Monday, November 24, 2008

Which Union Is Blameworthy for Citigroup's Travails?

On our collective dime, Uncle Sucker is stepping in to rescue Citigroup:

First, the U.S. Treasury and the Federal Deposit Insurance Corporation (FDIC) will backstop some losses against more than $300 billion in troubled assets.

Second, the Treasury will make a fresh $20 billion investment in the bank. The government has already injected $25 billion into Citigroup as part of the $700 billion bailout passed by Congress in October.
It's all over but the finger-pointing, which naturally raises the question of which union we should blame for Citigroup's financial hardships. Oil, Chemical, and Atomic Workers? Teamsters? Wobblies?

We know, for example, that GM (with its peerless management) as well as Ford and Chrysler would make awesome cars to rival anything by Toyota or Honda if only the United Auto Workers would stop crippling them. It stands to reason that Citigroup would not need handouts if not for the clutches of some labor union or other.

2 comments:

MoneyBonanza said...
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Anonymous said...

Does anyone else feel like these bailouts are rash and feeble? The government needs a long-term plan, rather than trying to jump-start matters. They need to set a goal and see their idea through successfully!

I think another vital note from this bailout is that we now see the magnitude of this recession. We all should take the necessary steps to recession-proof our lives. In order to do so, I think a realistic estimate of the amount of money we need to cut back on is relevant. Additionally, we all should have a clear vision of our altered future- many people are still living as if we’re in the .com boom of the 90’s! Here’s a great resource I found helpful when reorganizing my future: www.thevisionboardkit.com. This kit actually outlines how to create a vision of your goals and dreams and explains how to execute them with success.