Love, Honor & Respect

11^th of December 2008

A Barium Enema for the American Auto Industry

I am the first person to say that we must not allow the American Auto Industry to fail!  It would have devastating consequences to an already shattered economy with ramifications throughout the world.

Because of that statement, you might think that I am all for the bill passed by the House of Representatives, but has stalled in the Senate.  This bill provides low-interest loans to Ford, General Motors and Chrysler; however, that would be an incorrect assumption.  It is right for the Senate to stall this bill and it was wrong for the House of Representatives to pass it so irrespective of agreed upon plans with how the auto makers will prevent major job losses, unemployment rates from climbing substantially and the US Tax Payer from loosing billions that would be squandered by management only in to increase their already prevalent elitist status.

Not one of the big three auto makers delivered any substantial plan during the committee hearings, giving the American people assurances or security for the future of these companies.  Executives from each company flew on private jets, rode in luxury limousines, and ate at the finest establishments without regard to thousands of people who are counting on their jobs for tomorrow.  It deeply saddens me because history has taught us and the world, that when the United States is the under-dog, when we have everything to loose and the struggle for gain seems to be beyond our grasp; that is when we excel the most.  I know it sounds harsh, but when the United States is riding on the wind, we do foolish things as we have the past eight years.  However, when we are in a struggle for our very lives; that is when we flourish for not just ourselves, but for everyone around us.

The millionaires who manage the auto industry have no clue what it is to struggle.  They have been with such luxurious means for a long time that effort isn’t about loosing a single home; because they have five others.  So, before the auto industry wishes for the Senate and the American people to supply billions of dollars to bail them out, come to us with a plan that includes some of the follow:

1. Sell all corporate jets.  If you own your own private jet, you may use it, but the reimbursement for that flight would be only what a first class ticket would have cost and nothing more.
2. Give up your hundred-thousand dollar car allowance that places you inside luxury automobiles that aren’t even built by the car companies you manage.  I agree that all senior executives deserve a car allowance for your time and efforts, but that means driving one of the very vehicles that is produced within your plants and sold to your customers.  I’m not talking about a Cadillac or Corvette Mr. GM; instead I mean you should be driving a Chevy Impala or similar.  I don’t mean a new Chevy or GM automobile every week or month, but to spend six months to a year in each automobile.  Better yet, drive one that is two years old, so that by the time that vehicle hits its twenty-four to thirty-six month anniversary date and starts to rattle, sounding like its falling apart that you know exactly what the customers who invested in one of your cars feels like.  If you wish to improve the quality of your cars, drive them to see why people are flocking to Honda, Toyota, BMW and other better built and better maintained automobiles.
3. The entire executive officers should be spending a minimum of twenty percent of their time on the factory floor.  Yes, Chrysler President, get your butt, out of your thousand dollars tailored suit, put on the gloves that are needed for welding, and spend an eight to twelve hour day on the floor doing the job.  Work shoulder-to-shoulder with the person doing the job and talk with them.  Get to know their stories, just as you post your biography on the company web site.  You want to hear about innovation; try listening to the person doing the job for twenty years.  You want to find out what makes a difference in building the next car, listen to the woman who has three children and an elder parent that she must earn enough money to support says about doing her job.  Get your butts out of the office and work with the ones you count on to do the daily job!
4. Reduce your salaries by at least twenty percent or more.  The President, CEO, CFO’s and all senior management teams should give up fifty percent or more of their salaries.  When I say that, I am the first to acknowledge there must be an incentive, so increase the stock options each executive will receive.  Establish bonuses that will be paid out not as golden parachutes, but paid in the two to three year period based on achieving the objectives that you manage too.  No other bonuses are paid until those objectives in the established time should be paid or received.
5. Develop and publish a solid plan and show your progress openly on your web sites to the American people.  A plan that every America citizen can follow.  You want my tax dollars and my support; then I’m one of your shareholders and I expect a plan and progress reports weekly on your web sites.  Reports that may be verified by a governing committee that we the people choose, not just the United States Government chooses.  If you default on your plan, you loose all stock options that we the people hold as collateral for the loan you must repay.
6. Place a chuck of preferred stock in the name of the American people…not the US Government.  The American people are the ones providing your bail-out money and are the new shareholders that you must report too.  You get our money and receive a two to three year deferment on repayments.  That time is giving you an effective amount of time in order to re-organize and produce cars the way you should have been doing the past twenty years.  If you don’t make one of the payments when they are due, that stock is forfeited and can only be repurchased at a much later date.  The US Government will also hold the titles and deeds on land, factory and equipment as collateral securing the debt you will owe the American people.  Default on the loan and we have the right to take the plants, equipment and maintain them with building the same cars you currently build at them.
7. Open the sale process of automobiles.  I mean the twenty thousand dollar car that should have been selling at fifteen thousand is over priced.  The invoice should show exactly what the cost of building that car and what it cost you the manufacturer for every option on the vehicle.  An honest profit margin shown on the invoice for every car should be listed on each invoice.  Me, the consumer should be aloud to pick and choose only those options I wish on my car.  A just-in-time sales and inventory as apposed to placing millions of dollars in incentives to the dealers for holding inventory and then selling that inventory.  Streamline the sales and pricing process for each automobile.  Also give me, the consumer, a way to buy your car direct from you without the necessity of a dealer if I so choose.  Many will still want a dealer, while others will choose to buy direct and save thousands of dollars added by dealer fees and services.
8. Break all contracts with suppliers, dealers and vendors.  All of you have locked suppliers, dealers and vendors into only dealing with you.  This is a free market economy and if you want our money, open up the process for a part manufacturer to be bid on by others.  Also allow that vendor to make parts for other companies and not just beholden to you.  Allow dealers to sell your cars, as well as others manufacturer vehicles, because if you build the best car, that is what the people will buy.
9. In two years from the day you receive our money, you promise to deliver ten percent of your vehicles with a MPG of forty or greater.  Three years that number should increase too fifteen percent or more of the automobile offerings, but with an additional five percent of your cars making better than fifty MPG.  Within four years of that loan being received, you must provide the American public with automobile alternatives making greater than sixty MPG or with alternative fuels.  Each year the numbers must increase until the bulk of your fleet of vehicles are making better than fifty MPG with some upwards of one hundred MPG.
10. There should be many other requirements, but this is a good start to what you must do to receive my money and my continued support.

To the Unions:

You are not without fault in this situation.  I am the first to say that Unions were a necessity in the tens, twenties and thirties of this country; however, you are part of the growing problem and like the executives must trim your position.  There isn’t a company in the United States where the employees do not pay for part of their health care.  In most companies, employees pay upwards of thirty percent or greater towards their health care.  That fact that the Insurance industry is one of the most corrupt in the world and is out of control is a complete side issue; because they are, health insurance is the greatest expense by every company in the United States.  You must share in that cost just as every other employee must do.  I submit that all unions be placed on hold for a time period of three years.  That the pay rate for those three years be equal too the average pay received by the workers for those auto manufacturers that are not unionized.  If the Line Forman at Toyota, Nissan, Kia and Mitsubishi is fifteen dollars; then that is what the Line Forman for Ford, GM and Chrysler should be as a pay rate.  Before you yell, think about it this way; fifteen dollars per hour is far greater than zero, because if Ford, GM or Chrysler fold, that is what you will be making.

I know there will be many sacrifices that workers must make, but if we keep Ford, GM and Chrysler in business; then you keep your jobs and benefits.  It will take you helping management decide how to build a better, more efficient car.  It will take improving on what you do and how you do it, so that “Made in America” becomes a symbol of pride once more.  Help the American people by helping your company to survive, flourish and grow.

House of Representative – Mr. Barney Frank:

Sit your fat, flatulent ass down from pontificating and espousing your point of view over saving the Auto Industry.  You are the worst kind of politician, BOUGHT and PAID FOR!  I was once your constituent in Massachusetts, and I remember the day you came into the Metropolitan Gym on Columbus Avenue in the Southend of Boston.  A very gay gym, but in all of your visits, you never seemed to make it out of the steam room or sauna (which were very cruisie at the time and where many guys went for blow jobs and hand jobs).  You were changing in the locker room with a towel wrapped around your fat ass, when I had a problem with my student loans.  I excused myself and asked you a question.  You never allowed me to complete my question, you flew into a tirade about, “you voted in the Republican Party, so don’t ask me for help with your problems until you vote in the Democratic Party again.”  You said some other things and stormed off before I could close my mouth, much less correct the fact that I voted for you and a Democratic Senator, in that year’s election, I did not vote for one Republican.  You are only behind this because the auto industry has lobbied you and I am sure, paid for your services in some manner.  I don’t care what it is you think you’re doing, SHUT YOUR MOUTH until you can actually lead the American people with facts that are not tainted by money and greed!

Congress needs to re-evaluate the current bailout, establishing some guidelines that prevent the executives at Ford, GM and Chrysler from using our money for privileges like corporate jets, trips to islands or even functions that cost thousands to millions.  Establish some parameters that if Ford wants to take all of the executives somewhere, that they ask permission and that the American people aren’t paying for things like we have for AIG.  The US Senate should only pass this bill when those added line items I’ve listed above are considered.

Your humble servant – Todd M Dobson

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