Chrysler to Temporarily Shut Down Plants

[namvet]

ABC News' Charles Herman reports: Chrysler has announced that at the end of this Friday's shift, all manufacturing facilities will be closed until January 19, 2009.

Chrysler has 30 facilities in North America. All will close temporarily.
General Motors is also putting the brakes on production. According to the Associated Press, GM is halting construction of a factory in Flint, Mich., set to make 1.4-liter engines for the Chevrolet Cruze and the Chevy Volt plug-in electric car.

story (story)

[Mr. P]

I think this pretty well sums it up..


One bankruptcy expert predicted that while Washington tinkers with how much aid to provide and under what conditions, the auto companies will continue their game of chicken.

[Trigg]

I thought this part was interesting.


Chrysler says these employees will receive state unemployment benefits as well as supplemental payments from Chrysler during the layoff according to a union negotiated formula.

These workers will not be receiving their regular income. There will be an unknown number of white collar workers who will not be working as well, but the expectation is that they will continue to receive their regular salaries during this time.

So some will continue to receive their regular income. Meaning NO hardship on the part of those workers.

The others will receive unemployment PLUS whatever the supplemental payments are.

An article ran in our local paper regarding a coming 2 week shut down. It stated that workers were going to get unemployment plus 80% of their pay as negotiated by the union. In essence they're going to get MORE than if they were working. Not to bad if you ask me, a long paid holiday.

No wonder these companies are going under, chapter 11 is the only thing that will save them and get rid of the stranglehold the union has on them.

[namvet]

80% !!!! call in sick. for the rest of your life :coffee:

[Trigg]

A month off.........with pay and benefits.




http://biz.yahoo.com/rb/081217/business_us_chrysler_shutdown.html?.v=7


The more than 30,000 Chrysler workers in the United States represented by the UAW receive nearly full benefits and wages during plant shutdowns

[Immanuel]

I thought this part was interesting.



So some will continue to receive their regular income. Meaning NO hardship on the part of those workers.

The others will receive unemployment PLUS whatever the supplemental payments are.

An article ran in our local paper regarding a coming 2 week shut down. It stated that workers were going to get unemployment plus 80% of their pay as negotiated by the union. In essence they're going to get MORE than if they were working. Not to bad if you ask me, a long paid holiday.

No wonder these companies are going under, chapter 11 is the only thing that will save them and get rid of the stranglehold the union has on them.

80% plus unemployment? That has to be a mistake. The state pays the unemployment compensation and deducts any payments received by the worker. If the worker is getting 80% of salary and benefits the state won't be paying unemployment comp and as far as I know there is nothing the unions can do about that.

At least I don't think they will.

Immie

[Trigg]

80% plus unemployment? That has to be a mistake. The state pays the unemployment compensation and deducts any payments received by the worker. If the worker is getting 80% of salary and benefits the state won't be paying unemployment comp and as far as I know there is nothing the unions can do about that.

At least I don't think they will.

Immie


Unless the company is in bankruptcy before March, the workers will receive state unemployment benefits plus a supplemental benefit from the company, raising their total layoff pay to 85 percent of their regular 40-hour pay.

Well, I had it slightly wrong. That's what I get for typing without a link. So they get 85% of their regular pay. Still, not to shabby.

[Immanuel]

Well, I had it slightly wrong. That's what I get for typing without a link. So they get 85% of their regular pay. Still, not to shabby.


Unless the company is in bankruptcy before March, the workers will receive state unemployment benefits plus a supplemental benefit from the company, raising their total layoff pay to 85 percent of their regular 40-hour pay.


Not that I doubt you, but where are you getting that quote from. That just doesn't sound like it is correct. Could your source be wrong?

Immie

[Trigg]

Not that I doubt you, but where are you getting that quote from. That just doesn't sound like it is correct. Could your source be wrong?

Immie


http://www.fortwayne.com/apps/pbcs.dll/article?AID=/SE/20081213/NEWS/812130304

[Immanuel]

Thanks Trigg.

I wonder what the state says about that. I am pretty sure if employees receive a supplemental payment the state will reduce the Unemployment Compensation. Not positive on that, but that was how I understood things worked with unemployment comp.

Immie

[PostmodernProphet]

two factories here in town that supply Chrysler told their employees to expect layoffs starting 12/26....

[krisy]

I'm happy to hear they are getting some kind of pay during this month. CUt back on groceries,eating out,and keep the heat low that month and they hopefully will be allright.

[Nukeman]

They really wont need to do any of those things Krissy. They are to receive 85%of their pay PLUS unemployment. Also of note is that IF they shut down entirely the benefit payed to the union workers is 80% OF PAY FOR 6 MONTHS AFTER SHUT DOWN....


LET ME REITERATE THAT

80% OF PAY FOR 6 MONTHS!!!!!!!!!!!!!!!!!!!!!!!!

Brought to you by your local tax payer!!!!!!!!!!:eek:

[The ClayTaurus]

They really wont need to do any of those things Krissy. They are to receive 85%of their pay PLUS unemployment. Also of note is that IF they shut down entirely the benefit payed to the union workers is 80% OF PAY FOR 6 MONTHS AFTER SHUT DOWN....


LET ME REITERATE THAT

80% OF PAY FOR 6 MONTHS!!!!!!!!!!!!!!!!!!!!!!!!

Brought to you by your local tax payer!!!!!!!!!!:eek:Blame Chrysler for ever agreeing to that in the first place.

[namvet]

it now appears their all gonna get their conditional bail outs.........

[krisy]

They really wont need to do any of those things Krissy. They are to receive 85%of their pay PLUS unemployment. Also of note is that IF they shut down entirely the benefit payed to the union workers is 80% OF PAY FOR 6 MONTHS AFTER SHUT DOWN....


LET ME REITERATE THAT

80% OF PAY FOR 6 MONTHS!!!!!!!!!!!!!!!!!!!!!!!!

Brought to you by your local tax payer!!!!!!!!!!:eek:



Wow....they are fortunate. My husband and brother do drywall and the company the work for just informed them that after the first of the year all paid vacations and paid holidays are gone. Also,no more overtime....period. This is not good at all for us. We have allready lost thousands in overtime this year,but he was still getting a little here and there. On top of all that,the boss has had to go farther out to get jobs and now says he won't pay driving time to the job thats 3 hours of driving a day. My husband worked 11 1/2 hours the other day and only got paid for 8 1/2.

We smell layoffs after the first of the year and it won't be the boss' 3 sons.