As GM chief coasts, workers forced to accept cuts, strike prohibition
A little-noticed provision buried in the Bush Administration's $13.4 billion loan package to General Motors will prohibit the United Auto Workers from launching a strike as long as the company receives funds from the federal government.
Not only that, but a strike would give the federal government the power to call in their loan -- putting the loan in default and forcing GM into bankruptcy. The government now has the power to force a bankruptcy if “any labor union or collective bargaining unit shall engage in a strike or other work stoppage.”
The terms of GM's loan package were reported last night in the Detroit Free Press. They did not become public until GM filed documents with the Securities and Exchange Commission.
Read on.
1 comment:
Republicans found a way of breaking the backs of the Auto Union. Now Obama will have to step in to fix this one two.
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