UCW criticizes GM/UAW deal on heath care

[Newbiewar]

Union Corruption Watchdog Criticizes GM/UAW Deal on Health Care; Says Congress Should Hold Hearings on 'Lousy Deal' for Retirees

FALLS CHURCH, Va., Sept. 27 /PRNewswire-USNewswire/ -- The National

Legal and Policy Center (NLPC) today objected to the tentative contract

agreement between General Motors (GM) and the United Auto Workers (UAW) to

transfer more than $50 billion health care in liabilities to a fund

controlled by the union.

Dr. Carl Horowitz, director of the Organized Labor Accountability

Project and editor of Union Corruption Update, reacted by saying, "This is

a great deal for GM. They get to shed billions in obligations made to

former workers. It is a great deal for the UAW. Gettelfinger and his

cronies get to control billions in health care dollars. It is a lousy deal

for retirees and future retirees who may lose some or all of their

benefits."

Horowitz continued, "Union-controlled health and benefit plans lack

transparency. That is why they so often get looted by corrupt union

officials. The UAW is not clean. As we have documented, many unions have

been plagued by a number of benefit scandals in recent years."

"Union-controlled health and benefit plans often shortchange union

members and retirees. Instead of getting the best deal for participants,

these plans are often characterized by cozy, inside deals beneficial to the

union bosses, and on occasion, organized crime. With the staggering size of

this proposed health fund, the UAW bosses must be salivating."

Horowitz concluded, "Congress should hold hearings on what this deal

means to the tens of thousands of GM retirees and future retirees. Neither

GM nor the UAW can be counted on to act in the best interests of workers.

Putting the union in charge of this health fund creates a potentially huge

conflict of interest for UAW leaders."

[Camino LS6]

Socialist idiot.

[FUTURE_OF_GM]

God, these people are dumb...

Look; you can either take the deal or be unemployed. You're damn lucky to still be in the GREAT situation you're in on retirement and healthcare in an age where the rest of the country either does without or works for another country altogether.

GM could've just filed chapter 11 and dumped all of the pensions in the first place.

P.S. How is what the union does with the money ANY of GM's problem?

Edited September 27, 2007 by FUTURE_OF_GM

[thegriffon]

What they are saying is—the UAW leadership can't be trusted not to take the money and disappear to a Caribbean tax haven.

[Camino LS6]

What they are saying is—the UAW leadership can't be trusted not to take the money and disappear to a Caribbean tax haven.

... and that hearings should be held. I say BS to that!

[Newbiewar]

doesnt GM generally pay somewhere in the neighborhood of 5-8 billion a year on healthcare?

so thinking about that you'd think if not managed properly the 35 billion could be blown through in 6 years?

just like the UAW deal with the catapiller employees?

[CARBIZ]

I'm no actuarial analyst, but wouldn't it be newer hires that have the potential to get screwed here? I mean, it's not like someone who retired 15 years ago is suddenly going to see his/her pension disappear tomorrow. If the union was corrupt and if they mismanaged it, I would think it would take at least 10 or 15 years to burn through that kind of money. No?

It will be the younger guys/gals who retire, say, in 10 years FROM now who stand to lose the most, I would guess. But then that is reality, is it not? I've seen studies on other pension plans, including government ones that prove that basically anybody in their 40s or younger had better plan to work until they are 80 because if they rely on government pensions they will get something like 60 cents for every dollar they put in it.

But what is really being said here? Is the UAW corrupt? If that is the case, VOTE THEM OUT. Geesh. Stop whining about what the big shots are doing and run for election in your local yourselves!

Or has reason totally abandoned union halls these days? Just wondering, is all.