Japans Cash for clunkers

[piece-itpete]

I wonder why the big 3 are the medium 2.

[Boreas]

Originally Posted by piece-itpete

I wonder why the big 3 are the medium 2.

That $70.00 per hour myth has been completely debunked.

http://www.uaw.org/auto/11_25_08auto2.cfm

http://www.cbsnews.com/stories/2008/...n4630103.shtml

John

[piece-itpete]

That is the COST OF LABOR, very simple - Cost of workers divided by number of workers.

No debunking, just lack of business understanding. It's the reality that the folks who run those companies have to deal with.

Pete

[merrylander]

Originally Posted by piece-itpete

That is the COST OF LABOR, very simple - Cost of workers divided by number of workers.

No debunking, just lack of business understanding. It's the reality that the folks who run those companies have to deal with.

Pete

Perhaps you can tell us why the 'cost' for the big three is always compared to the 'hourly rate' for the Japanese? Can you say apples and oranges?

[Boreas]

Originally Posted by piece-itpete

That is the COST OF LABOR, very simple - Cost of workers divided by number of workers.

No debunking, just lack of business understanding. It's the reality that the folks who run those companies have to deal with.

Pete

Did you read any of the links? The figure comes from compensation and benefits paid to all current wage earners plus pension and medical benefits paid to all retirees and their heirs. Then they divide the total by the number of current wage earners, leaving out the retirees.

There's only a couple of bucks difference between the wages and benefits of Big Three workers and those at the non-union foreign manufacturers. The big difference in the numbers comes from the fact that the foreign companies haven't been operating here very long so they don't have nearly as many retirees on their books.

John

[BlueStreak]

You're absolutely right, Pete. We Americans at the bottom need to make more sacrifices so the handfull at the top can finally find happiness. As if such a thing is even possible.

The only thing I see in your chart is that the others are undercompensated.

One little project for ya. Compare the compensation of top execs at GM, Ford, and Chrysler compared to those at the foreign companies. But, I'm sure THAT'S completely justified.

Dave

[piece-itpete]

I understand, but it's a bit like foreign policy - we can't just do what we want or expect everyone else to do what we think.

If we raise everyone from $26 to $75 an hour we might as well shoot ourselves. I think we should place more emphasis on the trades, teach kids how to make/fix stuff again, maybe our brains will stop leaking out our ears

Pete

[BlueStreak]

As I said; "I for one, would like to draw that line now....."

Dave

[BlueStreak]

Speaking of the "Wheels of Capitalism", it's that crazy time again. I must trudge off to the coffee plant for another bizarre episode of "Whose fault is it?"

Dave

[merrylander]

I once had an interesting chat with a trade representative from Japan over a couple of beers in the San Francisco airport while waiting for my flight to Vancouver. He was quite frank in admitting to all the tricks and gimmicks they used. Instead of blaming workers finally getting a couple of rungs up the ladder you might blame the business leaders and government who turned a blind eye to what was going on.