Mexico's auto unions agree to wage cuts

[monkeylizard]

http://money.cnn.com/news/newsfeeds/...7bc1ecbda9.htm

Notice niether Janesville or Oshawa are willing to even being to consider something like this.

Comment about this could go in many directions, but I thought it interesting anyway.

[HoosierRon]

Originally Posted by monkeylizard

http://money.cnn.com/news/newsfeeds/...7bc1ecbda9.htm

Notice niether Janesville or Oshawa are willing to even being to consider something like this.

According to the article, starting wages at some factories in Mexico are $1.50/hr. It would be against the law in the United States for Janesville and Oshawa employees to work for that wage. Congress forbids it.

[vsd]

Originally Posted by HoosierRon

According to the article, starting wages at some factories in Mexico are $1.50/hr. It would be against the law in the United States for Janesville and Oshawa employees to work for that wage. Congress forbids it.

Don't be so dense. $1.50 is not the point, the point is the Mexican Auto Union was willing to take the cut, and be generally flexible, unlike stubborn American and Canadian Unions.

[lio45]

Originally Posted by HoosierRon

It would be against the law in the United States for Janesville and Oshawa employees to work for that wage.

"Against the law"? Aren't millions of Mexicans already working in the US outside the scope of the law anyway?? Imagine the savings if the Janesville line was filled with illegals (and same with other factories). A GM shareholder's delight.

[TJ95GAGT]

Originally Posted by HoosierRon

According to the article, starting wages at some factories in Mexico are $1.50/hr. It would be against the law in the United States for Janesville and Oshawa employees to work for that wage. Congress forbids it.

Considering minimum wage in Mexico is $5/day I think there is some differences in pay scale vs. the rest of NA . Congress wouldn't forbid workers making twice the minimum wage would they?

[canadianworker]

Originally Posted by vsd

Don't be so dense. $1.50 is not the point, the point is the Mexican Auto Union was willing to take the cut, and be generally flexible, unlike stubborn American and Canadian Unions.

Next time you are up for a raise, make sure you tell your employer you'll take a pay cut, or better yet, just tell your employer to open up shop in Mexico and not to worry about you, that'll you'll find another job!

[Vladimir1978]

Originally Posted by vsd

Don't be so dense. $1.50 is not the point,

You're the one being dense. $1.50 is ENTIRELY the point. For $5 per day, GM can get a Mexican worker to help build a $40,000 truck. Let's assume that the CAW and UAW were willing to lower wages to, let's say, $15 per hour. Guess what- Mexico is still making that truck.

[TJ95GAGT]

Originally Posted by Vladimir1978

You're the one being dense. $1.50 is ENTIRELY the point. For $5 per day, GM can get a Mexican worker to help build a $40,000 truck. Let's assume that the CAW and UAW were willing to lower wages to, let's say, $15 per hour. Guess what- Mexico is still making that truck.

There is obviously other factors involved otherwise this would already have been done a long time ago with anything and everything, not just automobile manufacturing. The wage differential in all almost all jobs between Mexico and the rest of NA is nothing new.

[NfamousZ24]

Originally Posted by vsd

Don't be so dense. $1.50 is not the point, the point is the Mexican Auto Union was willing to take the cut, and be generally flexible, unlike stubborn American and Canadian Unions.

The reason they are doing this is because the UAW agreed to lower wages. They have to lower their wages because UAW did. That was one of the complaints the Mexican auto union complained about. Their wages were to raise to catch up with the UAW. UAW wasn't supposed to drop and have their wages have to drop also to compete.