Saturday, November 22, 2008

Card Check Will Ruin America's Industrial Base

The Employee Free Choice Act is a Union Scheme to force more unions on America. Union membership has been in decline Since the 1970's and the Democrats are losing a large portion of the base. The Card Check bill will not have each auto manufacturing facility competing on the same field, it will eliminate facilities from the playing field that will in turn eliminate jobs. This card check bill is bad for America and would ruin our industrial base.

The UAW has destroyed Detroit's ability to compete. UAW workers receive on average $73 per hour in pay and compensation while foreign manufacturers such as Honda and Hyundai compensate their workers on average $43 per hour. Proponents of the card check bill say it will allow unionization of Honda and Hyundai plants in the South. However, when direct labor rates increase the foreign manufacturers will move their facilities out of the country. The card check bill will further erode our ability to compete in a global market.

The card check bill will be another nail in the coffin of the Industrial revolution in America. Unions are as much a part of the auto industry demise as is auto company management. Yet the UAW backed by the likes of Barney Frank in the Democrat led Congress are unwilling to renegotiate their contracts. Instead they want to force their Unions on everyone which will further erode our ability to compete.

The auto makers traveled to Washington last week to beg for a bailout. They showed up with no plan to reform and remain solvent and competitive in the future. The UAW President stated that his union was not responsible for the industry debacle. We have bailed out this industry in the past. How many times are the tax payers going to bail out an industry that refuses to clean up its act? The internal stakeholders steadfastly refuse to reform yet beg at the government trough. The American outrage at the audacity of the CEO's of the big three prevented Congress from handing over $25 billion in additional funding to bailout a failed industry.

We must not allow our sympathies to bailout the auto industry. We must stand for what is right and force these companies to compete or die on the vine. The threat of 2.1 million jobs lost is exactly that; A threat. These companies and the union allow workers to receive and benefits for producing nothing. Never did the unions or industry invest in future technology or education programs to either expand their base or make their workers competitive in other markets.

This Card Check bill will not level the playing field. It will increase unemployment and destroy what is left of the industrial base. Unions are outdated. The Unions are still living in the 1930's. They refused to reform and keep up with the changing times. Now the Unions and the Democrats rant that American jobs are being farmed out overseas. The Unions and Democrats rant that free trade is bad because other countries are not as favorable to unions. This is probably true. However, our unions have taken us out of the competition. Bailing out the auto industry and enacting card check may extend the life of these companies and unions but instead of having a quick relatively painless death it will be a long drawn out painful death. Neither of these proposals resolve any of the underlying issues. All they do cater to a democratic constituency. Let card Check fail and refuse to bailout the auto industry. Only by allowing these companies to fail will allow them to realize their errors and reform in a manner that will bring them the competitiveness they require to be an effective business.

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