WHEREAS:
The economic crisis gripping our country has had a devastating effect on the already troubled U.S. auto industry, driving it to the brink of collapse; and
WHEREAS:
Collapse of the domestic auto industry would have devastating consequences including the loss of 3 million jobs that are related to the industry, the loss of pension and health care benefits for 1 million retirees and their spouses and dependents, and a serious impact on public budgets as they absorb those pension and health costs as well as other social costs while suffering the loss of tax revenue from such a serious blow; and
WHEREAS:
Instead of rationally examining problems with the American auto industry and seeking solutions to revitalize this critical industry, which for decades provided many unionized workers and their families with a pathway to the middle class, many pundits and right-wing politicians are blaming unionized autoworkers for those problems; and
WHEREAS:
The difficulties facing the auto industry do not stem from the fact that they are unionized; many of their foreign competitors are unionized. What makes the U.S. auto manufacturers unique is that, lacking a national health plan, they have to pay to provide their workers with health insurance.
THEREFORE, BE IT RESOLVED:
That AFSCME fully supports government action to assist domestic automakers contingent on the demand of Democrats in Congress that the automakers must demonstrate plans for their viability and accountability; and
BE IT FURTHER RESOLVED:
That any legislation crafted by Congress should meet certain principles:
- It should provide an emergency bridge loan to the companies so that they can avoid bankruptcy;
- It should impose tough limits on executive compensation, prohibit the companies from paying dividends and give the government an equity stake in the companies;
- It should create a government advisory board to oversee operations and ensure that taxpayer dollars are spent in the U.S. consistent with any requirements imposed by Congress; and
- It should require the Obama administration to develop a plan for the industry's long-term viability.