Correct. Since I wrote that, I discovered the details about the agreement. GM seemed to spring the plant closing suddenly. They HAD to have an idea that they were going to close the plant and seemed like they waited until they had an agreement before they broke the new.

If this in fact what happened, then yes, you are 100% correct. If all else fails, they could call a strike, and they would likely have the courts on their side on this.

 

OK, here we go with another person who has more canned opinion on "The Unions than he has facts. Let's start.

1. GM is in fact the villian here. GM (like Ford and Chrysler) piled all their development cash in large trucks and SUVs and foolhardely forfeited the car market to import brands. They did this because the profit margins on trucks and SUvs are far superior to the profit margins on automobiles. Where they were shortsighted is that despite past evidence that fuel prices can suddenly change and change the market immediately, they continued to put all their eggs in one basket. Now they're in serious trouble.

2. Blaming so-called "Tree Hugging Enviromentalists" is THE most dumbest thing I think anyone who actually takes time to watch the news, read the papers, or has a grade school understanding of what's going on in the world has heard.

Here's the breakdown for you:

a) Oil is paid for in US dollars. Running horrendous deficits (like has been done since 2001 and severely aggravated by this Iraq taxpayer money incenerator George the 2nd has gotten us into) means that we have to borrow money from China as well as other nations via Bonds and securities because we don't raise taxes to pay our way. So instead, you (as in us taxpayers) are going to be paying what we should pay in taxes anyway plus intrest on what China and other countries are loaning us. The more we borrow, the less valuable our money is on the world market. Since oil is bought with US dollars as currency, our prices skyrocket far faster than any other country (whose cuirrence is more stable).

b) There's 2 very huge reasons why no new refineries have been built in 30 years. One, because 30 years ago, it was expected that oil usage would grossly decrease as all vehicles got better gas mileage due to CAFE and the expected decrease in avalability of oil. The second reason is because companies didn't want to develop more. If you owned one of a few stores that sold a product people needed, would you want other stores to open up to ease demand (and profits) or would you be perfectly comfortable being one of those few stores knowing that if demand increased beyond your capacity you'd stand to make a killing?

.....For what it's worth, oil refineries are actually running at 85-90% capacity, not the 100 plus (is there such a thing as over 100%?) capacity you posted.

Sure, in the past, the autoworker's union did themselves no favors let alone US automakers. Many of the ridiculous work rules that were created in the 90s are only now being scaled back or eliminated. However, the UAW did a commendable job the last couple of rounds in seeing the writing on the wall, and agreed to some concessions that allowed US automakers to close down plants, buy out workers, unload health care coverage costs, reduce their workforce (meaning their membership and their funding via dues), create a multi tiered pay scale where newer employees get paid far less at comparable points in their career as has been done in the past, allowed outside contractors to do some union jobs, shutting down the nortorious "Job Banks", and many more items that I can easily take up a page to write about.

While the CAW is more militant and it's leader Buzz Hargrove is IMHO off the deep end, I have nothing but praise for the UAW at the moment. It's not just me either. GM and Ford seem to be moving a bit more production back to the US from Canada.


Underlying causes that they themselves had more to do with than anything else.

 

To address some of your answers:
More canned opinions than fact?? Well considering that I have belonged to unions and worked union jobs, I think I know a little bit more than you give me credit for.

1. Foolhardiness yes, shortsightedness yes, the villian.....no.

2. Perhaps you think it's the "most dumbest thing", I think the facts would disagree with your statements. Why have there been no new nuclear plants built in so many years in the US when it is the cleanest, most effecient method to produce the electricity we need? Care to explain it? ENVIRONMENTALISTS is the simple answer.
a) Again you overlook the underlying causes, why do we have to borrow money? Because the idiots in DC can't learn to live within a budget like most normal people have to. Have you actually looked at the budget and seen the ludicrous waste in everyday bills? I doubt it, much easier to simply blame it on the Iraq war rather than the everyday "pork" inserted into almost every bill by almost every one of our legislators. And I suppose the commodities futures traders are only raising the oil prices at the same rate as ordinary inflation..... I don't think so.

b) Get a grip, if more refineries are built, more product is sold which means more profit for the oil companies. They want to drill and produce more revenue, it is due to the environmentalists that they cannot drill in many areas. What about our coal reserves? We sit on something like 30% of the world's coal and it is being used less and less, technology for it is pushed aside, again the environmentalists have played a huge role.

Any "good intentions" based on what the Unions have done in the last few years is a positive, albeit a small one, it will take many years to overcome the liabilities left behind from years of obscene wage increases and health care increases, a very difficult legacy to overcome.

All of the things above are contributing to plant closings, people need to also look at all of the factors that are contributing rather than focus solely on "the evil corporations".

Clyde