Obama's Tough Medicine Leaving Some With Bad Taste
What did you expect?
Four months into President Obama's administration and three months after he created the Auto Task Force to find a solution for an imploding auto industry, people are mad at the President.
They're mad his solution includes painful job cuts. Mad he's using TARP money to prop up GM and Chrysler. Mad that his Auto Task Force is doing what many in the industry privately admit needs to be done.
Funny how the painful reality finally has people screaming.
Friday on C-SPAN, the President said, "Had we allowed GM or Chrysler to liquidate, that would have been a huge anti-stimulus on the economy.".
It also would have lead to tens of thousands of jobs being lost. So he created the Auto Task Force to find a solution.
After two months of meetings with dozens of industry leaders, the task force determined bankruptcy was the best option to clean up Chrysler. Within two weeks I believe it will do the same with GM.
While this process is painful and necessary, it's just now prompting lawmakers to complain and complain loudly. Senators want the GM and Chrysler CEOs to justify cutting thousands of dealerships.
Representatives are calling for press conferences blasting the Auto Task Force for Chrysler closing plants.
What did these leaders of Congress think was going to happen? Where were they two months ago when industry leaders told them this would likely be the outcome.
Back then, there was a general uneasiness about GM and Chrysler collapsing.
With the exception of a few political leaders (Michigan Governor Granholm for example) many said little more than, "We want the auto makers to survive.".
Now that dealerships are closing, it's a far different story. Now that tax dollars are about to leave congressional districts, there's growing concern.
Unfortunately for those leaders, and thousands connected with the industry, this may be too little too late.
The bankruptcy court train has pulled out of the station for Chrysler, and is loading up for GM.
Reversing the plant and dealer closings already planned is going to be extremely difficult, if not impossible.
The President said Friday, "The auto industry is foundation for economies all across midwest and ultimately for country as whole."
Fixing that foundation now has many screaming, "Stop!"
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