"Imagine that you are running a domestic automaker...and burdensome union contracts limit your ability to cut costs." The burdensome nature of the currently existing union contracts means that GM is forced to pay even its retired workers coff

er-draining health care benefits, even while the company is losing money. Also, it seems, according to many industry analysts, GM may have lost its vision for the future. (Akst, 2005) Declining sales alone cannot be blamed. While, "many of GM's domestic problems were laid bare in the second quarter" such as its reliance on large sport utility vehicles it is fundamentally its "enormous health care costs," that lead "two of the three major credit ratings agencies to downgrade GM's debt below investment grade in May to junk bond status." (Hakim, 2005)

Out of necessity things must changing at the major automotive factory, if the company is to survive. The t

Some common words found in the essay are:
, health care, labor management, health care benefits, care benefits, union contracts,
Approximate Word count = 444
Approximate Pages = 2 (250 words per page double spaced)