David B. Livingstone of the North Star Writers Group has a column about the proposed General Motors “rescue.” It is a long and satisfying item and he proposes five points for consideration before Congress writes the check. I think you will agree with his sentiments.
1. Ownership of all physical assets, inclusive of factories and offices, should be transferred to the federal government and leased back to the firms on a for-profit basis;
2. A mandatory 10-year zero layoffs policy should be introduced;
3. Bailout funds should be in the form of a “mass transit Marshall plan.” The (former) automakers would be charged with re-engineering and retooling their operations for purposes of developing and implementing next-generation mass transit solutions, including high-speed rail;
4. The onset of the bailout program would mark the beginning of a mandatory 15-year phase-out of the manufacture of petroleum-consuming internal combustion engines;
5. Bailout recipients shall be legally precluded from any petition for bankruptcy protection.