago
      Why does the UAW even have to think about this?

      No one wants to give up anything... If they Keep messing around there all going to end up unemployed!
      • 6 Years Ago
      what is the point of a "job bank"...why not do what EVERY OTHER COPORATION IN AMERICA DOES...if you have layoffs...write down a little note about who the good workers are ( that had to be cut) and keep them in a file...when you need workers again...


      get this, you pull out the file and try calling them to see if they need a job?



      I swear, i could walk into the UAW and kick a few faces and save some serious money...I mean honestly at this point, does Ford or GM care if UAW workers walk off the job? What are GM and FOrd going to loose? Sure a few hundred cars and trucks that wont sell anyways but you can then rehire non UAW workers
        • 6 Years Ago
        Job Banks make sense for most unions. However unions do not make sense for the Auto Industry. Up here in Alaska in Prudhoe Bay, the oil companies use unionized labor that utilize job banks. Workers get directed from work site to work site per the Union who gets the contracts from the various oil contractors and companies in Alaska. It really makes sense up here, but not for a worker that isn't moving all over the place to different job sites.
        • 6 Years Ago
        Wow. I didn't even know there was such a thing! Learn something new every day! And at this I'm disgusted! It's a gross display of UAW power! What a waste of money!

        Um, can I join? I mean I have a 9-5er now but..... ;)
        • 6 Years Ago
        Hey Ron MiddleFinger ...
        You are Considering it? WTF
        And you say Unions are not the problem...
      • 6 Years Ago

      I guess the foreign automakers must be relieved that they built most of their plants in the Southern non-union states.
      • 6 Years Ago
      UAW just needs to die all together.
      • 6 Years Ago
      If the UAW walks, how long do they think their workers can last before they go crawling back to the Big 3 begging for their jobs back? The job market can't fill anywhere near a significant percentage of those jobs. Plus non-union workers have gotta be around. Heck, you could probably hire hire high school students for $20/hour and no benefits.
      • 6 Years Ago
      Wow, paying 15k people to not work. What could go wrong with that model?

      And Ronnie saying "they'll consider it"??? Right. The UAW's day has come. After all the shady bailouts, we'll see if the dems have the cajones to hand these idiots free money. I'm betting not. The backlash is going to be hell.

      The avg UAW worker earns:

      - 52% more than the industry avg (toy/honda us factories, etc),
      - 54% more than the nat'l avg for managerial and professional jobs,
      - 132% more than the avg US manufacturing job,
      - 157% more than the avg wage for all working Americans.

      Yeah, they definitely deserve to take money from other working-class americans to keep this up. Its just a credit crunch after all.

      These firms have been systematically euthanizing themselves for 3 decades. Let them die already.
        • 6 Years Ago
        Well the only good thing is that they are down to three thousand from fifteen thousand. It should be done even if it is late in the game, that is why he is considering that option.
      • 6 Years Ago
      If I remember correctly, the job bank is one of the factors that led to Chrysler's downfall.

      After a year of record sales, Chrysler decided to keep producing cars that weren't being sold since they were paying workers anyway. This created a glut of inventory, and drove resale values more into the toilet.

      Yet another brilliant corporate decision from the big three. ;)
      • 6 Years Ago
      Just demonstrates the head in the sand mentality that pervades Detroit. Even if you find a way to produce cars with less manpower, you only realize 10% of the savings. UAW and manufacturers should have focused on retraining those workers - even for other industries. Do they realize that if Detroit could get their act together, good cars at good prices, their market share would actually be growing all this time?
      • 6 Years Ago
      Considering the number of bank failures these days, it's refreshing to learn that maybe.......just maybe......the Job Bank at GM will fail.

      The UAW better look for ways to "give back" because they're the dopes who killed GM in the first place (with the help of bad GM management, of course).

      Time to bust the UAW for good and operate domestic auto factories the way Honda and Toyota do in the U.S. Auto manufacturing is alive and well in the U.S.A. so long as you ignore the dinosaurs in Michigan.
      • 6 Years Ago
      Nice try, we'll just bust that darn union and save loads. At the first comment every UAW worker at every supplier in the country will instantly go on strike and nothing will get built until the union is back in. It really only takes a few strikes to shut things down far and wide and they won't go without a fight.

      Actually this is probably an offensive (and offensive) move to take attention away from huge amounts of featherbedding in factories all over the country.
        • 6 Years Ago
        yes but you are ASSuming that GM et al actually wants them to work. Remember when we had the transmission strike earlier in the year. GM wasn't exactly begging for them to come back and build more heavy trucks. That strike ended with a "deal" pretty quick.
        • 6 Years Ago
        This thought had occurred to me also. Unfortunately, nothing short of a time machine is going to get rid of the UAW now.

      • 6 Years Ago
      "talent"....come on people, get real. Talent is landing a jet on a deck of an aircraft carrier, performing brain surgery, creating an artisitic masterpiece, playing cello in the BSO.....this "pool" consists of trained individuals whom are expendable like the rest of us. Enough is enough. We as Americans should demand the fall of the UAW for the sake of saving our beloved industry.
      • 6 Years Ago
      I think the temperature in hell just cooled off a few degrees.
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