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eyesroll Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Aug-18-03 09:19 AM
Original message
Question about fuel economy/union stance
I've heard from auto-workers unions that some attempts to raise fuel economy would result in a loss of automotive jobs.

Can anyone explain to me why? I guess I understand job losses would result if there was an SUV ban or something, but what about just developing more efficient engines? I'm trying hard to find the cause-effect relationship. (And I am the first to admit I know nothing about automotive manufacturing, so a "duh" explanation might be staring me in the face.)

Any insight would be appreciated.

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Lefty48197 Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Aug-18-03 09:53 PM
Response to Original message
1. I'm no Warren Buffet, but I think...
The theory is that stricter fuel economy standards would force the auto companies into dramatic, immediate increases in R & D costs, and that those increases would come at the expense of something else. Namely, workers wages, benefits, or even jobs, as some manufacturing would be sent overseas in search of cost savings.
The United Auto Workers Union doesn't oppose higher Corporate Average Fleet Economy (CAFE) standards, but they don't want OUR gas savings, to come at the expense of their jobs. It's the union's duty to protect the jobs of their workers.
A better solution might be to subsidize the sales of fuel efficient (namely hybrid) vehicles that are manufactured IN the US, in order to make them price competitive during their introductory period.
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eyesroll Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Aug-19-03 11:06 AM
Response to Reply #1
3. That makes sense.
Thanks.
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German-Lefty Donating Member (568 posts) Send PM | Profile | Ignore Tue Aug-19-03 08:48 AM
Response to Original message
2. Yes, but screw em
Big Business and Big Labor (unions) will tend to agree in a particular industry that they should get maximum benifits from society (profit,wages+benfits) while providing minimal benifit to society (investment+R&D,goods).

A union's job is to try to get as much for the workers in a company as possible without scaring off the investors completely. By making automotive manufacturing more expensive at least in the short run, you are hurting the profitiblity of those companies and therefore what unions can extract best-case.

Sometimes unions can engage in the same croney capitalism, the big bosses do. They'll push for monoplies to get a better stanglehold on a racket.

Disclaimer: unions do good things, but they are means to an end.
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SyracuseDemocrat Donating Member (696 posts) Send PM | Profile | Ignore Tue Aug-19-03 12:56 PM
Response to Reply #2
4. That's nice
screw unions, save the trees. :puke:
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