Obama Weighs Buyout Rage Against Future of Iconic Auto Union
As the auto industry struggles, so does its union. The United Auto Workers union, which has decreased in size significantly in the last few decades, is now facing the potential bankruptcy of General Motors. Despite recent UAW concessions on job-security and benefits, the Obama administration is asking for further concessions within 60 days. Despite the President's support for labor, the particularly desperate circumstances surrounding the auto industry is forcing Obama to be tough on all parties involved ? labor, management, and bondholders. Still, Obama is expected to take measures to protect the union in the event of bankruptcy ? where a judge could eliminate the benefits the union has worked to achieve for three-quarters of a century. In general, UAW members remain supportive of the President.
See "Obama Weighs Buyout Rage Against Future of Iconic Auto Union", John Lippert and Keith Naughton, Bloomberg News, April 1, 2009