Manufacturing 2.0
Rock River Valley manufacturing experts discuss the many facets of manufacturing: technology, education, training, events, people and any other aspects of this important segment of our economy. They’ll use this blog to get the word out and solicit feedback on local and global manufacturing. They hope to better engage our employers, employees and our future work force and increase their understanding of manufacturing.

Archive for November 20th, 2008

Detroit, we have a problem, or do we?

1 comment November 20th, 2008

So if this is such a serious problem, how come the auto guys didn’t have their act together and how come Congress can just walk away from this problem?  Now this is leadership in action!  Excepted from the WSJ…

Democratic leaders in Congress decided Thursday to delay a vote to bail out auto makers until December and demanded the Big Three companies show how the funds would transform their beleaguered industry.

“The executives of the auto industry have not been able to convince the American people or the Congress that this bailout would be their last,” Senate Majority Leader Harry Reid of Nevada said at a news conference.

House Speaker Nancy Pelosi said: “Until they show us the plan, we cannot show them the money.”

She and Mr. Reid said Congress would return to work in early December to vote on legislation if auto makers produce an acceptable plan. They said there was no plan in circulation that could pass both houses of Congress and win President George W. Bush’s approval.

The bill faces an uncertain future on Capitol Hill. The measure would speed release of $25 billion in already approved loans designed to help the industry meet higher fuel-economy standards.

Similar approaches have been opposed by senior Democrats, including Speaker Pelosi, who have instead pushed an alternative measure that would carve $25 billion for the industry out of the $700 billion financial rescue fund. The compromise bill faces other hurdles, especially from liberals who don’t want any retreat from environmental mandates on the industry.

Congress could return the week of Dec. 8, but only if auto makers deliver an acceptable plan.

Meanwhile, United Auto Workers President Ron Gettelfinger warned the Bush administration and Congress to come to an agreement on aid for the domestic auto industry because “inaction is simply not an option.”

Mr. Gettelfinger said without help, one or more of the Detroit Three auto makers could collapse by the end of this year, and “the costs that would come from this are just too great.”

The odds were great that Congress would break today without taking action on any legislation that would help would help GM, Ford and Chrysler LLC.