This proposal is
presented to Cerberus Capital Management, LC, Daimler AG and the United Auto
Workers to convert Chrysler Holding LLC to a substantially employee-owned and
controlled company.
At this hour, both
Chrysler and General Motors are awaiting government review of austerity
measures and have requested funding to stay afloat while car sales are
down. These measures have been
negotiated with the UAW, however they have not been submitted to the rank and
file for approval. Additionally, both
companies are behind in their funding of the health care trust fund, which is
designed to allow them to shed long term obligations. Traditionally, when employees are asked to
give substantial concessions in order to save the company, they receive an
increased ownership stake. This case
should be no different, although the approach I am proposing differs in one key
respect – when Chrysler returns to profitability, the workers will be much
better off than under any similar restructuring.
In the short run,
too much austerity will be counter-productive, especially if it is copied in
other industries. Systemic austerity
will result in consumer uncertainty, making the purchase of durable goods –
especially automobiles – an impossibility.
The measures proposed here will begin to literally pay dividends to
employees as soon as sales increase, so that austerity measures are not
permanent. If such measures are
replicated in other industries, the economic downturn could be shortlived.
Unlike traditional
Employee Stock Ownership Plans, we propose taking advantage of existing pension
assets to avoid extreme debt loads, which would occur under almost every other
scenario to capitalize Chrysler. We also
propose several avenues for cost reduction, including the health care sector,
which will set the standard for cost reduction for all of industry while
maintaining quality of service and benefit levels. This is especially important
in light of the recent shifting of responsibilities for health care costs from
the company to the Union. Our proposals avoid many of the pitfalls of
other Union buy out plans, most notably United Air Lines, by changing the Union
culture to welcome innovation and cost control while changing the Management
and Professional cultures to introduce democratic structures more appropriate to
employee-ownership than the traditional principal agent model and by linking
compensation to results rather than position.
These innovations will provide the edge Chrysler needs to succeed in today’s
troubled times.
Prior to the current
bridge loan, discussions took place regarding the merger of Chrysler and
General Motors. The proposals offered
here are as applicable to such an arrangements as they are to Chrysler Holdings
alone. Finally, many of these proposals
include the use of TARP funds, both because private financing will likely not
be available to accomplish these proposals and to create assets which provide
taxpayers some degree of security compared to an unallocated loan.
This proposal offers
the following twelve propositions in the areas of Health Care, other
Consolidation and Pay and Benefits reform:
1. Purchase of health care providers for
employees and retirees, including hospitals, managed care organizations,
pharmacy operations and medical and nursing schools. These new employees would receive same
ownership and salary considerations as covered UAW employees and management. Request additional TARP fund loans to finance
this proposal.
2. Inaugurate Medical Savings Accounts/Lines of
Credit to pay or finance deductibles, alternative medicine and out of plan and
optional health care. Raise deductibles
and credit limits based on income level.
3. Purchase
dealerships with stock and cash and operate directly, considering employees
within the Company pool. Request
additional TARP fund loans to finance this proposal.
4. Move toward the point where the overwhelming
majority of shares are held by the employees.
Convert 33% of current UAW and company pension trust funds for labor,
professionals and management to Company stock.
67% will be held in reserve for pension benefits for spouses and
surviving widows who will not have stock voting rights. The stock shares will be voted by retirees
and current workers or their proxy representative. Create ESOPs for labor, professionals and
management to make up the balance of the employee stake. Request additional TARP fund loans to finance
this proposal.
5. Leverage Longevity Pay with a portion of
dividends from equity shares. Decrease
wage levels accordingly (which then increases profit, some of which goes back
to savings). Establish a rate structure
for government contracts whereby compensation over base pay is paid in stock
and the stock purchase is built into the burden rate.
6. Provide scholarships to all workers and
dependents to 14th grade in university, community college, or
private secondary school, as well as trade school for the non-college bound in
exchange for a percentage cut in wage representing the average college and
private school tuition costs experienced company-wide per employee for students
in these situations.
7. Recruit
professionals and managers at 15th grade and provide tuition, room, board and
books and supplies, as well as a stipend.
A percentage of tuition costs will be assumed by the firm, a portion by
the United States and a portion by the student through loans which will be paid
back automatically on a two years of work for every year of school basis. During this time a smaller pension fund
accrual will be distributed, until the educational repayment period is
exhausted. Students who do not complete
their educations and/or their service requirement will be liable for the
repayment of a student loan for the entire 1/3 share of tuition costs accrued
and not yet repaid. Request additional
TARP fund loans to finance this proposal.
8.
Provide additional dividend paying stock to professional and management
employees to provide a dividend to further compensate them for discounted value
of their education expenses and cut salary equally. For example, the discounted value of engineer
X’s education was $Y. Provide $Y worth
of equity and then reduce the salary of X by the dividend stream produced by
that stock. Request additional TARP
funds to finance this proposal.
9. Increase incentives for innovation and performance
by a healthy multiple of the current incentives and cut average salary for
professionals and managers accordingly.
Develop rules for team sharing of incentives where applicable, including
objective determination of rewards by an outside source. Performance awards come in both cash awards
and stock grants to capture the value of the lasting impact of innovation on
profitability.
10. Provide $500 per dependent per month (spouses
and children under 20 unless emancipated earlier) and cut the base wage of each
employee by the average dependent payment (with a floor for younger lower wage
employees).
11. Provide reduced interest rate mortgages. Use TARP funds to leverage interest
reductions.
12. Provide housing for younger company employees
who are not yet ready to purchase home or who are still in training.
Purchase by Chrysler, the UAW Health Trust
Fund, Fiat (and G.M. if a merger is attempted) of health care provider
organizations for employees and retirees, including hospitals, managed care
organizations, pharmacy operations, group practices and medical and nursing
schools. The employees of these
enterprises would receive the same ownership and salary considerations as covered
UAW employees and management (see proposals below). Request additional TARP fund loans to fianance
this proposal.
Rationale:
Relying on outside providers requires reimbursement of their
marketing costs and profit. Including
these services within the company limits these costs. Additionally, medical malpractice becomes a
matter of internal company discipline rather than outside litigation, greatly
decreasing legal costs. Company
facilities are large enough to justify dedicated medical facilities for employees. An added benefit is that covered medical
facility employees, both doctors and SEIU members, would become a ripe market
for the purchase of other Company products.
Finally, unexplained opportunities for cost control will present
themselves with absorption of this major cost driver in the cost of labor.
Company ownership of pharmacies will also allow for more
flexibility in purchasing drugs and increase the bargaining power for the
benefit of the Company and its employees.
Using TARP funds for this purpose will provide the United States
with real assets as security for much needed capital.
Implementation:
The Project Team will form a strategic alliance with the
SEIU, which represents nurses. It will identify
SEIU serviced facilities which are geographically accessible to Company
facilities and begin acquisition talks.
Facilities can be public, private or religiously based (Baptist
Healthcare and Catholic Health Association).
The Project Team will also identify state and private medical and
nursing schools which might be in financial difficulty to begin purchase
talks.
The Project Team will assess the value of buildings and
grounds, as well as the value of the enterprise, then make offers leveraging
the deal with both Company stock and UAW and SEIU pension assets.
Inaugurate Medical
Savings Accounts/Lines of Credit to pay or finance deductibles, alternative
medicine and out of plan and optional health care. Raise deductibles and credit limits based on
income level. The total cost of high
deductible insurance, medical savings accounts and medical line of credit
contributions will be capped at current monthly health care expenses for
comprehensive insurance coverage.
Rationale:
One major
cause of the rise in health care costs is the lack of an incentive for cost
control. Comprehensive plans hide the
impact of cost escalations for doctor visits, malpractice costs and
pharmaceuticals. The proposal to absorb
medical facilities will mitigate some, but not all of these costs. To make consumers smart shoppers, they must
be accountable for more of the cost of care.
In order to do this effectively, however, out of pocket costs should not
be increased directly, as this will be unacceptable to employees.
Implementation:
The Project Team will devise a health care proposal to
mitigate direct impact of higher co-payments for prescriptions and office
visits to include both medical savings accounts funded by both the company and
the employee and medical lines of credit, which would be funded by the employee
up to an annual limit, after which the company would fund non-optional
costs. Optional costs are items not
traditionally funded by health care plans, such as massage therapy,
experimental therapy and alternative medicine, as well as uncovered office
visits for certain types of health care.
The Project Team will work with providers to create a single
swipeable health insurance card to access to medical savings accounts, medical
lines of credit and catastrophic insurance.
Such a card will decrease the need for insurance specialists in
individual provider offices and prescreening for insurance at associated
pharmacies. The Project Team will
propose the allotment of services between these three legs of the plan for
negotiation, agreement and ratification.
Purchase dealerships
with stock and cash and operate directly, considering employees within the Company
pool. Request TARP fund loans to finance
this proposal.
Rationale:
This increases the stock ownership pool and allows
dealership workers to unionize and to gain the benefits of a larger pension
plan. It also expands the health
insurance pool, including younger workers who will decrease average costs. Finally, it allows for a more seamless
information flow between dealers, manufacturing and engineering, potentially
improving product quality.
Implementation:
The Project Team Real Estate Advisor will value the complete
real estate portfolio of Dealer Franchises.
The Project Team, with the cooperation of the Company auditor, will,
determine the financial value of each dealership, less net land value, and
recommend the number of shares to be exchanged for the ownership of each
franchisee. The Company will tender offers
to each franchisee. The Project Team
will secure the services of an arbiter for any disputes. The Project Team will make clear that failure
to convert will result in the loss of the franchise relationship.
The Project Team will calculate the size of franchisee
pension assets to be absorbed into the UAW pension fund and Company stocks. The Project Team value these contributions
accordingly as part of the negotiation process to purchase franchises.
The Company will enroll franchise service personnel into the
UAW and sales and financial personnel into the appropriate professional group so
that these groups may vote their individual shares.
Using TARP funds for this purpose will provide the United States
with real assets as security for much needed capital.
Concentrate a portion
of pension fund ownership in newly created Chrysler stock. Convert 33% of current UAW and company pension
trust funds for labor, professionals and management to Company stock. 67% will be held in reserve for pension
benefits for spouses and surviving widows who will not have stock voting rights. The stock shares will be voted by retirees
and current workers or their proxy representative. Create ESOPs for labor, professionals and
management to make up the balance of the employee stake. Request additional TARP fund loans to finance
this proposal.
Rationale:
This provision gives Company employees a stake in the cost
savings proposals cited above, while still maintaining a secure pool of
diversified shares for surviving spouses, who should not have voting
rights. Retirees are given voting rights
because their experience with the firm will be valuable. Further, by giving them a voting share and
making their pension profits dependent upon the profitability of the Company,
they have an incentive to support these changes while management has an
incentive to provide high enough benefits to keep the retirees happy.
Implementation:
The Project Team will calculate the total number of
accumulated work hours for current workers in each sector (including health
care and dealership employees added to the Company under the first three
proposals) using payroll and dealership data.
The Project Team will calculate the retiree sector share
based as the number of total hours worked times one-half the total amount of
pension assets already used divided by one-third of their total pension assets
for retirees and survivors based on life expectancy using employee benefit and
pension fund data.
The Project Team will use these totals to calculate the
ownership stake for each sector.
The Project Team will determine the value of 33% of each
pension fund for each sector, including 401(k) funds and existing ESOPs. Upon agreement between labor and management,
the pension advisor for each sector will convert these funds into stock of the
Company, holding the remainder in diversified assets.
The Project Team will determine the difference between the
shares owned by each sector and the ownership stake agreed to above. Retirees shall be entitled to 100 percent
coverage in of their ownership stake in voting stock (which equals 33% of their
total pension assets). The Project Team
will make arrangements to create an ESOP trust to purchase the necessary shares
for each sector. As private sector
financing is almost impossible to come buy, TARP funds will be used to finance
the ESOP Trust.
The Project Team will draft proposed language to amend ERISA
allowing trustees to vote for the total best interest of the beneficiary rather
than just the best fiduciary interest.
Using the sector calculation rules above, the Project Team
will determine individual entitlements based upon work hours to date, which
shall be reviewed by labor, management and professional society representatives
for agreement and ratification.
The Project Team will education Union leadership and the
rank and file on the ownership mindset required to effectively discharge their
new role within the company.
Leverage Longevity
Pay with a portion of dividends from equity shares. Decrease wage levels accordingly (which then
increases profit, some of which goes back to savings). Establish a rate structure for government
contracts whereby compensation over base pay is paid in stock and the stock
purchase is built into the burden rate.
Rationale:
One of the main economic drivers behind job loss for middle
aged professional workers and union job loss to overseas plants is the cost of
longevity pay, which increases salary based upon tenure. It is more expensive to get older, but
funding this expense with wages provides an incentive which can lead to
disaster for many workers. Transferring
a portion of this pay to ownership dividends by funding stock rather than pensions
allows a portion of these payouts to be distributed prior to retirement, while
a percentage may be reinvested for future retirement earnings and enhanced
voting power. Lowering the wage allows
more funds to be diverted toward stock grants and dividends. Additionally, paying some of these dividends
now provides a direct incentive toward increased productivity and even
increased automation, as well as making health plan changes more palatable for
the rank and file employee.
Implementation:
The Project Team will calculate what portion of the current
salary structure for professional, management and union employees is due to
longevity and the dividend stream required to replace this amount at various levels
of seniority, yielding stock grant amounts for each level. The Project Team will calculate the stock
grant and salary for each employee and will present the package to a review
team made up of labor, management and professionals for review, agreement and
ratification. Note that stock grant shares
shall be non-transferable until retirement or termination, but dividends may be
payable immediately.
The Project Team will draft proposed changes to ERISA which
prevent or penalize the distribution of dividends held for retirement and
present these to policy makers.
The Project Team will draft proposed changes to the FAR to
assure that firms who undertake this reform are not penalized and present these
to policy makers.
Provide scholarships
to all workers and dependents to 14th grade in university, community
college, or private secondary school, as well as trade school for the
non-college bound in exchange for a percentage cut in wage representing the
average college and private school tuition costs experienced company-wide per employee
for students in these situations.
Rationale:
A major driver behind the
need for longevity benefits is the need to fund education for ones
children. Removing this cost from the
family budget eliminates the need to pay higher wages for longevity. Additionally, group purchasing of education
allows greater buying power, thus limiting the explosive growth in education
costs.
Implementation:
The Project Team will examine the company benefits office
and recommend its optimum size to handle the additional workload for this task
and will provide supplemental staff for the project period to train permanent
and temporary benefits employees. Each
employee will be able to register his or her dependents in this program. The Project Team will form relationships with
all schools near company facilities and negotiate payment arrangements which
are more advantageous than individual students can make. The Project Team will also assess the
requirement for additional university instructors to meet these needs and will
create a recruiting program for experienced and retired professional employees
to serve as adjunct faculty members in these institutions.
Recruit professionals and managers at 15th
grade and provide tuition, room, board and books and supplies, as well as a
stipend. A percentage of tuition costs
will be assumed by the firm, a portion by the United States and a portion by
the student through loans which will be paid back automatically on a two years
of work for every year of school basis.
During this time a smaller pension fund accrual will be distributed,
until the educational repayment period is exhausted. Students who do not complete their educations
and/or their service requirement will be liable for the repayment of a student
loan for the entire 1/3 share of tuition costs accrued and not yet repaid.
Request additional TARP fund loans to finance this proposal.
Rationale:
The best and the brightest students are often overwhelmed by
the prospect of the cost of higher education.
Offering employment prior to graduation allows Human Resources to lock
sooner. Doing so also removes the
rationale for providing higher salaries due to the possession of higher
education, as the now employee-owned company assumes the financial risk of the
educational experience and allows these students a higher standard of living
than is currently possible. It also
imposes a dose of realism on the personal level, so that students may be less
likely to indulge in risky behavior with the responsibility that comes with a
career. For those who do not get the
hint, employee assistance programs can be utilized at an earlier age.
Implementation:
The Project Team will devise a plan to begin campus
recruiting at an earlier age, including proposed salary levels for students and
entry level professionals, new loan instruments and revisions to existing loan
instruments. This effort will also
dovetail with Proposal 6 in the forming of relationships with universities in
order to obtain discounted tuition and fees.
The Project Team will work with the Departments of Education
and Labor to create a pilot program to partially fund tuition, since a vast
quantity of current financial aid arrangements will no longer be needed if such
a plan were adopted industry-wide.
Note that this program will also be used to fund nursing and
medical education in company sponsored facilities described in Proposal 1.
It will be necessary to increase funding for Employee
Assistance programs, which will become available to student-employees.
The Project Team will generate materials to recruit and
screen rank and file workers who are capable of pursuing advanced education but
who have lacked the opportunity to do so. The Project Team will devise a program to allow
current employees to transfer their educational debt to this program, thus
providing them with a level of additional financial security. TARP funds will be used to leverage student
loans, which may not be available from the banking system at this time.
Provide
additional dividend paying stock to professional and management employees to
provide a dividend to further compensate them for discounted value of their
education expenses and cut salary equally.
For example, the discounted value of engineer X’s education was $Y. Provide $Y worth of equity and then reduce
the salary of X by the dividend stream produced by that stock. Request additional TARP funds to finance this
proposal.
Rationale:
The benefits to providing higher education should result in
lower salary costs, but not less compensation.
Additionally, current professional and managerial employees are paid
premium salaries for their educational attainment. A portion of these salaries can be reduced
and replaced with stock dividend payments.
This takes additional incentive away to outsource professional duties to
India
or to bring in lower wage H-1B workers.
Such a provision also spreads salary cuts to the white collar sector,
which is required to reduce the resistance of UAW and SEIU personnel to wage
concessions.
Implementation:
The Project Team will audit each professional employees’
educational expenses and calculate their net present value and the value of
dividends resulting from a stock grant of that value. The company will fund that value with a stock
grant debiting Retained Earnings and lower the salaries of these workers by the
amount of the dividend stream resulting from these stocks, some of which being
reinvested to produce an increasing dividend from this program. If Retained Earnings are not available for
this purpose, create an Educational ESOP or other debt instrument for this
purpose, which may involve proposing amendments to ERISA. In this case, a portion of the dividend
stream will be required to repay the ESOP financing, which will be provided
using TARP funds. The Project Team will
arrange for any necessary financing for such an ESOP.
Increase incentives
for innovation and performance by a healthy multiple of the current incentives
and cut average salary for professionals and managers accordingly. Develop rules for team sharing of incentives
where applicable, including objective determination of rewards by an outside
source. Performance awards come in both
cash awards and stock grants to capture the value of the lasting impact of
innovation on profitability.
Rationale:
Current incentive systems
reward creativity mostly by salary, offering only small performance incentives
for patents and other innovations. The
result is a clear message that creativity must be according to the master plan
and innovation outside of these lines is not allowed. The result of this paradigm is the loss of
global market share, with Toyota
now leading all American automakers in both sales and innovation, particularly
in the area of fuel economy. Reducing
base salaries while increasing performance awards will encourage outside the
box thinking for engineering and management, as well as for line workers, who
might be sources of innovation. Introducing
group incentive plans will increase collaboration and will guard against group
sabotage by jealous co-workers. Finally,
objective determination of awards and using outside evaluators guards against
the perception that performance awards are used to reward conformity or based
upon management favoritism.
Implementation:
Create a task force with Union locals, professional
associations and management to determine performance benefit rules, facilitated
by the Project Team. This task force
will negotiate an agreement establish procedures under which rewards are
calculated and create a permanent staff to estimate and a permanent body to
review these awards. The main criterion
to earn an award is an increase in the profitability of the enterprise, either
in terms of innovation/sales generation and loss avoidance.
Provide $500 per
dependent per month (spouses and children under 20 unless emancipated earlier)
and cut the base wage of each employee by the average dependent payment (with a
floor for younger lower wage employees).
Rationale:
Aside from health care costs, the major driver behind the
movement of jobs offshore is high wages.
A major driver behind the desire for high wages is the need to support
growing families. The education benefits
cited in Proposal #6 will reduce much of this need. Further subsidizing families directly will
target resources to those who most need them for the time they are needed,
making domestic workers more competitive in the long term as direct pay is
reduced in favor of payment for innovation and stock ownership.
Implementation:
The Project Team will work with the payroll department to
calculate wages for all current workers.
First, the amount of money in the dependent benefit pool will be
calculated using tax withholding and insurance information. Tax benefit and cost figures will be included
in this calculation. Second, the average
dependent cost per worker will be calculated (both net and gross). Third, these factors will be applied to
current wage and salary levels to generate a proposed net and gross salary for
each worker and class of workers. The
results of this salary study will be presented to the labor, professional and
management sectors for discussion, negotiation, agreement and ratification.
The Project Team will also propose legislation to increase
tax benefits for dependents at the federal and state levels and will mobilize
labor and management organization efforts to bring these proposals to policy
makers.
Provide reduced interest rate mortgages. Use TARP funds to leverage interest
reductions.
Rationale:
A major cost driver in the
need for higher salaries is the cost of housing. In the current economy, many workers are
unable to find credit for the purchase of housing, regardless of credit
worthiness. Additionally, some workers
are ignored by mainstream financing or preyed upon by sub-prime lenders based
on their demographics. The provision of
mortgages by the company or its surrogates, in cooperation with an aggressive
stock ownership plan, provides incentives for longevity.
Implementation:
The Project Team will devise a program to purchase existing
mortgages and offer mortgages for the purchase of new and existing housing at a
reduced rate which will compensate the company for lost profits to non-employee
shareholders, taking interest deductibility into account. The Project Team will calculate mortgage
terms to coincide with the full funding of retirement assets in the stock
ownership and diversified pension plans.
The Project Team will arrange for financing through existing Credit
Union and Company-owned Mortgage providers at a subsidized rate. Use TARP funds to leverage interest rate
reductions.
The Project Team will also propose legislation to allow
companies to claim tax benefits for providing home mortgage interest to
employees at a reduced rate at the federal and state levels and will mobilize
labor and management organization efforts to bring these proposals to policy
makers.
Provide housing for
younger company employees who are not yet ready to purchase home or who are
still in training.
Rationale:
As mortgages are harder to get, more families are entering
the rental market, which will further increase the cost of rental housing, thus
pricing younger workers out of the mainstream rental market and into group
housing situations which are not conducive to employee well-being. Additionally, providing housing for students
and younger employees in the process of working off an educational debt is
synergistic with Proposal Number 6, where student housing costs will be
provided by the Company. Providing such
housing also bridges the gap between the beginning of work and eligibility for
the mortgage program in Proposal Number 11.
Implementation:
The Project Team will perform market research for apartment
facilities in areas in close proximity to educational institutions and work
sites with large numbers of younger employees, student-employees and
trainee/apprentices. The Project Team
will survey the level of interest of these individuals for employee-sponsored
housing. Where such a need is expressed,
the Project Team will perform a lease/buy analysis on likely properties,
provide recommendations to the Company and execute Company decisions, offering
leased housing interested individuals with rental deducted from the employee
paycheck as applicable. The Project Team
will also hire building management staff as appropriate. Undoubtedly, there are buildings which are
now owned by TARP which can be sold to Chrysler for this purpose.
To the greatest extent possible, the Project Team will be
composed of internal organizations and consultants currently supporting
Chrysler, Cerberus, the UAW, the SEIU including investment advisors, mortgage
bankers and underwriters. Using existing
assets will build new competencies into the current system, lessening the need
for long term relationships with additional consultants.
Where there are experience gaps in existing support
networks, outside consultants will be recruited to fill them with the consent
of both management and labor, with each sector sharing the costs.
After the Project Team is formed, the Project Director will
conduct intensive training and discussion with Project Team members, as well as
leaders from ownership, management, labor and the
United States, until initial buy-in
is achieved. Bindner Analytics
recognizes that not all proposals will achieve leadership buy-in at first. We believe that as initial proposals are adopted
and prove salutary, then duplication will occur across industry.
e remaining proposals will be reconsidered and adopted as
well.
Project Team members will review all current legal
instruments and procedures, including the labor contract, company procedures
and government regulations. All team
member work products will be discussed in a team setting, with the Project
Director or his designee facilitating these discussions. Team members will
identify all current provisions which must be modified to implement project
proposals, as well as obstacles that either cannot be overcome or which can
only be overcome with changes to law or regulation.
New language will be drafted by responsible Project Team
members, working closely with the Project Director. Work products will be discussed in a team
setting, with each sector contributing work to each document and the Project
Director or his designee facilitating these discussions. Proposals for regulatory and legal reform
will be brought to the attention of the Secretary of the Treasury and
legislators from states where Chrysler has a significant presence. Discussions will be complete as work products
are accepted by ownership, management, labor, the United States (where applicable). An implementation schedule will be developed
by the project team, based on the ease of implementation, with “easy” items
being implemented first. Part of the
implementation plan will be the development of training materials to train
management, human resource and union professionals and to orient rank and file
employees so that they can intelligently consider ratification of these
proposals and can begin to behave as employee-owners.
Management and Labor will identify personnel to train plant
managers, former franchisees, supervisors, department heads and shop
stewards. These individuals will be
trained by Project Team members and the Project Director. Trainers will then train the next round of
personnel in Auburn Hills.
Plant, department and union leadership at the local level
will then train professionals, rank and file employees, and newly acquired
employees.
Final implementation of individual proposals will commence
after ratification by union membership and ownership and upon receipt of any
required governmental and private funding.
Bindner Analytics will continue to make personnel available
as formerly rejected proposals are reconsidered and adopted, and as Chrysler
acquires additional units which require integration into the new corporate
culture and legal structures.
Michael Bindner is the Principal of Bindner Analytics. He was the founder and Executive Director of
the Iowa Center for Fiscal Equity, which provided
proposals to the President’s Task Force on Tax Reform and the Commission to
Strengthen Social Security. He is the author
of Musings from the Christian Left,
which provides a conceptual outline for most of the proposals presented
here. He holds a Master Degree in Public
Administration from the American University in Washington,
DC and a Professional Designation
in Cost Analysis and Price Analysis from the Air Force Institute of
Technology. He has contributed opinions
published in America Magazine and Business Ethics and is a member of the
Capital Ownership Group, an online think tank sponsored by Kent State University. There is no other source for many of the
proposals advanced here.
