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Doomed

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Every American will hate the word "doomed" in this debate. Of course, we hope and pray that the auto industry will recover, and once more be the world leader in both quality and economy of its products. However ... and it is a big and growing however ... the nation's carmakers and their employees have been on a self-destructive downward spiral since the 1960s.

First, at this moment, with all the problems and killer foreign competition they're facing, the last thing the US auto industry needs now is a major work stoppage. So, to make the self-destructive situation worse, for the first time in more than 30 years, 73,000 clueless General Motors workers went out on strike. On the day the walk-out was called, a news photo seemed to summarize the problem. It showed a grossly fat union guy with a strike sign, and nearby a grossly fat plant guard closed the factory fence.

I don't know all the demands of the strikers, but seeing those two guys certainly doesn't indicate GM is paying starvation wages. Statistics show American auto workers get as much as five times the wages of Mexican and Asian automakers, and it may be debatable, but many consumers believe the foreign workers are more quality conscious, take their jobs more seriouosly, make lower demands on employers, and just maybe, make better cars.

As an American, I certainly don't agree that our workers make inferior products. However, no matter how I feel or how people in the auto industry can prove, their reputation has been damaged by consumer reports and public opinion over the years throughout the world. Going out on strike for more money will do nothing but cause further injury that already wounded image.

I don't know how this strike will affect the already crushing foreign competition on American automakers, but it also comes at a time when China is about to market its subcompact Cherie extensively in the US. The small car, expected to sell in the US for about $12,000, has been successfully consumer tested in Asia and Europe for two years. Their stubby looks and economic performance records remind older folks of the success of the Beetle in the 50s and 60s. And we all know how the VW succeeded in securing a dominant position in the US market.

Considering the relentless foreign competition in both car production excellence and quality, the US auto industry, already badly damaged by two decades of inferior products, has an enormous challenge ahead. What it doesn't need at this critical time is a a crippling strike that could serve as a death knell for the entire US automaking industry.

Learn more about this author, Ted Sherman.
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