Posted tagged ‘George Voinovich’

Auto Bailout Talks Collapse

December 11, 2008

Bad news for the auto industry. A $14 billion emergency bailout for U.S. automakers collapsed in the Senate Thursday night after the United Auto Workers refused to accede to Republican demands for swift wage cuts.

From the Associated Press:

Senate Majority Leader Harry Reid said he was “terribly disappointed” about the demise of an emerging bipartisan deal to rescue Detroit’s Big Three.

He spoke shortly after Republicans left a closed-door meeting where they balked at giving the automakers federal aid unless their powerful union agreed to slash wages next year to bring them into line with those of Japanese carmakers.

Republican Sen. George V. Voinovich of Ohio, a strong bailout supporter, said the UAW was willing to make the cuts — but not until 2011.

Reid was working to set a swift test vote on the measure Thursday night, but it was just a formality. The bill was virtually certain to fail to reach the 60-vote threshold it would need to clear to advance.

Reid called the bill’s collapse “a loss for the country,” adding “I dread looking at Wall Street tomorrow. It’s not going to be a pleasant sight.”

The implosion followed an unprecedented marathon set of talks at the Capitol among labor, the auto industry and lawmakers who bargained into the night in efforts to salvage the auto bailout at a time of soaring job losses and widespread economic turmoil.

“In the midst of already deep and troubling economic times, we are about to add to that by walking away,” said Sen. Chris Dodd, D-Conn., the Banking Committee chairman who led negotiations on the package.

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Auto Makers Leave Congress Empty-Handed

November 20, 2008

Lawmakers deadlocked on a plan to bail out the Big Three automakers, leaving General Motors facing the prospect it could run out of cash before a new Congress can come to the rescue next year.

From Bloomberg:

Democratic congressional leaders disagreed with Republicans and President George W. Bush’s administration over how to provide $25 billion in aid to GM, Ford Motor Co. and Chrysler LLC. Only two days remain in a lame-duck session for lawmakers to resurrect a compromise, though Senate Majority Leader Harry Reid said today Congress might return in December to complete its work.

“We are in a situation where we don’t know procedurally what we are going to be able to accomplish today,” the Nevada Democrat said on the Senate floor.

Reid earlier suggested the situation was dire and refused to set aside time today to debate a compromise proposed by Senator Kit Bond, a Missouri Republican. Reid said Bond’s plan hasn’t been put in writing and the House of Representatives is about to adjourn.

Bond and fellow Republican George Voinovich of Ohio insisted they weren’t giving up on their proposal to speed up and broaden access to $25 billion already approved for fuel-efficient vehicle development that was a compromise.