Chrysler is shutting down a number of plants and laying of, albeit temporarily, 46,000 workers. Who picks up the bulk of the tab for this? Why, we all do through unemployment benefits! You can pay me now, or you can pay me later!
This will impact 46,000 UAW workers, according to Chrysler. Chrysler says these employees will receive state unemployment benefits as well as supplemental payments from Chrysler during the layoff according to a union negotiated formula.But what about the white collar workers? Do they need to file for unemployment? Hell no!
There will be an unknown number of white collar workers who will not be working as well, but the expectation is that they will continue to receive their regular salaries during this time.Some have said that there is lowered demand for the cars produced by the American auto manufacturers. This may or may not be true, but it seems that the obstacle to new vehicle purchase has less to do with the product and more to do with the financing.
The company says dealers are telling them there are buyers out there, but they can't get financing and as a result, have lost 20 to 25 percent in sales.This would explain the sales slump in the foreign Dixie car manufacturers as well, Toyota, Honda and BMW.