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Old 02-17-2006, 09:45 PM
Missouri Mule Missouri Mule is offline
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Real Name: Richard W.
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Default Re: Could Bankruptcy Actually Help GM?

Quote:
Originally Posted by AZCivic
Number of retirees doesn't matter. You could have a trillion retirees and not have it effect you in the slightest. How? Change the benefits plan from defined benefit to defined contribution and discontinue health coverage after retirement. Every other company in the US has gone to defined contribution (usually in the form of a 401k plan) because it's the only way to keep it manageable.
If GM and Ford had a printing press in their basements they could print all the money they need to fund these benefits. Unfortunately for them, those presses are held by the federal government.

What you suggest won't happen because the UAW will never agree to it.
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