Of course, no one really wants to see a strike at Ford Motor Company by UAW autoworkers, but at GM and Chrysler - short strikes did happen before a new contract was agreed upon. I have no reason to believe that there will not be a strike at Ford Motor Company as well, but hopefully if it does happen it will be short in duration just like the previous ones at GM and Chrysler. The last thing the U.S. Automobile Business needs right now, is a strike by UAW members. Toyota, Honda and other Japaneses and Korean automobile companies have been 'cleaning the clock' of U.S. manufactures for years now and the problem has gotten so bad that some people are discussing the possible bankruptcy of some American automobile companies.
When the UAW first decided to strike General Motors (GM) a few weeks ago, my first thoughts revolved around the 'killing of the goose that laid the golden egg'. However, much to my delight, I was wrong and there was a short strike against GM which soon lead to a new contract. Pretty much the same thing happened at Chrysler a few weeks later and now two of the 'big three' U.S. automobile companies have new long term contracts. Now the only company that is left to finalize a deal with the UAW is Ford Motor Company and I doubt if there will be much trouble there because the really big issues have already been worked out in previous negations with GM and Chrysler.
Once a new Ford Motor Company/UAW deal is finalized and voted upon, the U.S. automobile business can get back to the hard work of trying to save itself from huge foreign competition. I still have doubts as the the real life possibility that U.S. auto companies will be able to survive in this fast paced changing world, but there are some really smart people working in the U.S. automobile business and I refuse to outright bet against them. For the U.S. automobile business to survive in the long run, they must find a way to build cars and trucks that the American people are willing to pay full price for. In recent years, the only way Ford, GM or Chrysler has been able to maintain sales is by offering huge rebates or low interest rates to attract buyers. For the 'big three' to really be successful they need for American consumers to be 'standing in line' to buy their products without the added enticement of a rebate or low interest rates to close the deal.
Read more about the Big Three:
UAW Workers Strike Chrysler As Contract Expires
UAW/GM Reach Quick Settlement After Strike
UAW Strike Could Destroy GM's Future
GM Sales Rise 6% In August
Chevrolet Volt The Future Of Cars?
Sunday, October 28, 2007
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