FAIRFIELD, CT -- The Industrial Division of the Communications Workers of America (IUE-CWA) held a rally this afternoon in front of General Electric headquarters in Fairfield, Connecticut. At issue: leaked internal management memos that indicate company plans to downsize the unionized workforce by 15%.
Union leaders are outraged. Union president Jim Clark, addressing the 6,000-strong crowd, demanded that GE Chairman and CEO Jeffrey Immelt publicly denounce the memos and support full execution of the company's contract with the union.
To the surprise of everyone present, Immelt did just that. Appearing at the rally, he said he stood with the unions. "I'll stand with you. I'll fight with you,'' he said.
Real? No. Not in GE-land, where management caving in to union demands leads to an unsustainable business model. Just ask Delphi, whom the IUE sucked dry back in the day before CWA took them over.
... the forces that pushed Delphi into bankruptcy court have been building for years. As the auto industry has gone global, U.S. automakers — saddled with high-cost labor contracts negotiated in more prosperous times — now find themselves pitted against leaner overseas rivals.
In the real world, a board of directors faced with Immelt's fictional action would fire him so fast his head would spin. They have a fiduciary duty to their stockholders to keep the company as profitable as possible, and a rogue chief executive siding with the unions is not in the best interest of the owners of the company.
Here in New Jersey, however, we have failed to learn the lessons of history. Enlighten-New Jersey notes how Corzine Vows To "Fight For Public Employees."
Pubic workers enthusiastically support Corzine’s budget because it contains no layoffs or cuts to state worker salary increases and fringe benefits. With growing concerns over the disparity between public and private sector pay packages, some lawmakers have suggested Corzine take action this year to rein in the cost public employees.
Many New Jersey bloggers noted during the campaign that Jon Corzine was not fit to lead our state. He fails to represent the interests of the taxpayers who elected him, just as he did in the Senate for five years.
After only a few months in office, it should be abundantly clear to all that we cannot tolerate his incompetence. Our "board of directors," the Senate and Assembly, have a fiduciary duty to the taxpayers to ensure our state is operated efficiently. A chief of executive siding with the unions against the legislature does not serve that interest. Corzine must go.
Tags: New Jersey, Taxes, Corzine, State Budget