Showing posts with label proxy wars. Show all posts

Automakers competiveness

We have previously posted about American automakers being a proxy for organized labor. Now we find the bashing of American automakers also falling into the "facts matter" realm. Part of General Motor's turnaround is based on a real reduction of labor costs for hourly workers, according to the Center for Automotive research. In fact, in 2008, the average wage for hourly workers at GM was almost a thousand dollars a year lower than Toyota's average wage. Salaried workers at GM, however, averaged over $40,000 a year more than salaried workers at foreign automakers. This information strongly suggests it is not labor costs subject to collective bargaining which cause GM to be at a competitive disadvantage.

Toyota no hearts California

We have previously posted here and here about the silly attempt to make car manufacturers proxies in the Union/Anti union wars and in the red blue game. Bob Herbert's NYT opinion piece provides fuel and a black hat portrait of Toyota and its decision to close NUMMI and the impact of job losses in California.

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