Auto Industry Financing And Restructuring Act
Let me say that I stand in support of the bridge loans to the automobile companies. I speak today for workers. An overwhelming majority of my constituents in the First District support the bridge loans also. They, like me, do not want to…
Let me say that I stand in support of the bridge loans to the automobile companies. I speak today for workers. An overwhelming majority of my constituents in the First District support the bridge loans also. They, like me, do not want to see the Big 3 go bankrupt. This would not be good for our economy at this time in our history.
If these companies are to go into bankruptcy, it would mean that hundreds of smaller companies and suppliers would go into bankruptcy or would be economically crippled. Millions of Americans have stock in these auto companies, and I need not lecture on the further risk to their investments that this would cause. The state of the economy has already done enough damage to their investments, to pension fund investments and to the investments of business and of organizations of all kinds. The auto companies and the unions have agreements that will bring them in line with Toyota's by 2012. Cut labor costs and industry costs.
I urge the passage of the bill.
Mr. Speaker, I stand today in support of the bridge loans to the automobile companies. I speak today for workers. An overwhelming majority of my constitutents in the 1st Congressional District of the State of Missouri, support the bridge loans also. They, like me, do not see bankruptcy of the ``Big 3'' as a positive for workers or the economy at this time in history.
Mr. Speaker, if these companies are to go into bankruptcy, it would mean that hundreds of smaller companies, the suppliers, would go into bankruptcy or be economically crippled.
Small businesses employ more workers in the United States than all other employers combined. The failing of the big three auto makers would put approximately 300,000 jobs at risk in the auto industry. The associated industries, that supply and contract with the auto makers, would then have in excess of 3 million workers at risk.
If the auto makers are to go into bankruptcy, the warranties on your cars are at risk. This could result in families, already cash strapped, having to pay repairs out of pocket expenses that were not a part of their budgets and perhaps that requires shifting money from another necessity to pay for the repairs.
Millions of Americans have stock in these auto companies. I need not lecture on the further risks to their investments this would cause. The state of the economy has already done enough damage to their investments, pension fund investments, and the investments of businesses and organizations of all kinds.
The auto companies and the unions have agreements that will bring them in line with Toyotas' by 2012. They continue to work together to cut labor costs and industry costs to insure the economic stability of the auto industry.
I also understand that there are other credible arguments to the contrary, but I can't agree that this is the time to consider them. Our economy is too fragile to risk this kind of hit at this time in the country's economic history.
We have used the tarp money to bail out banks and investment houses and to insure that select securities are properly backed. I voted against this approach in previous votes. I believe that we need to concentrate more on putting money in the hands of consumers through the creation of jobs and the maintaining of jobs that do exist. This legislation directly targets the workers. We do not need to have an economy with healthy institutions and securities and consumers with no money to purchase goods or invest.
I am speaking to both parties on the floor. We won't solve these economic problems confronting us working for separate results. And I do know that no Member of this floor wants to see this economy crash. I do understand that we have some differences of opinion in the methods that Government has to employ to inject life into the economy. We can work on them after the first of the year. Roll up your sleeves and come back in January ready to find the best solutions.
Join me in supporting this package today. This is only a stopgap measure, but a necessary one. We cannot afford the risk of the alternatives.