http://finance.yahoo.com/q/ecn?s=DPH

We may be on the cusp of significant labor restructuring in the auto business in America. I anxiously await what happens at DPH. I expect this to set the pattern not only for other suppliers but for the US Bg 3 aggreements. Implications may not be good for the UAW and retirees. Could also have ramifications for retired white collar staff as well.

Edited September 30, 200519 yr by evok

http://finance.yahoo.com/q/ecn?s=DPH

[post="22428"]<{POST_SNAPBACK}>[/post]

Agreed.

Even if it proved more costly to General Motors, I would prefer at this point to see a bankruptcy filing if for no other reason than the long-term psychological effect on organised labour.

I would like to see DPH file as well. For the US Big 3 that is not an option because of the investor ramification but if DPH files, there most certainly be positive carry over affects for them long term. Even if GM has to absorb some of the short term obligationed cost from the initial split and possible payout, farther out they will be in a better position to negotiate and reduce their labor burden. In a nut shell, the days of big labor in this industry are over. I also see the potential ramification in Europe. The playing field has to be leveled.

Edited September 30, 200519 yr by evok

Is GM going to let delphi file for bankrupcy just as a message for the unions? Would GM be able to prop them up again after the bankrupcy?

Is GM going to let delphi file for bankrupcy just as a message for the unions? Would GM be able to prop them up again after the bankrupcy?

[post="22448"]<{POST_SNAPBACK}>[/post]

Yeah, i have the same burning question...

Is GM going to let delphi file for bankrupcy just as a message for the unions? Would GM be able to prop them up again after the bankrupcy?

[post="22448"]<{POST_SNAPBACK}>[/post]

GM and other manufacturers buy so much from Delphi that by allowing them to go into bankruptcy would be viable as long as it doesnt slow part shipments. Bankruptcy from what I remember allows a company to shed a lot of burden from contracts in order to get the books back on track. Once that is done then new more equitable contracts can be negotiated. But I may be wrong.

We may be on the cusp of significant labor restructuring in the auto business in America.

I can see that coming. From GMs flexible manufacturing, to suppliers filing for bankrupcy, it looks like big changes are on the way.

I read GM could be on the hook for 5-6 billion in delphi retiree costs.

I can see that coming. From GMs flexible manufacturing, to suppliers filing for bankrupcy, it looks like big changes are on the way.

[post="22509"]<{POST_SNAPBACK}>[/post]

The flexible manufacturing is HUGE for GM, and will change where they build cars and how labor is handled. Bankrupcy would be huge too, and VERY bad for unions, but would be bad for GM too (or anyone else that decides to do it). I think bankrupcy will be a last resort for GM and suppliers, and not a means to an end. I think the flex system will be the beginning of a major turn around though.