In agreeing to provide federal assistance to General Motors and Chrysler, the White House demanded the firms cut worker compensation to the levels paid at the U.S. divisions of Toyota, Nissan and Honda. But Ron Gettelfinger, president of the United Auto Workers, said earlier this week that he would seek to remove the wage-reduction provision of the loan, calling it “an undue tax on the workers” who have already made “major” sacrifices for the benefit of the auto industry.
Gettelfinger said that what is being asked of the autoworkers is “unrealistic.” He has said he wants to work with President-elect Barack Obama to remove the wage provision.
The UAW has thrown the gauntlet. NOW WHAT?