GM Jobs: Easy Go, Easy Come, Easy Go

chart-down-in-glass-box-thumb6499796Just when you thought I couldn’t rail any more against the Cash-for-Clunkers program, I have some more railing yet to do.

It’s not the program per se, it’s how well this program represents all government programs.  Poorly conceived, horribly executed, ridiculously costly with collateral damage galore.

AUGUST 18-Hire back 1,000 laid off employees and make a big deal about it.
SEPTEMBER 10-Lay off 1,000 employees – tell no one.

Not surprisingly, the nation’s news agencies were chock full of news stories about the previously laid off GM plant employees who were recalled into work as demand ramped up from the Cash-For-Clunkers program.  1,000 of America’s workforce received calls letting them know the time has come…the moment is upon us…get back to work!  And the rockets red glare and the bombs bursting in air, America was BACK!

Also not surprising is the lack of news stories from the nation’s news agencies on the 1,000 workers from GM that just got laid off.  As predicted by myself and most of the worlds economists and a majority of those marginally paying attention, you can not create a sustained recovery by stealing from one set of taxpayers and giving it to a different set of taxpayers.  Unfortunately, when you open the Federal Government’s Official Playbook…that is Play #1.

Meanwhile, the cheeriest cheerleader of GM, their executive director of global market analysis Mike DiGiovanni decided to pick up his pom poms too. “What’s going to occur is that all of the major auto manufacturers are going to increase production moving into the third and fourth quarters. That’s obviously going to add jobs, because then we’re adding third shifts and overtime, and perhaps plants that were down will come up. Employment increases, incomes rise, and people buy things”

Wow.  He solved the entire Great Recession.  According to Mike over at GM, yeah I just call him Mike, we’re tight like that, Cash-For-Clunkers was the best program since sliced bread and we have nothing to fear now…Mike is here!

Presumptuous ass.  I can call Mike that.  We’re tight.  You can’t trust anyone who has money to be made by the outcome.  In reality, GM ramped up when sales from future months were brought into current months, and when that was over, they had to ramp back down to pre-Cash-for-Clunkers volume, and worse.  By stealing sales from the future, they’re in a worse position now.

<singing while doing cabbage patch>

Go Mike!  It’s your birthday!  Go Mike! It’s your birthday!

Categories: Cash For Clunkers

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