A Late Entry but Still Relevant to me.

Don’t Save the Big 3


I understand that what I am about to say may cause some friction between myself and some of my friends. I am willing to accept that. I worked in the automotive manufacturing sector for approximately 9 or 10 years of my life and have been directly effected by the weakening of the manufacturing sector. I have mixed feelings about what is happening right now and I have done some serious soul searching in regards to the current “automotive manufacturing crisis”.

This crisis has been brought on by the Big 3 themselves. GM, Ford, and Chrysler have done little, if anything, to save themselves from obvious doom. There has been talk for decades about the decline in crude oil supply, the increase in global warming and pollution and the need for more fuel efficient cars and trucks. What did they do about it? They manufactured more trucks, vans and SUV’s than ever before!! Admittedly this was done to satisfy the ever self-indulgent consumer-the 10% of the population that holds 90% of the wealth. I mean, how can you blame the companies for wanting a guaranteed piece of the elite pie? There has been no significant increase in the fuel efficiency of domestic vehicles in the past 20 years. They try to greenwash us with their misleading advertising but I can personally guarantee that you could get more mileage out of a 1990 Chevrolet Sprint than what you can currently get out of 2009 Chevrolet Aveo. What ever happened to the Ford Festiva or all of the other great small cars of the 80's and 90's? There are more fuel efficient vehicles currently offered in Europe than we have ever had grace our dealerships. Why?

I confess, I own and drive a minivan. That being said, it is our only vehicle for our family of 5 with 2 children still in booster seats. I ride my bike to work in the summer and take the bus frequently in the winter. I feel this is a fairly responsible way to approach the need for a family vehicle but still take care of our environment.

I think it is time for the Big 3 to stand up on their own or sink. I don’t want to see 10's of thousands of people lose their jobs as the companies they have sunk their lives and hopes into for the past x amount of years collapse around them but I don’t want to see the government bail out these companies just to see people lose their jobs anyways as the fat cats get fatter. GM has already received $235 million from the government of Ontario. That is not a typo-we, the people of Ontario have given $235 million dollar to GM. Let me tell you something...GM’s CFO is set to receive a base salary of $1.55 million dollars this year. GM’s CEO salary was boosted from the measly $1.65 million to $2.2 million-the total compensation for the CEO in 2007 was $14.4 million or $39452.05 per day (including weekends). Fritz Henderson, who was promoted to president and chief operating officer in March, received compensation of about $9.3 million in 2007, up from about $5.1 million in 2006.

Henderson's salary was raised to $1.8 million from $1.3 million in March with his appointment as president and COO, the No. 2 position to Wagoner.

Vice Chairman Bob Lutz's compensation rose to about $9 million in 2007, from about $5.1 million in 2006. The product chief's salary was raised to $1.75 million, from $1.3 million.

Alan Mulally, Ford president and chief executive officer, earned $2,000,000 in salary and received incentive bonus awards of $7 million. Total 2007 compensation was $21,670,674, which includes salary, bonuses, the Company-recognized expense for stock options and other stock-based awards, as well as all other compensation.

Don Leclair, Ford executive vice president and chief financial officer, earned $1,005,633 in salary and received incentive bonus awards of $3 million. His 2007 compensation totalled $11,703,127.

Mark Fields, Ford executive vice president and president, The Americas, earned $1,255,634 in salary and received incentive bonus awards of $2,850,000. His 2007 compensation totalled $8,389,898.

Lewis Booth, Ford executive vice president, Ford of Europe and Premier Automotive Group, earned $868,133 in salary and received incentive bonus awards of $2,250,000. His 2007 compensation totalled $10,264,463.

Mike Bannister, Ford executive vice president and CEO, Ford Motor Credit Company earned $708,700 in salary and received incentive bonus awards of $2,150,000. His 2007 compensation totalled $8,677,747.

There is no information readily available on Chrysler, suffice to say that it appears in every sense that they have already gone bankrupt. They have been restructuring and consolidating their finances for the past few years. A desperate last ditch effort to save themselves.

Ladies and Gentleman of the jury-I have nothing positive to say about any one of the aforementioned people. They are all guilty of greed, selfishness, no sense of humanity and a level of corruption that is unforgivable. I have had to fight, scrape and claw to survive while these “crapatilists” take advantage of all those around them. Do you really think they are going to care when the ship goes down? I mean, if I made 10% of any one of the salaries listed here, I would consider myself fortunate and wealthy. These salaries cannot be justified in any sense. How may jobs have been lost over the past few years? How many plants have been closed? How many Joes’ and Jane’s have lost their livelihood’s due to this injustice? The Big 3 could save themselves and thousands of North American jobs by cutting their own fat cat salaries. Let’s say each and everyone of these fine, and obviously very hardworking executives had their salaries cut to a max of $250,000 with no bonus or other financial compensations available to them. What kind of cash do you think that would free up to potentially keep the companies afloat throughout this economic downturn? Hmm, kind of makes you think don’t it? Just doing some preliminary math would fill the most pessimistic person with a small sense of hope, and I think, rightfully so.

All I have to say to the Big 3 is this, until you are willing to save yourself, don’t ask me and every other hard working North American, including the ladies and gentleman who put their blood, sweat and tears into your products, to bail you out!! We know where the hundreds of millions of dollars will go, it won’t be to Jane and Joe on the line, it’ll go to the top and the plants will still close with you crying that this was an unforeseeable event. That you have taken every step that you can to make the company sustainable but with no success. You know, as well as I do, that you are full of crap.

Sink you bastards, sink.