The money these guys are getting while laid off, they're entitled to it and it's not coming out of GM's profits that they're making today. It's something that the company pays into (a sub fund) while the workers are working (instead of giving all the money the workers are entitled to at once), so it actually works out to the company's advantage to lay off workers once in a while to deplete that sub. To put it another way, this is something the workers have been earning over the past good number of years while they've been at their jobs. The money is already there, regardless of how GM is performing today. It was a negotiated benefit that the Union felt was better than simply another pay raise for socio-economic reasons.Originally posted by stewacide@May 23 2004, 05:13 PM
Are these workers not entitles to standard unemployment insurance and benefits just like everyone else? Are they not able to put money aside for hard times? (especially at their crazy wages!) Are they incapable ot finding/createing new jobs for themselves?
Can you imagine if everyone was entitled to these kind of insane benefit programs? Nobody would have any incentive to work!
So yes, they are putting money away for hard times. They're just not actively doing it themselves; the money goes to a sub fund for them, thanks to their foreward-thinking union. It's a win-win situation, not just for the workers and GM, but also for the businesses that rely on those workers and their money. If GM wasn't as successful as they are, that money simply wouldn't be there.