Friday, December 12, 2008

Sensible federal action

This makes sense -- giving money to the Big Three when the US isn't is just a bad idea -- it is just throwing away money:

TORONTO — Federal Industry Minister Tony Clement said Ottawa is looking at providing aid to auto parts makers and car dealers, even if the U.S. government refuses to bail out the Detroit Three auto makers.

But Mr. Clement signalled it was unlikely the federal government would bail out the major auto makers in the absence of the U.S. deal, even as Canadian Auto Workers president Ken Lewenza urged Ottawa to do exactly that.

http://business.theglobeandmail.com/servlet/story/RTGAM.20081212.wGMJanuary1212/BNStory/Business/home

4 comments:

WesternGrit said...

I don't believe in bailing out the companies, but I do believe in doing something for Canadian workers directly. Not just restricted to the auto/parts sector either...

James C Morton said...

That makes sense -- what we don't need is bailouts that acheive nothing!

Anonymous said...

WesternGrit - you believe in doing something for the workers? The same workers who have cushy high paying union jobs, amazing benefits, unbelievable vacation and sick day entitlement, despit the fact that most of them don't even have a complete high school education? I have a very hard time feelin sorry for people who make 80k for doing a job a monkey or robot could do. Sorry - I cannot agree with that.

WesternGrit said...

Kathleen. Appreciate your rancor. I am a highly educated post-grad, with experience managing and owning a lot of businesses. I have ALSO spent time as a union shop steward. It was in a technical field, so not as relevant as manufacturing. Still, I think you are way off target with your comments.

The hard-working staff at Canadian plants make product of higher quality than comparable plants in the US - where labor prices are lower. It is only because of unions working with management that these workers have managed to earn a living wage - where they can afford to put their kids to school, raise them, buy a home, etc. True, other professions could use more of a living wage. I know of few office workers who can afford their own home - or even Condo in Toronto or Vancouver, because they do not earn a sustainable wage. Too bad these people are part of the "masses" who care not how they vote, and pretty much don't bother with "stupid, irrelevant" things like unions.

You probably complain about teachers, and their unions too, eh? Not fair that they get paid so well, right? Even though most Canadians rely on teachers like a "second parent". You probably think nurses are overpaid too? You are probably running the counter-protest pickets when nurses go on strike?

Those 10s of thousands of workers in Ontario, Quebec, and across Canada are the ones who spend money in YOUR economy, and prop up YOUR job. Cities like Windsor, Oshawa, Sarnia, Oakville, and Brampton live off those jobs. We also have spin-off in Vancouver and Halifax, where longshoremen and dock-workers will lose jobs due to less auto parts exports. Rail workers across Canada - including places Like Winnipeg - will lose jobs too, as a vast amount of materiel from auto parts plants heads straight south to the USA.

I don't believe in propping up the mega-corps - who have F'd the Canadian taxpayers in the past - taking money THEN moving plants. I do, however, believe in the workers. I'm not saying give the companies money in THAT sort of bail-out. If you read my comment, and my own blog post on the matter, we need to find new training, new education opportunities, and new jobs for these workers.

The American Auto industry is dying, and unless the companies start making alternative fuel vehicles quickly, there won't be much left. We will see plants more to Mexico, or further south. There is no future in investing in it. Why prop up these basically FOREIGN companies?

I do say, support the workers - fully. Get them trained in areas where we will need workers in the "new green sector". Canada can lead in the "Intelligent Economy" - we just need leadership in the area. Companies like Ballard, Bombardier (which is VERY green because they make mass transit), and even new upstarts like "Zen" need our support. This keeps jobs in Canada, develops local companies and infrastructure, AND gets us a foothold in the new "green economy" worldwide.

One more point: If you think their job is so easy, why don't you spend a month on a rotating plant shift - with a crew? It's embarrassing for people with half a brain - when seemingly intelligent people make such hurtful comments. It's the politics of division, isn't it?

Disparage hard working Canadians at your peril. If you own a business, you will see what happens when they stop buying from you - or our clients. My own business relies on a lot of hard-working Canadians (to use the commonly used phrase), working in an industrial area adjacent to us. I can strongly relate to the hardship many are feeling with the start of the economic crunch. Let's hope we all make it through in one piece.