[sgarnett]

The Senate, UAW, et al, just gave up (ie failed) on reaching a compromise a few minutes ago.

I don't know how GM will come out after bankruptcy (they just hired the bankruptcy lawyer), but the stock market futures are looking ugly tonight. It actually held up well through some dismal recent employment numbers, but I suspect tomorrow is gonna be ugly. Rebuilding my retirement is going to mean austerity and no new cars for a very long time, and I suspect that will be true for many others. That can't be good for any automaker.

I'll admit I wasn't convinced that bridge loans to March could solve the problems for GM, so I don't claim to know what the right answer was. Nevertheless, this is going to be a big kick in the teeth for the economy.

This post has been edited by sgarnett: Dec 12 2008, 04:07 AM

[T.O.Dillinder]

Why would the average employee want a pension, which they can't control, versus a 401(k) or other retirement which they can control?

Pensions are a benefit given to an employee for length of service.
Length of service and the amount of a Pension is determined by the Company, unless it is a Unionized shop. In which case, the Union and the Company bargin primarily the amount of the pension.

20 years in the Military, 30 years for a Manufacturing employee are a couple of examples for length of service amounts.

Do you really have control of a 401K?
Correct me if I am wrong, but it is my understanding that a 401(K) is a type of Mutual Fund with those monies being used in the investments in the Stock Market.

A Salaried employee may have a Pension, and the value of the pension stated in his/her contract.

I am just going to say it is the fault of the Federal Reserve, Corporate Magistrates, and Politicians. In other words "THE MAN". (IMG:http://www.frrax.com/rrforum/style_emoticons/default/nutkick.gif)