i like the sentiment, but im not sure the authors really understand the stock market or economics. the reason they do stock buybacks is part of an overall tightening strategy, to gain leverage, and be more able to respond to black swan market events. executive compensation is a drop in the bucket of the overall cash flow. there are very real risks involved in running huge auto businesses…although to be fair…the prospect that you’ll be bailed out by taxpayers makes all of that null.
The risks faced by executives and billionaires is a joke compared to the risks faced by working people.
really not true at all. businesses fail and if a large business fails, everyone loses. that’s why they get bailed out. labor costs at the big 3 are much higher than other automakers, and capitalism involves competition. if their labor costs are too high, they can’t compete, and other non-unionized automakers will over-take them. but its such a core part of our economy and national security, that they cannot be allowed to fail, so the government steps in. the unions know that, and they take advantage of it knowing they can get paid more because its a valuable industry. GM workers make much more money and have better benefits than virtually all other assembly line workers in the US in other industries, despite it being basically the same job requiring the same skills.
why isn’t their a massive push to get other assembly line workers pay and benefits equal to those of auto? they get all the headlines, money, and support. why is that?
if a large business fails, everyone loses
Of course. Some lose their second yacht, and some just lose health insurance.
We are all in the same struggle, workers and billionaires alike.
Only, because unions take advantage of weaknesses in the system, workers arguably fare much better.
I feel you.
why isn’t their a massive push to get other assembly line workers pay and benefits equal to those of auto? they get all the headlines, money, and support. why is that?
Union members spend time and their own money organizing. When they fight it garners headlines. Those headlines increase public support because when they win it lifts local economies while increasing other labor fights chance of success.
The industry standards are set by union shops, the pay at other manufacturers would be significantly less if unions hadn’t pushed to get their members good contracts. The massive push you are questioning has to come internally from workers at non-union shops ready to start organizing themselves. There are a ton of resources and organizations waiting to help them fight, but ultimately it has to be led by rank and file workers for it to have any chance of success.