Friday, December 12, 2008

Megan McCardle Nails The Auto Bailout

The death of a bailout

I am in receipt of an email yesterday, asking that conservatives and libertarians recognize that the unions have, indeed, made concessions in order to make the bailout work. Sadly, I had not had time to write a post about this before the UAW tanked the Senate bailout.

The concessions that the UAW has made, as far as I am aware, are to accept some equity instead of cash for VEBA, the fund set aside to pay retiree costs. Since if a bankruptcy occurs, those same workers are going to get told by a bankruptcy judge to get some damn Medicare like everyone else, or get in line with the other creditors, color me less than impressed

read it all at Atlantic

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