4 ms·
It's death by 1000 cuts. The unions aren't the problem, but they definitely contribute, along side inflexible plants that can't be reassigned, never laying off
by iigs 18y ago
It's death by 1000 cuts. The unions aren't the problem, but they definitely contribute, along side inflexible plants that can't be reassigned, never laying off white collar workers (until last month? wtf), not building cars people want, complete marque mismanagement (Pontiac and Chevy cars were virtually indistinguishable for 30 years), equating small cars with low quality (geo metro of the 90s, chevette of the 80s), abusive partnerships with other manufacturers (Daewoo), divesting themselves of key component manufacturing resources (Delphi) creating incentives for the independent company to attempt to squeeze for profit, a lack of commitment to quality, failure to tend successful brands (Ford's especially bad about this), fighting ecological and safety regulation instead of embracing it as a feature, coasting on their performance brands instead of cultivating new markets, and lukewarm attempts at innovation when they actually did something new.
Fixing any one of those problems leaves all the rest. GM is facing downward pressure on production costs (among everything else) and the unions stand in the way. You can't blame the unions for trying, but as a disinterested bystander you have to wonder why GM wasn't firmer in their bargaining -- everybody's losing now.