Pelosi: No Auto Aid Without Accountability

Says Big Three Must Come Up With Austerity Plan Before Congress Will OK Any Bailout Package

(CBS)  House Speaker Nancy Pelosi said that accountability and austerity are required of the auto industry if they are to receive any public funds to help them in their time of crisis.

"The U.S. tax payer is not willing, nor are the representatives in Congress going to vote for an infusion of cash in the companies, so that these CEOs can be amply rewarded for their lack of success," said Pelosi, D-Calif., on CBS' Face The Nation.

"Senator Reid and I sent a letter at the end of this week to the CEOs, to say these are the kinds of things we'd like to see in a plan; austerity, in terms of dividends and bonuses and compensation and the rest, for sure, on the one hand; and then, also, what are you doing to innovate? What are you doing to earn this money?

"For lack of success, you get amply rewarded? Something is wrong with this picture. But what we are saying to Detroit should be very good news to them, and that is, we want to be their partners to go forward. We have to subject everything to scrutiny."

Pelosi also spoke with host Bob Schieffer about the lack of confidence in the financial markets, which has led to a lack of confidence on Capitol Hill towards the Bush administration's handling of the $700 billion bailout package.

“We thought that this money was going to circulate credit, put credit out there so many more people could function in a business sense," Pelosi said. "And that doesn't seem to be happening. They tell us it will.

"We were very concerned about the fact that the legislation called very specifically for them to help with mortgage forbearance, to help people stay in their homes. They've done nothing on that score. They testified to that effect the next day in front of all of Congress, and I think they got the word that we want to see some results from this legislation.

"I think that Congress is going to demand some real accountability, I know they will, before we can proceed with other money," she said.

Also on the program, Austan Goolsbee, senior financial advisor for Barack Obama, said that the President-elect was going to come into office "with a bang" to get a handle on the economic crisis.

He cited Obama's picks for his key economic team, and his announcement yesterday of a plan to create 2.5 million jobs over the next two years, in infrastructure rebuilding, alternative energy and other investment areas.

But what about before January 20, 2009? "Some economists say we're in a pretty dangerous time here right now," said Schieffer.

"I think it is a dangerous time, it's hard to deny that," said Goolsbee (left). "I mean, we're looking in the face of a serious crisis. We're coming out of a legacy of this administration that I would characterize as waiting for crises to happen, not taking action to prevent them from happening. And now you're in this awkward constitutional phase, where we obviously have one president at a time.

"Maybe he and the president, George Bush, ought to come up with some sort of a joint thing that they might do between now and then, how does that strike you?" Schieffer asked.

"Well, it strikes me that we have repeatedly called on the administration to do things like a stimulus, but the president did not appear to be interested in doing that. So I don't know; in theory it could work, but Obama has a vision that he's going to carry out. And if the current administration wants to do that, we should do it, because the economy is really hurting."

But when it comes to Detroit's dire straits, Goolsbee said that, while "the thought of trying to liquidate the entire U.S. auto industry in the middle of this deep recession is quite harrowing, really, it's like the reverse of stimulus," he said a simple handout of $25 billion would not be appropriate.

"The government is not going to get in the business of giving companies an allowance," he told Schieffer. "That's totally improper and not what we need. If the government is going to serve as bridge financing, the way an ordinarily functioning credit market would, [companies] need to have a business plan.

"It seemed like it was the first they heard of it, 'What is your plan to restructure your companies?' They said, you know, 'We'll have to get back to you' - that was crazy.

"If they need a bridge, it's got to be a bridge to somewhere, not a bridge to nowhere."

---

Read the full "Face the Nation" transcript here.

By CBSNews.com producer David Morgan.

[gaymale1]

This is the SECOND TIME for DODGE to ask the Gov. to bail them out ( while lying to the consumers , & building JUNK ). G.M. has been building inferior vehicles for years , with warrantees that have so many loop holes , there not worth the paper they are printed on . BOTH ARE OVER-DUE FOR FAILURE ; NO TAX PAYER MONEY FOR THEM .

[craigh9]

you use a airline ticket one time and throw it away it is not comparable to buying a car DUH


--------------------------------------------------------------------------------

Posted by prounion at 03:18 PM : Nov 24, 2008

It''s the same concept - if they believed that comapny would exist 6,8,10 months later when they were using the ticket - if they didn''t have faith they would buy from an airline not in bakruptcy. Please explain the confidence level of being in bankruptcy or getting a government bailout - NIETHER assures survival of the company - you have the same trust/lack of trust factor - DUH!

[assemblyofso]

If the unions and management are not willing to develop a plan that will give the public a quality product at a reasonable price, let the market take them down. Someone will come along to fill the need.

I am responsible for buying and maintaining a fleet of autos. I tried buying American and would probably have lost my job if I had not returned to Japanese autos.

[chloemontague]

If you want to laugh, watch this ..
www.youtube.com/watch?v=1cbUlW5MMHE

[chloemontague]

Your future is here - Charlotte Iserbyt Speaking At The Zombie Country Conference , watch her very insightful talk - www.youtube.com/watch?v=PYNSXJbdchc

[chloemontague]

Kenyan Ambassador ADMITS Obama born in KENYA !!

MIM recently called the Kenyan Embassy and learned some pretty interesting things about our President elect, Barack Obama

From ''Mike In The Morning'' radio show, it goes for just 19mins... quite entertaining. Obama is so reveled that Kenya had a Public Holiday!

Listen to this !!
http://tinyurl.com/69zlcp

[prounion]

There is no evidence to support that. Look at the airlines, when some were in bankruptcy still bought tickets in advance, they didn''''t think they would automatically collapse Posted by craigh9 at 01:13 PM : Nov 24, 2008

you use a airline ticket one time and throw it away it is not comparable to buying a car DUH

[netbs9]

On the news today

Toyota, Nissian had to lease 15 acres at a US port to store thousands of vehicles sales are plummeting for Japan Automakers here in the US now

It''s not just the US automakers sales that are down now

Buy American save America

Consumer Buying Guide - UAW Made Products

for complete list go to
http://www.uaw.org/uawmade/product2.cfm?catid=2

Appliances
Water Heaters
Company: Bradford White

Made by Local: 1002 Region: 1D

White-Westinghouse, Tappen, Gibson, Kelvinator and Fridgedaire brand washing machines, dryers and laundry centers
Company: Electrolux

Made by Local: 442 Region: 4

Home Repair & Building Products
Architectural flat glass residential & commercial
Company: Tulsa Glass

Made by Local: 1895 Region: 5

Fiberglass Insulation Products
Company: Certainteed Corp

Made by Local: 365 Region: 9A

Garage Doors & Steel Entry Doors
Company: Taylor Door

Made by Local: 1637 Region: 1D

Home Insulation; roll type
Company: John Mansville

Made by Local: 211 Region: 2B

Insulation, pipe insulation & fiberglass roofing material
Company: Johns Manville

Made by Local: 4444 Region: 2B

Pocket door frames and doors; hardware and track for pocket doors; complete assemblies; hardware for doors (up to 300 lbs.)
Company: L.E. Johnson

Made by Local: 428 Region: 3

Residential Storm Doors
Company: EMCO

Made by Local: 1672 Region: 4

[netbs9]

The UAW has a proud history of honoring our veterans. The International Unions Veteran Affairs Department is currently involved in building a home in Eaton Rapids, Michigan to be used by the Veterans of Foreign Wars National Home for Children. The duplex building will house two veteran families at a time as they rebuild and recuperate from difficult life situations. The funds for the home were raised by UAW locals across the country, while laid off members in the Lansing area have done the construction. The home is slated to open in the spring of 2006. With 25 single parent families on our waiting list, the UAW is meeting an important need for the children and families we serve nation wide, states Patrice Green, National Home Executive Director. Our organizations share the important mission of caring for veterans and their families. The VFW National Home for Children is ecstatic about the generosity of the UAW community.



Posted by itdfactsu at 12:36 PM : Nov 24, 2008

Makes a person wonder why the GOP is so anti union

[netbs9]

Where the hell is Citigroup''''s viability plan? Who''''s accountable at AIG? Our illustrious government''''s handing Citigroup ANOTHER blank check to the tune of $20 billion at lightning speed (on top of their first blank check of $25 billion, not to mention over $300 billion in loan guarantees), but the auto industry is left high and dry so far. We''''re willing to hand over the auto industry, some say the back bone of our manufacturing sector, to Asian companies without a backward glance. Don''''t be fooled: those "jobs" foreign companies are bringing to our country are lower paying, with fewer, if any, benefits. Some say that''''s what it takes to be competitive. Maybe so. But remember all you Ebenezer Scrooges out there, the cost of living in the north of the country is higher than in the south, where many of the foreign companies are setting up in high concentration. Plus the high-expertise, advanced engineering jobs and gleaned technological advances, not to mention PROFITS, are funneled to their home countries, not shared here.




Posted by AandEsMom at 12:44 PM : Nov 24, 2008

And the behind all this are Republicans like Bush/Paulson/Cheney

[craigh9]

PART 2

They also implemented a new performance system that would give the 1 person rowing the boat greater incentive to work harder. It was called the ''''Rowing Team Quality First Program,'''' with meetings, dinners, and free pens for the rower. There was discussion of getting new paddles, canoes, and other equipment, extra vacation days for practices and bonuses.

The next year the Japanese won by two miles.

Humiliated, the American management laid off the rower for poor performance, halted development of a new canoe, sold the paddles, and canceled all capital investments for new equipment. The money saved was distributed to the Senior Executives as bonuses and the next year''''s racing team was out-sourced to India .

The End.

Here''''s something else to think about:

Ford has spent the last thirty years moving all its factories out of the US , claiming they can''''t make money paying American wages.

TOYOTA has spent the last thirty years building more than a dozen plants inside the US. The last quarter''''s results:

TOYOTA makes 4 billion in profits while Ford racked up 9 billion in losses.

Ford folks are still scratching their heads.

------------

IF THIS WEREN''''T TRUE, IT MIGHT BE FUNNY !

[craigh9]

A MODERN PARABLE . . PART 1

A Japanese company (Toyota) and an American company (Ford) decided to have a rowing race on the Missouri River . Both teams practiced long and hard to reach their peak performance before the race.

On the big day, the Japanese won by a mile.

The Americans, very discouraged and depressed, decided to investigate the reason for the crushing defeat. A management team made up of senior management was formed to investigate and recommend appropriate action.

Their conclusion was the Japanese had 8 people rowing and 1 person steering, while the American team had 8 people steering and 1 person rowing.

Feeling a deeper study was in order, American management hired a consulting company and paid them a large amount of money for a second opinion.

They advised, of course, that too many people were steering the boat, while not enough people were rowing.

Not sure of how to utilize that information, but wanting to prevent another loss to the Japanese, the rowing team''''s management structure was totally reorganized to 4 steering supervisors, 3 area steering superintendents, and 1 assistant superintendent steering manager.

[craigh9]

I''''m very unhappy about having to foot the bill, and probably be agreeing to sign up my children to foot the bill, for any bail outs; however, I''''ve accepted it as a necessary, temporary evil to keep our country afloat. What I won''''t stand for, though, is the unevenness with which the government is treating the manufacturing sector and the financial sector. Everyone who is asking for money does need to show a plan for survival and long-term viability, or no one should have to do so. (Personally, I think all companies should be required to.) What''''s good for the auto industry, though, should be good for the financial sector....
Posted by AandEsMom at 12:44 PM : Nov 24, 2008

The problem is that everybody is buying into 1 theory - that no one would buy a car from a company in bamkruptcy, There is no evidence to support that. Look at the airlines, when some were in bankruptcy still bought tickets in advance, they didn''t think they would automatically collapse. The auto inductry is in full doom and gloom mode because they don''t want to make the hard decisions and are trying to take the easy road - get money to continue as usual.
Chapter 11 is designed for just this type of situation - USE IT and leave the taxpayers out of it.

[txgrouch2007]

We all know that this is a politically divided country.
Posted by TheMasses10 at 12:53 PM : Nov 24, 2008

Who said "Bush is Hitler?"

[aandesmom]

I''m very unhappy about having to foot the bill, and probably be agreeing to sign up my children to foot the bill, for any bail outs; however, I''ve accepted it as a necessary, temporary evil to keep our country afloat. What I won''t stand for, though, is the unevenness with which the government is treating the manufacturing sector and the financial sector. Everyone who is asking for money does need to show a plan for survival and long-term viability, or no one should have to do so. (Personally, I think all companies should be required to.) What''s good for the auto industry, though, should be good for the financial sector....

[aandesmom]

Where the hell is Citigroup''s viability plan? Who''s accountable at AIG? Our illustrious government''s handing Citigroup ANOTHER blank check to the tune of $20 billion at lightning speed (on top of their first blank check of $25 billion, not to mention over $300 billion in loan guarantees), but the auto industry is left high and dry so far. We''re willing to hand over the auto industry, some say the back bone of our manufacturing sector, to Asian companies without a backward glance. Don''t be fooled: those "jobs" foreign companies are bringing to our country are lower paying, with fewer, if any, benefits. Some say that''s what it takes to be competitive. Maybe so. But remember all you Ebenezer Scrooges out there, the cost of living in the north of the country is higher than in the south, where many of the foreign companies are setting up in high concentration. Plus the high-expertise, advanced engineering jobs and gleaned technological advances, not to mention PROFITS, are funneled to their home countries, not shared here.

[itdfactsu]

The UAW has a proud history of honoring our veterans. The International Union%u2019s Veteran Affairs Department is currently involved in building a home in Eaton Rapids, Michigan to be used by the Veterans of Foreign Wars National Home for Children. The duplex building will house two veteran families at a time as they rebuild and recuperate from difficult life situations. The funds for the home were raised by UAW locals across the country, while laid off members in the Lansing area have done the construction. The home is slated to open in the spring of 2006. %u201CWith 25 single parent families on our waiting list, the UAW is meeting an important need for the children and families we serve nation wide,%u201D states Patrice Green, National Home Executive Director. %u201COur organizations share the important mission of caring for veterans and their families. The VFW National Home for Children is ecstatic about the generosity of the UAW community.%u201D

[itdfactsu]

Jeff Doc Dentice on Region 4 UAW Veterans
423
points
Region 4 UAW Veterans- What an amazing group of Veterans & Patriotic union members. In 1988 in Wisconsin, Region 9 & Region 4 became one Region. And at that 1st gathering in Manitowoc, Wisconsin, President Owen Bieber was there to welcome both Region Vets groups to join in unity and do great things for the UAW.

Since that time, Region 4 UAW Vets have raised and donated over $1,000,000 to Veterans homes and hospitals in Wisconsin-Iowa-Illinois and Minnesota in the past 20 years. They have Vets Days every year in all 4 states, a Vets home each year has $30,000+ given to them for the Veterans recreation needs as well as building gazebos for them to relax in, and buying new vans to travel to their hospital appointments etc.

UAW Miller Brewery Headquarters (Milwaukee) has been a major supporter of the UAW Vets all these years, with Doc Dentice, a brewery worker-now retired meeting with the Presidents, and getting huge amounts of donations every year for the Vets Days and Vets Homes
http://www.iamtheuaw.org/Jeff_Doc_Dentice

[itdfactsu]

In China supporting a trade union can get you long sentence in jail.

Does China Permit Worker Rights?

NO. China today has more labor activists in prison than any other country in the world. There are widespread violations by China of internationally recognized labor rights.

FACT:
Chinese workers have no right to form or join free trade unions.

FACT:
In China, collective bargaining for better wages and working conditions by free unions can''t occur.

FACT:
Strikes and democratic labor protests are prohibited in China.

FACT:
More than four million Chinese are in forced labor camps, producing auto parts and other products that often are exported.

FACT:
The U.S. State Department reports that official repression of labor activists in China has worsened in the past few years.

[itdfactsu]

THE BUSH ADMIN IS GIVING CITI BANK ANOTHER $50 Billion on top of the $25 Billion Paulson already gave Citi Bank

The US automakers have to submit a business plan and pay back the money @5% rate what''s Citi Bank''s, AIG and all those other companies that have been handed Billions in US taxpayer dollars what''s there plan and are they going to be paying the US taxpayers back @ 5% rate? Ask Paulson/Bush because they''re the only ones that know about this Citi Bank scam bailout and those other companies.