The Realist Idealist

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GM Issues “URGENT call to action”

November 13th, 2008 · 5 Comments

My father has been an employee of General Motors since he graduated from Evansville University in southern Indiana in 1974.  A lot has happened since then in the energy industry, in the auto industry, and in my family.

I wrote a couple weeks ago about “my energy history,” and how closely tied my family - and consequently my life - has been to the US auto industry.  From the launch of the Saturn Corporation, to solar powered race cars, to the first electric vehicles in the mid 90’s, to the GM-ification of Saturn, through the SUV boom, to the death of electric cars, and now of course at the near collapse of the US industry altogether, I’ve been directly and indirectly connected since birth.

I preface with all of that because it’s with that lens that I read over the letter below that my father received and forwarded to me.  In a word it was striking… GM - the most iconic corporate, old-school entity I know - is in such straits that they are turning to their grassroots.  While the United Auto Workers (UAW) are likely to initiate such a request to their members, GM reaching out to it’s employees in this way is more or less unprecedented.  I hope it’s empowering for them.

What I hope even more, however, is that this is an opportunity for GM, Ford and Chrysler to revamp, retool and be part of the RePowering of America that we desperately need.  When GM employees call their congresspersons, they should be demanding that there also be incentives for creating a revolution of renewably-powered vehicles tied to any bail out.

Here’s the letter.  Of particular note is the link for the site: www.gmfactsandfiction.com

Dear Employee,

Next week, Congress and the current Administration will determine whether to provide immediate support to the domestic auto industry to help it through one of the most difficult economic times in our nation’s history.  Your elected officials must hear from all of us now on why this support is critical to our continuing the progress we began prior to the global financial crisis.

As you know, we have taken the tough, necessary actions over the last few years to strengthen our competitive position.  With our UAW partners we have reshaped our business and will have reduced our structural costs by more than $13 billion by 2010 and have closed the quality and efficiency gaps with our competitors.  We also are building products that have received great customer acceptance and acclaim, as we have seen with the Chevy Malibu, Cadillac CTS and our family of crossovers.  And, there’s more to come with the Chevy Volt which will position GM as a global technology leader as well as more hybrids and fuel efficient passenger cars like the Chevy Cruze.

The consequences, however, of a portion of the domestic auto industry collapsing extend far beyond GM’s ability to continue its transformation.  One in 10 American jobs depend on our industry, as well as the health of communities, dealers and suppliers in all 50 states.  As you know, nearly 3 million employees, retirees, and their families also depend on us for their pensions and health care.  Because of our economic contribution, the cost of allowing this industry to fail would be catastrophic:  3 million jobs lost within the first year; U.S. personal income reduced by $150.7 billion; a government tax loss over three years of more than $156 billion.  This level of economic devastation far exceeds the $25 billion of government support that our industry needs to bridge this current period.

Today, I want you to take the time to contact your members of Congress to ask them to support America’s domestic auto industry.  Please call the following number to be connected with your legislators 1-866-927-2233.  Directions and key messages are in the attached document to assist you with the calls.  Also attached is a fact sheet that includes the economic figures cited above.  Additionally, you can visit www.gmfactsandfiction.com to obtain further information on the auto industry and GM.

Support for the domestic auto industry will contribute to a stronger economy, save millions of jobs, and establish U.S. manufacturing and technology leadership in the global marketplace.  As an employee, you have a lot at stake and continue to be one of our most effective and passionate voices.  I know GM can count on you to have your voice heard.

Thank you for your urgent action and ongoing support.

Troy Clarke
President
GM North America

The email address that Mr. Clarke gives to respond to is “grassroots@gm.com”

Much more to come…

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Tags: Action Items · Clean Energy · Innovation · awareness raising

5 responses so far ↓

  • 1 Lori Collins // Nov 13, 2008 at 11:21 am

    GM has had years of opportunity to be innovative and strategic in order to address the mess they now find themselves in. I have no sympathy for a company whose officials don’t believe global warming is a real-life factor, convinces its workers the same thing, pays powerful lobbyists to fight any progressive, socially responsible action, and has allowed the union contracts to assist their nosedive. All of this was absolutely foresee-able. For decades now, their management team has gone for short term gains — please shareholders, enjoy big bonuses, consumers will buy what we produce, we are absolved from the realities that affect all other businesses because we’re GM and nothing can ultimately pull us down. The hubris is appalling. And now they want to be bailed out??? As a taxpayer, I don’t want one dime going towards bailing them out. They screwed this up royally. It’s unfortunate so many people will be hurt. But what makes anyone think giving them money would do anything but produce more of the same kind of decision making? Why would we pump money into a broken system? This is a company that pumped out SUVs and Hummers AFTER being on the brink of disaster in the 80’s. I see no learning taking place. They brought this on themselves. If they go under, it’s because of greed, hubris, and choosing to ignore realities. If I saw any humility, strength of sound leadership, a sense of social justice, or capacity for applying lessons learned, I’d feel otherwise.

  • 2 Jake Brewer // Nov 13, 2008 at 6:32 pm

    Well put. What are other reactions?

  • 3 Kate McSpadden // Nov 17, 2008 at 7:37 pm

    My initial reaction to the bailout was in tune with Lori’s — let them declare bankruptcy, this mess was their own doing — but after thinking about it longer and reading a host of proposals, I’ve grown inclined to believe there is lemonade to be made here, if you will. I found Steve Coll’s perspective beautifully considered:

    http://www.newyorker.com/online/blogs/stevecoll/2008/11/why-rescue-detr.html

  • 4 An important article in The Huffington Post written by my cousin, “GM Goes Grassroots. A Son is Torn.” at j a v a j i v e :: photography from indonesia :: // Nov 19, 2008 at 12:02 am

    [...] the troops, not the war.”‘ “On November 12, Tom Brewer received an “URGENT call to action…” along with all other General Motors employees in the United States from GM North American [...]

  • 5 GM Goes Grassroots. A Son is Torn « It’s Getting Hot In Here // Nov 24, 2008 at 10:03 am

    [...] November 12, Tom Brewer received an “URGENT call to action…” along with all other General Motors employees in the United States from GM North American [...]

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