Holden to make major announcement to staff today

[b0son]

Originally Posted by dallasv8

5 to 7 bucks an hour is a large pay cut.some people will go backwards financially with a pay cut like that,possible lose houses and cars etc.

and if the alternative is a job loss, they'll go even further back financially.

supply and demand is a two-way street. just like when you're in demand your employer has to be prepared to pay you more, when you ARENT in demand but want to keep working, you have to be prepared to for a reduction in your pay/conditions. at least, thats the way its supposed to work, but unions are good at ensuring that never happens...

http://blogs.news.com.au/heraldsun/a...money_with_it/

Between 1997 and 2010 the company gave pay increases of 63.33 per cent, a median increase of 4.87 per cent a year, hardly appropriate for a struggling business relying on government support… Yet the agreement prohibits the company from increasing, decreasing or rearranging the workforce without union approval… Holden cannot choose the labour hire company; they can only use a business selected by the unions.

GM Holden has agreed to an extraordinary wage deal that will lift the income of 4000 employees by up to 22 per cent by 2014, despite the carmaker seeking a taxpayer-funded assistance package from the Gillard government. In a deal hailed by union leaders as “spectacular”, workers will receive a “guaranteed” 18.3 per cent increase over the next three years, with some workers to receive up to 22.3 per cent… The Australian has obtained full details of the agreement, which the union said contained no productivity trade-offs…