The auto bailout failure is now complete
Even if taxpayers recouped all of their money from the bailout, there are a slew of economic arguments against rescuing failing industries. But the more immediate problem is that we will never get our money back, anyway.
GM’s labor costs, estimated at $56 an hour, still are higher than any of its competitors. Since the Obama administration cajoled the normal bankruptcy hearings and eradicated the pensions of nonunion workers to ensure union success, employees, like the ones at Delphi, the auto parts manufacturer and one-time GM subsidiary, took it on the chin while $26 billion of taxpayer funds were used to keep United Auto Workers in a secure position.
The Treasury Department has just revised its estimate upward to $25 billion in losses, and it will probably be more than that when it’s all said and done. Taxpayers also suffered a $2.9 billion loss in Chrysler (the carmaker had received $12.5 billion through TARP programs) in 2011.
Blowback
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What failure?
Union jobs were saved, and Pres Obama was reelected.
That were the only reasons for the bailout.
LincolntheHun on December 20, 2012 at 5:04 PM
Obamaland of the most stupid people on Earth
Schadenfreude on December 20, 2012 at 5:05 PM
And if the Delphi workers win their lawsuit, one wonders what GM will ask for from Obama to get out of the obligation – another bailout?
Wethal on December 20, 2012 at 5:05 PM
It’s infuriating that Romney and the rest of the GOP could never refute Obama’s BS claim that he “saved the auto industry”. Even if the bailout had been an undeniable success, that was still a ridiculous statement. Yet they allowed him to get away with that lie and it may have even cost Mittens a key state like O-I-H-O.
Doughboy on December 20, 2012 at 5:07 PM
The fact that Obama and his Cultists can run around the country saying he “saved” the “auto industry” for months on end without -any- serious and on-going questioning from the Legacy Media is pathetic and disgusting.
Obama should be shamed repeatedly, yet he is “man of the year.”
visions on December 20, 2012 at 5:11 PM
In other words, I and every other taxpayer paid for Barack Obama’s reelection.
Swell.
rockmom on December 20, 2012 at 5:13 PM
Seven Percent Solution on December 20, 2012 at 5:13 PM
It was overly nice and humble Romney versus win at any cost Obama and his machine. The GOP keeps pretending politics are a gentleman’s game, while the Democrats come with brass knuckles and combat gear.
We don’t have to get to their level. We just can’t be nice and humble any more. We have to call them out, there’s plenty of true stuff to use. Instead of that late ad about Chrysler building jeeps in China, from the nomination on there should have been ads quoting all of the experts who give GM five years max before they are right were they were before the bailout.
There should have also been ad after ad, in EVERY state, of Obama saying horrible stuff, like that he’d bankrupt the coal industry, that he’d have more flexibility after the election. Romney went after him harder than McCain, but McCain used a feather pillow and Romney used a nerf bat, figuratively. Should have slammed him much, much harder and bragged on his charity, his own climb from self-imposed zero, and his success.
Romney: “Obama’s a nice person and I don’t talk about all the good things I’ve done.” Not a way to swing voters.
PastorJon on December 20, 2012 at 5:26 PM
GM will be bankrupt again within a couple years.
forest on December 20, 2012 at 5:28 PM
So was Stalin – twice.
Steve Eggleston on December 20, 2012 at 5:30 PM
Anyone in the private sector behaving in this manner would be in prison.
hillbillyjim on December 20, 2012 at 5:43 PM
Is this per employee?
BigGator5 on December 20, 2012 at 5:51 PM
Yep, though it seems more like per half-employee.
Steve Eggleston on December 20, 2012 at 5:58 PM
That Volt ain’t gonna build itself.
2lbsTest on December 20, 2012 at 6:30 PM
Maybe that’s not 40 hours per week, but every hour of every day!
IrishEyes on December 20, 2012 at 7:13 PM