How Bad Could Corker’s Proposal Have Been to Prefer Bankrupcy?
The UAW on the Corker compromise plan:
In an effort to work out a compromise, the UAW was prepared to agree that any restructuring plan should ensure that the wages and benefits of workers at the domestic automakers should be competitive with those paid by the foreign transplants. But we also recognized that this would take time to work out and implement, using attrition programs to allow the companies to hire new workers at the lower wage and benefit rates. Unfortunately, Senate Republicans insisted that this had to be accomplished by an arbitrary deadline. This arbitrary requirement was not imposed on any other stakeholder groups. Thus, the UAW believed this was a blatant attempt to make workers shoulder the lion’s share of the costs of any restructuring plan.
The deadline provision was so bad that it was worth scuttling a deal over? Bankruptcy is preferred to settling a date in 2009 for the wage reductions?