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Corker: UAW Should Not Be Paid To Not Work

Sen. Bob Corker (R-Tenn.) decided to shift the focus off the heads of the Big Three automakers during the Senate Banking committee underway right now to whip up a little on the United Auto Workers.

Corker told Chrysler chief Bob Nardelli that one of his lobbyists told him the previous day that, even if a Chrysler plant is shut down, Chrysler still has to pay wages to its union employees.

How can you come before us, Corker directed to both Nardelli and UAW chief Ron Gettelfinger, and ask us for $25 billion if you're asking taxpayers to fund this sort of activity?

Corker's question prompted an odd scene in which Nardelli was forced to explain to Gettelfinger, as both sat at the witness table, that what Corker meant was the following: When Chrysler plants are idled because they are not making vehicles, Chrysler is still required to pay its UAW workers 95 percent of their wages.

Gettelfinger stumbled a bit and offered that those wages are actually the workers's "unemployment."

'There is no other business in this country where that would be tolerated," Corker said. "I understand Mr. Gettelfinger has done a good job on behalf of all workers not working and being paid."

Sen. Chris Dodd (D-Conn.), the committee chair, picked up the union's cause after Corker finished, however, saying of the practice of paying workers at idle plants: "I don't think that's outrageous at all. The assumption that you just get rid of [workers] without considering their needs," he asked trailing off.

-- Frank Ahrens

The Ticker is Twittering!

By Frank Ahrens  |  November 18, 2008; 7:11 PM ET
Categories:  The Ticker  | Tags: Detroit bailout, UAW  
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Next: Dodd To Big Three: Don't Expect Aid Soon


The so-called jobs bank, where auto workers draw nearly full pay and benefits while they are idle, is indeed ridiculous. If Senator Dodd thinks that qualifies as "unemployment" then they should draw the same rate as those collecting unemployment insurance, which would certainly be much less than they are drawing. This giveaway to the UAW should not stand if the taxpayers are bailing out GM.

Posted by: RealChoices | November 18, 2008 8:49 PM | Report abuse

There was another story today that said the auto workers earn over $70 an hour in total compensation. Bankruptcy is looking more and more like the right solution, as the unions won't acknowledge that they can't keep up this craziness forever.

Posted by: dakotadoug83 | November 18, 2008 11:50 PM | Report abuse

This is the BEST idea, get the oil industry to dip into their riches to bail out the auto industry!!

Posted by: genoand | November 19, 2008 5:19 PM | Report abuse

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