Chrysler threatens pullout from Canada

AndyF

Electoral Member
Jan 5, 2007
384
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I class this with the Obama threat that they won't be buying foreign steel. They like to poke unresponsive Canada since they do nothing in reaction, except to bow obediently.

To both:

Canada has a wealth of natural resources that we could restrict from selling. No
nickel, no steel. Chrysler, if you decide to make your cars elsewhere, same goes for you.

If that doesn't work:

1/cut off all tributaries to south flowing rivers, and divert to Canadian agriculture purposes irrigation etc. Or built more power dams to make use of the new bounty of water.
2/re-route hydro power from the manic watersheds, and give it to Canadians at cut rate instead of giving it now to the US at almost free rates.
3/sell nuclear technology to N Korea.
4/open up arms trade with Russia, lower Northern defense systems NORAD. (better the enemy you always knew than the one who likes to stab you in the back.)
5/ build up a arms industry in Canada. Put people back in the factories and make money so they can buy new japanese and european cars. We made the mistake of dropping the all Canadian made Avro Arrow for the sake of the US who reqtested we do so. Best up to date fighter of it's time, and the US knows it. We were the best at ship building too, we can go back to it.
6/ pull out of the clean air group and start our own manufacturing of cars.

Many more.

Time for Canadians to realize they are a sleeping lion, so 'cmon folks send in
your complaints to your reps. Chrysler, see if you can make cars in the US without
natural resources. (Friends, you know why Chrysler is muscle flexing?, because all along even before the hypocratic Obama visit, the plan was to build more Chryslers in the US at the expense of Canadian jobs. As if it wasn't so obvious).

Andy
 

Stretch

House Member
Feb 16, 2003
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all the car manufacturers will pull out eventually......those that think they wont have head buried in sand.
 

Tyr

Council Member
Nov 27, 2008
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Sitting at my laptop
Time for Canadians to realize they are a sleeping lion, so 'cmon folks send in
your complaints to your reps. Chrysler, see if you can make cars in the US without
natural resources. (Friends, you know why Chrysler is muscle flexing?, because all along even before the hypocratic Obama visit, the plan was to build more Chryslers in the US at the expense of Canadian jobs. As if it wasn't so obvious).

Andy

So let 'em close down. Chrysler's basically is going down for the last time and throwing money at them will not save them in the long term.

What they are doing now is threatening the gov't and that kind of economic coersion just doesn't wash.

Let them close and any money that they had "earmarked" for them will be held in trust for the auto parts suppliers as they are the next group to go begging to the gov't hat-in-hand
 

SirJosephPorter

Time Out
Nov 7, 2008
11,956
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Whether Chrysler closes down or not is a business decision. It should be decided by Chrysler and nobody else. If it is in their interest to stay in Canada, they will, otherwise they won’t.

So I am opposed to the government helping Chrysler in any way. Even if government gives them money, that is no guarantee they will stay in Canada. Let Chrysler take the business decision (without any government money) to stay or go, as they wish.
 

lone wolf

Grossly Underrated
Nov 25, 2006
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In 1979, the government guaranteed loans ... and Chrysler was spared death when they actually came up with cars that people wanted - the K car and the mini van - thanks to Lee Iacocca.

Seems the automakers forgot their lesson....
 

#juan

Hall of Fame Member
Aug 30, 2005
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Where would Chrysler go? Where else would they find the abundance of cheap hydro power that they are now enjoying. That is what I would threaten to cut off.
 

AndyF

Electoral Member
Jan 5, 2007
384
7
18
Ont
They could put the money in trust. When in trust it is still an asset. If say after 5 years they are still here and make a token effort to stay, then say release the funds.

Andy
 

AndyF

Electoral Member
Jan 5, 2007
384
7
18
Ont
Tyr:

Get border services to put a stop on Jeep crossovers, they can keep everything else.

Andy
 

lone wolf

Grossly Underrated
Nov 25, 2006
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Where would Chrysler go? Where else would they find the abundance of cheap hydro power that they are now enjoying. That is what I would threaten to cut off.

Mexico? One of their demands is that workers take a Twenty dollar an hour cut in wages. At five bucks an hour for a Mexican nut-twister (a generous rate there) they can afford hydro and still turn a profit.

Wonder if that cut includes management salaries?
 

Tyr

Council Member
Nov 27, 2008
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Mexico? One of their demands is that workers take a Twenty dollar an hour cut in wages. At five bucks an hour for a Mexican nut-twister (a generous rate there) they can afford hydro and still turn a profit.

Wonder if that cut includes management salaries?

One of their demands is that workers take a Twenty dollar an hour cut in wages

That's a touch disingenious. they want to cut the cost of wages from $75/hr to $55/hr. That includes wages, benefits and retiree peniso pay-outs.

If you think it is "purely" a wage cut, then you would be saaying that $55/hr is too meagre
 

Tyr

Council Member
Nov 27, 2008
2,152
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38
Sitting at my laptop
Mexico? One of their demands is that workers take a Twenty dollar an hour cut in wages. At five bucks an hour for a Mexican nut-twister (a generous rate there) they can afford hydro and still turn a profit.

Wonder if that cut includes management salaries?

since some of the "management" is unionized. I think the same rationale appies.

Senior management (non-union) has agreed to a 10-20% cut in salaries and benefits contingent with the acceptance of the plan by the canadian gov't
 

lone wolf

Grossly Underrated
Nov 25, 2006
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One of their demands is that workers take a Twenty dollar an hour cut in wages

That's a touch disingenious. they want to cut the cost of wages from $75/hr to $55/hr. That includes wages, benefits and retiree peniso pay-outs.

If you think it is "purely" a wage cut, then you would be saaying that $55/hr is too meagre

Tell it to the news reader on MCTV news....

Do Mexicans get a benefits pack, smart guy?
 

SirJosephPorter

Time Out
Nov 7, 2008
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One of their demands is that workers take a Twenty dollar an hour cut in wages

That's a touch disingenious. they want to cut the cost of wages from $75/hr to $55/hr. That includes wages, benefits and retiree peniso pay-outs.

If you think it is "purely" a wage cut, then you would be saaying that $55/hr is too meagre


Now that demand at any rate sounds reasonable. Even if the wages are cut form 75$ to 55$, the wages of the workers will fall from 156,000 $ per year to 114,400 $ per year for a 40 hour week (and that is not counting overtime).

So what are the auto workers complaining about? In these hard times they get 114,400 $ per year and they get to keep their jobs. What more do they want?
 

lone wolf

Grossly Underrated
Nov 25, 2006
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Now that demand at any rate sounds reasonable. Even if the wages are cut form 75$ to 55$, the wages of the workers will fall from 156,000 $ per year to 114,400 $ per year for a 40 hour week (and that is not counting overtime).

So what are the auto workers complaining about? In these hard times they get 114,400 $ per year and they get to keep their jobs. What more do they want?

Really, I don't think it's the auto workers complaining as much as it is their union. It's tough for a union to survive when the pockets aren't quite so numerous and well paid.

Hence the sensational "$20.00/hr wage cut" reported on TV news.
 

Ron in Regina

"Voice of the West" Party
Apr 9, 2008
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Now that demand at any rate sounds reasonable. Even if the wages are cut form 75$ to 55$, the wages of the workers will fall from 156,000 $ per year to 114,400 $ per year for a 40 hour week (and that is not counting overtime).

So what are the auto workers complaining about? In these hard times they get 114,400 $ per year and they get to keep their jobs. What more do they want?


The $75/h is an estimate between wages and the value of the
many other perks like health care, pension, etc...Chrysler is
asking that number to be reduced to $55/h between wages &
the value of pensions, health care, and whatever other perks
and benefits the CAW receives.

I could be wrong, but I think (in Canada...in Ontario) that the
dollar figure for the Toyota & Honda employees is about $44/h
on average between wages & other perks like health care,
pension, etc...so Chrysler is not even asking the CAW to match
what other auto workers are getting, but to come to within 125%
of the competition. Is that really that unreasonable? 8O
 

Ron in Regina

"Voice of the West" Party
Apr 9, 2008
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Chryslers chunk of the Canadian Bail-Out "loan" would be 2.6
Billion US dollars, and they would put up two manufacturing
plants in Canada as collateral. (2.6USD = about 3.3 CAD...)

Chrysler has a plant (I can't remember if it's in Louisiana or
Alabama) that is currently closed down. If they Bug-Out of
Canada, they won't be needing the two plants in Canada
anyway....and could just set up shop in the south in the plant
they already own, that's currently closed, and still have the
option of Mexico too. The 2.6 Billion would be (I'd assume)
kept by Chrysler as it forfeits the two Canadian plants it would
not want or need anyway. Good deal for them in a depressed
real estate market....

As far as Canada suing a U.S. company, that is receiving big
Bail-Out $$$ from the U.S. Government in these weird times,
I wouldn't hold my breath. We'll roll over like we did with the
softwood lumber issue to maintain good relations with our
largest trading partner.

The Canadian Government would then have a fire sale, selling
those two abandoned plants (for pennies on the dollar) to some
Japanese (for example) company to make their automobiles in.
The Canadian tax payer would get to eat the difference between
the $$$ given out in the Bail-Out "loan"and the fire sale on the
two abandoned plants. In the end, the Canadian Manufacturing
sector would be healthier and much more stable, though smaller.

FYI....This is my opinion and prediction, so I can't post a link.
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