Boycott Alabama Now!

Readers, here’s a link to a new web site by a retired auto worker.  He put up this site in response to Senator Richard Shelby, senator from Alabama and ranking Republican on the Senate Banking Committee, who with the support of a few other southern senators, killed the assistance plan for the auto industry.  Unless President Bush intervenes by freeing up TARP funds to help the automakers, Senator Shelby may very well have played the role of “Doctor Kevorkian” in assisting the suicide of the American economy. 

Once you get to the site, click on the “take action” tab.  There you will find instructions for contacting Senator Shelby and the Alabama Chamber of Commerce.  I’ve already done so, informing them of my disappointment with Senator Shelby and my support for the boycott. 

It’s time to start exercising our economic clout to punish those who champion the destruction of American jobs and wages.  Please join me in supporting this cause and forward links to your friends and relatives.  Encourage them to support it as well. 



7 Responses to Boycott Alabama Now!

  1. charles hawkins says:

    I for one support Senator Shelby and applaud him for sticking up for taxpayers against the thuggery of the UAW.

    • Pete Murphy says:

      Charles, do you have any idea of the impact on taxpayers if the automakers fold and the government has to pick up their pension obligations? Shelby didn’t have the best interests of taxpayers in mind. He was doing the bidding of the foreign automakers.

  2. matt gray says:

    The U.S. Government bailed out Mexico in the 90’s, but will not give loans to U.S. auto makers. Maybe we should move to Mexico we will get better treatment.

  3. Clyde Bollinger says:

    It may be an excessively pessimistic view, but I can not imagine the big 3 or even 2 (Chrysler is doomed, I’m afraid) ever selling enough cars at a high enough profit to be capable of carrying the legacy load. It will become a taxpayer burden no matter what happens with the ‘bail out’.
    Ironically, the high quality of their product lies at the heart of the volume reduction problem. The cars just last too long. The transplants are not going away, and neither are the true imports.
    If I’m correct, a bankruptcy and reorganization would be the most efficient and straightforward means of recovery. Off load the overhead on the taxpayer (this may be a better deal for taxpayers), re-structure the UAW contract without the legasy costs and get on with business. Workers and wages are not the problem.

    • Pete Murphy says:

      Clyde, you’re right that they can’t sell enough in the current environment of unfair trade deals and a credit crisis-induced collapse in demand. But it’s the climate in which they’re currently operating that needs to be fixed. The loss of any more of our manufacturing base will only doom our economy to higher unemployment and declining incomes. We need to fix our trade policy. In the meantime, we need to keep these companies alive. If the Big 3 were able to sell enough cars to make a profit when our population was half of what it is today, they can certainly do it now if given the chance.

  4. Clyde Bollinger says:

    One of the enormous problems for the Big 3 going forward is the fact that by going to D.C. with hat-in-hand, they opened themselves up for congressional oversight. This translates into a requirement for small cars with high fuel mileage. No one makes money on these cars. If they had electric cars ready for market it would help, but they don’t. The environmentalists will keep the pressure on for high C.A.F.E. numbers and
    it is highly unlikely that we will see enough restrictions on foreign makers to bolster sufficient volume growth for the Big 3 to return to the glory days and there is no possible way they can carry the overhead now in place without a large volume increase and that increase must be made up of cars that are profitable.
    Without large profits, they become just a bottomless pit for taxpayer money, because once started, the process will be difficult to stop.
    It does not help their case with the public that today, at least in our paper, they announced that they were starting to take cost cutting measures. This is seen as extremely late action.
    I believe there is a better chance for the jobs surviving a structured bankruptcy than in a bail-out. A bail-out keeps the debt, the legacy costs and the ‘what ever is good for GM is good for America” mentality in place. This is too steep a hill for them to climb.
    As I’ve said before, the legacy cost is a better deal for the taxpayer because it will be spread over many years vs. the next 2 or 3, even if it is a greater total amount.
    Keeping the manufacuring jobs is paramount.

    • Pete Murphy says:

      Clyde, you said “… it is highly unlikely that we will see enough restrictions on foreign makers to bolster sufficient volume growth for the Big 3 to return to the glory days …” You’re exactly right that this is the crux of the problem. Without restricting imports (or without demanding that exporting countries import as many cars from us as we buy from them), out domestic auto industry will be doomed. The time for dramatic action to restore a balance of trade is now!

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: